Calculating GST in Bill Entry

This topic provides an overview of GST calculation in bill entry and discusses how to review GST details in bill entry.

Page Name	Definition Name	Usage
Standard Billing - Line - India Tax Info Page	BI_LINE_EXS	Review bill line GST information. You can also modify tax parameters and reset the default tax parameters.
Express Billing - Line Tax Info page	BI_LINE_EXS_X	Review bill line GST information in the Express Billing component. You can also modify tax parameters and reset the default tax parameters. The fields that are on this page are identical to the fields on the Standard Billing - Line - India Tax Info page.
Bill Summary Info Page	BI_SUMMARY	Review bill summary information, including total India GST, and calculate India GST.
Standard Billing - Header - Order Info Page	BI_HDR_OM	When a bill requires India tax processing (the business unit tax indicator value is 2), you can enter the excise invoice number here for tracking purposes. You can also review the sales tax authority for a bill. The system uses this display-only field to ensure that all sales tax applicable bill lines that are on the invoice have the same tax authority.
Standard Billing - Line - Info 1 Page	BI_LINE	When a bill requires India tax processing (the business unit tax indicator value is 2), you can review GST total amounts for the corresponding line.
Standard Billing - Line - Order Info Page	BI_LINE_OM	Review bill line information from PeopleSoft Order Management. When GST is applicable for the corresponding line, the quantity in standard unit of measure of the inventory item or product kit also appears on this page.
Review Billing Information - Line - India Tax Info	BI_LINE_EXS_INQ	Review bill line GST information. This page is display-only. The fields that are on this page are identical to the fields that are on the Standard Billing - Line - India tax Info page.
Review Billing Information - Line - India Tax Info (Base Currency)	BI_LINE_EXS_INQ_B	Review bill line GST information. This page is display-only. The fields that are on this page are identical to the fields that are on the Standard Billing - Line - India tax Info page.
Review Billing Information - Line - India Tax Info (Euro Currency)	BI_LINE_EXS_INQ_E	Review bill line GST information. This page is display-only. The fields that are on this page are identical to the fields that are on the Standard Billing - Line - India tax Info page. The system displays the tax amounts that are on this page as zero (the system does not calculate GST amounts in Euro currency).
Review Billing Information - Bill Summary	BI_SUMMARY_INQ	Review bill summary information, including total India GST amounts. This page is display-only.
Review Billing Information - Bill Summary (Base Currency)	BI_SUMMARY_INQ_B	Review bill summary information, including total India GST amounts in the base currency. This page is display-only.
Review Billing Information - Bill Summary (Euro Currency)	BI_SUMMARY_INQ_E	Review bill summary information, including total India GST amounts in euros. The system displays tax amounts that are on this page as zero (the system does not calculate GST amounts in Euro currency). This page is display-only.

Bills that PeopleSoft Order Management and Inventory pass through the Billing interface can have GST tax that was previously calculated. PeopleSoft Billing re-calculates the taxes.

For bills that are passed through by other sources than Order Management, the Billing Interface Process determines the GST taxes.

For sources other than Order Management, both the INTFC_BI and INTFC_BI_AEDS tables should be populated. For the INTFC_BI table, the following fields should have valid values for GST tax determination to happen:

IDENTIFIER
SHIP_FROM_LOC
PRODUCT_ID
COUNTRY_SHIP_FROM
COUNTRY_SHIP_TO
SHIP_TO_CUST_ID
SHIP_TO_ADDR_NUM
SOLD_TO_CUST_ID
SOLD_TO_ADDR_NUM
SYSTEM_SOURCE
PHYSICAL NATURE
STATE_SHIP_FROM
STATE_SHIP_TO

Adding New Bills in Bill Entry

When you add new bills in bill entry or express bill entry, and the Billing business unit requires India tax processing, PeopleSoft Billing calls the Tax Determination process to determine GST applicability and to determine the appropriate tax rate codes and components for each bill line. PeopleSoft Billing functionality enables you to modify some tax parameters, including the tax rate codes and the parameters that determine the tax rate codes.

Note: To automatically initiate the algorithm that makes GST information appear by default on the Standard Billing - Line - India Tax Info page, you must enter a value in the Identifier field when you first add a bill line to a bill that requires India tax processing.

When India GST apply, you must associate all bill lines that are on an invoice with the same GST authority code. When you add a bill line with GST applicability, the system compares the GST authority code that is returned for the line with the GST authority code that is on the bill header. If the header value is blank, the system populates the header GST authority code with the line value. If the header and line GST authority codes are different, the system displays an error message for the line. To correct an error, you can change the ship-to customer or ship-to customer address. You can also delete the line and add it to a different invoice as long as that invoice has the same associated GST authority.

Modifying GST on the Bill Header

Use the following table to determine when you can modify GST information on the bill header and to review the impact that those changes have:

Changes To	India Tax Processing Required
Bill-to Customer	If the Bill To customer is not the Ship To customer, the system uses the Ship To location of the Ship To customer that is assigned to the Bill To customer.
Currency Code	No impact on tax rate and tax component codes. During tax calculation, the system calculates new tax amounts in base currency.
Invoice date	GST details might not be synchronous if you change the invoice date. Click the Get Tax Defaults button for each line to synchronize the tax details with the invoice date.

