Understanding the Generate Tax Liability Reverse Charge Report

You run the Generate Tax Liability Reverse Charge - AR report (R75I053) to create AP voucher with the tax authority as supplier. When you run this report, the system selects invoice lines for services from the F03B11 table under the reverse charge that was fully collected. It retrieves the service tax that the service provider has to pay to tax authorities, from the tax calculated when you run the Invoice Print program that is stored in the F75I735 table. This tax does not affect fiscal credits or debits.

You run the Generate Tax Liability Reverse Charge - AP report (R75I055) to generate vouchers for the amount that you as a service provider need to pay to the fiscal authority for purchases. The report calculates the service tax to be paid to tax authorities based on tax rates that exist in the F75I052 table, and creates an AP Voucher with the tax authority as supplier. When you generate a voucher and then run the Create Fiscal Credit for Reverse Charge report (R75I058), the report checks whether that service is under reverse charge; if it is, the report accumulates the tax into the fiscal credit in the F75I750 table for the month defined in the processing options.