1. Localizations for Brazil Implementation Guide
  2. PIS/PASEP and COFINS Processing for Procurement Transactions

PIS/PASEP and COFINS Processing for Procurement Transactions

When you close an inbound nota fiscal, the system runs the Nota Fiscal Check & Close program (P76B900) to calculate the taxes on the nota fiscal. The system uses this logic to determine whether to calculate PIS/PASEP and COFINS tax credits:

  1. The system compares the Purchase Use Code for each line item on the nota fiscal to the Purchase Use Codes in the F76B003 table.

  2. If the system finds a match between the purchase use codes, the system reads the record in the F76B003 table to determine if a tax code for PIS/PASEP tax credits (data item BTPIS) or COFINS tax credits (data item BTCOF) is associated with the purchase use code.

    If a tax credit code is associated with a purchase use code in the F76B003 table, the system calculates PIS/PASEP or COFINS taxes if the Apply field for the tax specifies that the tax is to be applied. If a tax credit code is associated with the purchase use code in the F76B003 table and the Apply field for the tax does not specify that the tax is to be applied, the system does not calculate the tax for the line.

  3. If the system does not find a match between the purchase use code for a line item and the purchase use codes in the F76B003 table, the system retrieves the tax information for PIS/PASEP and COFINS tax credits (data item BRTAX1 through BRTAX8) from the supplier's address book entry from the F76011 table and calculates the tax, based on the code in the address book entry.

  4. If the supplier's address book entry does not contain a tax valid tax code for PIS/PASEP or COFINS tax credits, the system does not calculate these withholding taxes for the line.

Note:

  1. Tax codes for PIS/PASEP and COFINS tax credits are valid only if the Retention/Aggregation/Credit field in the F76B0401 table (data item BRRTA) contains a C. The Nota Fiscal Check & Close program ignores PIS/PASEP and COFINS tax codes that do not contain a C in the Retention/Aggregation/Credit field.

  2. (Release 9.2 Update) JD Edwards Enterprise One Procurement system allows the customer to include or exclude the ICMS tax value from the base amount for calculating PIS and COFINS tax value, for nota fiscal documents produced in the country.

  3. (Release 9.2 Update) Enter the required value in the processing option ICMS Tax in PIS/COFIN Basis for Nota Fiscal Receipts – Brazil (P4312BR) to proceed with calculating the PIS/COFINS taxes. See Setting Processing Options for Nota Fiscal Receipts - Brazil (P4312BR)

Tutorial: Click here to view a recording of this feature.

The system follows these steps when calculating PIS/PASEP and COFINS taxes for notas fiscais entered in the JD Edwards Enterprise One Procurement system:

  1. Calculates the tax by using this formula: [(Nota Fiscal Line Extended Amount + Freight + Insurance + Expenses - Discount Amount) - ICMS Tax] * Rate of PIS/PASEP or COFINS Tax.

  2. Writes records to the F43121 table for the PIS/PASEP and COFINS taxes, but does not create payable transactions until you run the PIS COFINS Netting Process program (R76B9011).

  3. Updates the Average Cost of the item with the amount, excluding the PIS/PASEP and COFINS taxes.

  4. Writes records to the F76B001 table and the F76B011 table, and marks the records as unprocessed.