Modifying GST on Bill Lines

Use the following table to determine when you can modify GST on the bill line and to review the impact those changes have:

Change Made	India Tax Processing is Required
Identifier (assuming that other tax parameters remain the same).	No impact on tax rate and tax component codes. Tax rate codes are not defined for identifiers.
Quantity (relevant only when the quantity in the standard unit of measure is zero).	No impact on tax rate and tax component codes. When you recalculate taxes or run the Finalization process, the system uses the new net extended amount (based on new quantity) during tax calculation.
Unit of measure (relevant only when no inventory item ID is on the bill line).	No impact on tax rate and tax component codes. When you recalculate taxes or run the Finalization process, the system uses the new net extended amount (based on new quantity) during tax calculation.
Unit Price.	No impact on tax rate and tax component codes. When you recalculate taxes or run the Finalization process, the system uses the new net extended amount (based on new unit price) during tax calculation.
Gross extended amount.	No impact on tax rate and tax component codes. When you recalculate taxes or run the Finalization process, the system uses the new net extended amount (based on new gross extended amount) during tax calculation.
Net extended amount (caused by discount/surcharge modifications).	No impact on tax rate and tax component codes. When you recalculate taxes online or by running the Finalization process, the system uses the new net extended amount (based on new net extended amount) during tax calculation.
Inventory item ID.	The system calls the Tax Determination process.
Product kit.	The system calls the Tax Determination process.
Ship-to customer.	The system calls the Tax Determination process.
Ship-from business unit.	The system calls the Tax Determination process.
Order management business unit.	The system calls the Tax Determination process.
Quantity base.	No impact on tax rate and tax component codes. When you recalculate taxes online or by running the Finalization process, the system uses the new quantity in the standard unit of measure during tax calculation.
Shipping date.	The system calls the Tax Determination process.
Tax transaction type.	If the bill line is GST applicable, the system calls the Tax Determination process.
GST rate code.	If bill line is GST applicable, the system calls the Tax Determination process for the tax component codes. The system sets the tax rate source to Manual.
Delete a bill line.	The system deletes GST detail that is associated with the corresponding bill line.
Copy a bill line (in express bill entry).	The system copies all tax information.

Note: The system calls the Tax Determination process for modifications that are noted in the preceding table only if the tax defaults are determined initially (if EXS_DFLTS_APPLIED = Y). Otherwise, you must click the Get Tax Defaults button to update the GST rate codes and details with the modifications that are noted in the preceding table.

Reviewing GST Online

You can review GST information in the bill entry and express bill entry components on the Standard Billing - Line - India Tax Info page, which displays the parameters that determine the tax rate codes, including the tax rate codes and the components that comprise the tax rate codes. When the Order Management system passes a bill line with an associated excise invoice number to the Billing system, the line appears with the previously calculated tax amounts. Bill lines with no associated excise invoice number appear with no tax amounts unless you calculate tax amounts online through bill summary or by running the Pro Forma Pre-process and Finalization process (BIIVC000).

Calculating Taxes in Bill Summary

When a bill requires India tax processing (the business unit tax indicator value is 2), the Bill Summary page displays the total GST amounts. You can click the Calculate Taxes button to call the Tax Calculation process and calculate the GST for corresponding bill lines that are GST applicable.

When the Order Management system passes an excise invoice number and tax amount on a bill line, the Billing system performs no tax calculations for the corresponding bill line. However, the system uses the tax amounts that are on these lines to calculate the total GST amounts at the bill header level.

Note: Tax calculation bill lines are not included with tax applicability flags that are blank or defined as N, or where the tax rate codes are blank.

Copying Bills

When you copy a bill with GST, the system copies the original bill information, including any discounts, surcharges, notes, tax details, and accounting distributions, from one bill to the next. The system does not copy the excise invoice number and excise line number. It creates the new bill with a status of new, a blank invoice date, and a current date in the Date Bill Added field.

Calculating Taxes for Bill Adjustments

PeopleSoft Billing performs no tax calculations on adjustment credit bills or on adjustment credit lines, because credit bills and credit lines have taxes that are calculated for the original bill. However, the system copies the existing taxes and uses the tax amounts that are on these lines to calculate the total GST amounts that are at the bill header level.

Use the Standard Billing - Line - India Tax Info page (BI_LINE_EXS) to review bill line GST information.

You can also modify tax parameters and reset the default tax parameters.

Navigation:

Billing > Maintain Bills > Standard Billing . From the Navigation drop-down (at the bottom of the page), select Goods & Service Tax.

Note: All bills should be finalized, invoices printed, accounting entries created (if billing is creating accounting entries) and loaded to AR before enabling India GST (Goods and Services Tax).

Note: If the business unit tax indicator that is at the bill header has a value other than 2 (a value of 2 in the BI_BU_TAX_IND field indicates that India tax processing is required), no fields that are on this page are available for entry.

