Understanding Additional Item Master Information for Brazil

The Brazilian government requires Brazilian businesses to enter specific tax information that is related to each inventory item. The system uses this tax information to calculate Imposto sobre Produtos Industrialzados (IPI), Imposto sobre Circulaõ de Mercadorias e Servicios (ICMS), and Imposto sobre Circulaõ de Mercadorias e Servicios Substituto (ICMS) Substitution taxes; generate nota fiscal documents; and generate applicable fiscal reports.

You must enter general information for all stock and nonstock items. The system uses this information to identify and process each item in the distribution and manufacturing systems.

In Brazil, the government requires companies to maintain this additional information for each item:

• Fiscal classification.

• Tax code (IPI or ICMS).

• Whether the item is subject to tax substitution markup.

• Item origin.

• Purchase use.

• Messages to print.

• Retention of IR.

• Reduction of IR.

• Whether the item is a part of retention or reduction of INSS.

• And, if the item has imported content:

  • Imported Content percentage (CI)

  • Imported Content Form (FCI)

  • Amount of the Portion from Abroad

  • Total Amount of the Interstate Outbound

The system automatically displays the additional information form when you enter a new inventory item record. To access the additional information form when you inquire on an existing inventory item, select a record and select Regional Information from the Row menu.

You may also review (but not add) additional information from the Inventory Master - Brazil menu (G76B4111). You can review additional information by choosing Item Master.

When you enter additional information for an item, the system creates a record for the item in the F76411 table.