1. Localizations for Hungary Implementation Guide
  2. Understanding the Foreign Voucher VAT Differences Report

Understanding the Foreign Voucher VAT Differences Report

You run the Foreign Voucher VAT Differences program (R74H420) to print the VAT amount differences that you calculate and the VAT amount that your supplier calculated on invoices in a foreign currency. Differences in the amounts might occur for vouchers calculated in a foreign currency if you and your supplier used different currency exchange rates. You can use the information in the report to make manual adjustments to your ledger entries as needed. You might need to make changes because you must report the VAT amount that appears on the supplier's invoice even if the amount that you calculate is different. For posted vouchers, you can run the Foreign Voucher VAT Differences program to generate journal entries associated with VAT differences.

For posted and unposted vouchers, when you run the Foreign Voucher VAT Differences program, the system reads the tax amounts that you calculated and the tax amounts that your supplier calculated from the Foreign Vouchers Supplier Amounts table (F74H410). The system populates the F74H410 table with the tax information for foreign currency vouchers when you enter the information in the Supplier Amounts for Foreign Vouchers program (P74H410). Then, you use this information to manually adjust your ledger entries as needed.

The system prints a report that includes, for each transaction:

  • Supplier name and address book number.

  • Supplier calculated amount and the exchange rate that the supplier used.

    The supplier amount appears in a column labeled Reported VAT Amount.

  • Document type, document number, company, and business unit.

  • Company calculated amount and the exchange rate that your company used.

    The company calculated amount appears in a column labeled Accounted VAT Amount.

  • The difference between the Reported VAT Amount and the Accounted VAT Amount.

    The difference appears in a column labeled Difference VAT Amount.

The report shows the totals for the VAT amounts by each tax area and tax explanation code combination, as well as the GL offset account (GL Class) unless the tax explanation code is S. The report also shows a report total for the Accounted VAT Amount, Reported VAT Amount, and Difference VAT Amount columns.