Complete the Setups and Tax Configuration

Complete the Payables and Receivables application setups and the related tax configuration. Assign tax reporting codes for Israel 835 reporting to your tax rates.

Assign Tax Reporting Codes

To assign tax reporting codes:

1. In Setup and Maintenance, navigate to the Manage Tax Rates and Tax Recovery Rates page.
2. Create or search for your tax rates.
3. Edit each tax rate.
4. In the Rate Period Details, select Tax Reporting Codes and choose the plus (+) icon to add a new Tax Reporting Code.
5. Select the Tax Reporting Type Code.
6. Select the required VAT Line Type from the available list of Tax Reporting Codes.
7. Save your changes.

For sub-categorization of Asset purchases, add a second Tax Reporting Code and select the Tax Reporting Type Code ORA_JEIL_835_SECONDARY.

A complete list of the tax reporting codes available for use can be found in Appendix A.

Set the Profile Option

The amount limit below which transactions should be aggregated is set by the Israeli tax authority. This amount is a parameter to the process that generates the VAT file in 835 format. The default value of the parameter during the process submission is controlled by a profile option. If the Israeli tax authority changes the aggregation amount limit, you can update the profile option setting to reflect the new amount, or you can just override the amount displayed in the parameter value at the time you submit the process.

To change the profile option:

1. In Setup and Maintenance, navigate to the Manage Administrator Profile Values page.
2. Search for the profile option code ORA_JEIL_835_LIMIT.
3. Set the new profile value for the site and/or specific users.
4. Save your changes.