Header

Field or Control	Description
Version	Displays the version number and is currently set to 1.1. You can modify this value on the India GST E–Invoice Setup Page. Note: This field displays only for invoices that are subject to E-Invoice processing.
IRN (invoice reference number)	Displays from the Invoice Registration Portal (IRP).
Customer Type and Transaction Category	Select a customer type and transaction category. These values default from Trading Partner setup, but can be changed. The Transaction Category field is required if the Customer Type if B2B or Export.
Document Type	Displays one of these options: INV - Regular Invoice CRN - Credit Note DBN - Debit Note The system uses this value based on whether the document is an invoice, credit bill, or an invoice that has a reference to a previous invoice.
IRP Date (invoice registration portal date)	Displays the date from the IRP.
Cancel Date	Displays the canceled date from the IRP for invoice cancellations.
Error Message	Displays an error message from the IRP if an error occurs when registering the invoice.
E-Invoice Processing Flag	Displays the status of the invoice after the India GST E-Invoiccing Process is run. Not Processed - The process has not run for this invoice. Not Applicable or Excluded – the Exclude from E-Invoicing check box is selected on the Business Unit Tax Applicability Page. If the flag is Excluded, then the invoice is not sent to the IRP. However, it is selected for printing and sending to Receivables, Payables, and General Ledger. In Process - the invoice is in the process of being sent to the IRP. Rejected - an error code has been received from the IRP. Resubmit - A technical issue has occurred when trying to send to the IRP. Residual Error - an error code is received from the IRP, but the code is not known to the system, or multiple errors are received from the IRP for an invoice. Credit after Cut-off Time - Indicates that this is a credit bill that it is being created after the cut-off time limit. The credit cut-off time limit is determined on the India GST E–Invoice Setup Page. Manual Upload - Indicates that the invoice has been in a Ready status for the amount of time specified on the India GST E–Invoice Setup Page, after the invoice is created. “Y” - Indicates that the IRN is received from the IRP after the invoice is successfully registered.

Bill Line

Field or Control	Description
Tax Applicable	The system populates this field if GST, sales taxes or VAT are applicable to the bill line.
Tax transaction Type	Select a tax transaction type. Values are: Direct Export With Bond. Direct Export Without Bond. Direct Import. Domestic. Local Export With Bond. Local Export Without Bond. Local Import.
Tax Rate Code	The tax rate code that is associated with this bill line. Tax rate codes represent a specific grouping of tax type tax components, tax dependencies, calculation schemes, and other tax attributes. Initially, the Tax Determination process populates this field, but you can override this value when necessary. If tax is applicable to a bill line, this field must be populated. If tax is not applicable to a bill line, this field must not be populated.
Tax Amount	The total amount that is associated with this bill line appears.
Ship To State	The state to which the items/ services that are billed on this line are shipped.
Ship From State	The state from which the items that are billed on this line are shipped.
Tax Authority	The system displays the tax authority value that is returned by the Tax Determination process. A tax authority is an agency that is empowered to set taxes.
HSN Code	Displays the HSN (Harmonized System of Nomenclature) code used for product coding and classification of goods. The field is available only if the Enable India Goods and Service Tax check box is selected on the Installation Options - Overall page.
SAC Code	Displays the SAC (Service Accounting Codes) code used for identification of services. The field is available only if the Enable India Goods and Service Tax check box is selected on the Installation Options - Overall page. Note: HSN /SAC codes for each bill line defaults automatically from the Global Master tables.
Reverse Charge Applicable	Indicates if reverse charge is applicable or not for an item or product. The field is available only if the Enable India Goods and Service Tax check box is selected on the Installation Options - Overall page.
Get Tax Defaults	Click to call the Tax Determination process, which returns system-derived tax rate codes and tax component codes. Click this button to override any tax rate codes entered manually or tax parameters that are on this page, and to populate the tax rate source fields with System-defined. Note: Click the Refresh button to view updated details that you make on this page with system-derived tax rate and tax component codes.

India Tax Detail

In this grid, the system displays tax component information, including tax percentages and amounts, when these values are previously calculated for the bill line.

Field or Control	Description
Tax Rate Code	The tax rate codes that are associated with this bill line appear. Tax rate codes group tax component codes of the same tax type along with tax rates and other attributes.
Seq (sequence)	Indicates the order in which tax component codes in the tax rate code should be calculated.
Tax Component Code	The system displays the tax component code that appears by default from the tax rate code definition.
Tax Dependency Code	The system displays the tax dependency code that appears by default from the tax rate code definition.
Tax Amount	The system populates this field with the calculated tax amount.
Basis Amount	The basis amount that the system uses when calculating taxes.
Calc Scheme (calculation scheme)	The default calculation scheme that is for the tax component code. The value that appears here appears by default from the tax component code definition. Value is: P: Percentage-based tax calculation.
Tax Pct (tax percent)	If the calculation scheme is P, the system populates this field with the percent of taxation that is associated with the corresponding tax rate code.
Tax Rate	The rate at which the Tax Calculation process calculates taxes. The value that appears here is determined by the value in the Calc Scheme field. If the calculation scheme value is P, this field is blank.