1. Localizations for India Implementation Guide
  2. Entering Opening Balances for Cash Ledger, Input Tax Credit, and Tax Liability Ledgers

Entering Opening Balances for Cash Ledger, Input Tax Credit, and Tax Liability Ledgers

Use the GST Ledgers Setup program (P75I804) to maintain these ledgers for GST: Cash Ledger (CL), Input Tax Credit (ITC), and Tax Liability (TL).

You can view the opening and closing balance amounts for CL, ITC, and TL for the GST types (CGST, SGST, IGST, and Cess). You can enter the opening balance only for the first period for a GST unit. When you close the record for the current period, the system automatically carries forward the closing balance amount of the current period to the next period. For example, if the closing balance amount for period 3 in 2016 is 10,000 INR, the system uses the 10,000 INR closing balance as the opening balance for the next available ledger record for the GST unit. When you add a new period, the opening and closing balance amounts for that period is zero.

Transactions in Future Periods

You can add records for future periods in P75I804. The system allows GST ledger entries for future periods that are available in the P75I804 program.

The system bases the fiscal year and period that you enter in this program on the fiscal date pattern of the company in the Date Fiscal Patterns table (F0008). The system retrieves the company based on the business unit that is associated with the GST unit in the P75I804 program.

This GST ledger information is stored in the GST Ledgers Setup table (F75I804). The system does not allow you to delete ledger records if transactions exist for the period in the GST Tax File table (F75I807).

From the GST Ledgers Setup program, you can launch the GST Ledger Details program (P75I814) that you can use to review batches of GST journal entries. The system provides you an option to post batches of journal entries using this program.

Ledger Adjustments

You need to make adjustments to the amounts in the GST ledgers, for example, when you have tax refunds from GSTIN or interest paid on late payment. The system allows you to record the adjustments and credit or debit the adjusted amounts.

When you adjust the amounts in the ledger, the system:

  • Enters a record with the updated closing balances in the GST Ledgers Setup table (F75I804)

  • Creates a record with the batch number for the adjusted amount in the GST Ledgers table (F75I823)

  • Creates a pair of journal entries for each adjusted amount in the Account Ledger table (F0911)

You can adjust the ledger amounts for a closed period. The system updates the closing balances for that period and updates the F75I804, F75I823, and F0911 tables. However, the system does not carry forward the adjusted amount to the next active period.

If you make adjustments to GST ledger for a closed period, the system stores the end date in the GST Ledgers table (F75I823) and Account Ledger table (F0911).