| # Additional Features These are the added features: Form Tracking You can use the Form Tracking functionality to record the status of the applicable statutory forms. The forms can have following status: Issue Receipt The applicable statutory forms, such as Form C for Central Sales Tax - sales transactions and Central Sales Tax - purchases transactions allows the sale or purchase of goods or services at a tax rate that is below the statutory rate prescribed by the authorities. Under statutory obligation you must substantiate the sale or purchase transactions that are made against the forms. To Substantiate the Sale / Purchase at a Lower Rate : You must collect the forms against the sales that are made at a lower tax rate. You must issue the forms against the purchases that are made at a lower tax rate. Important! You must track the collection of the form against the specific sales order for which the form is used. You must track the issue of the form against the specific purchase order for which the form is used. Various financial instruments like Purchase Invoice Details, Sales Invoice Details, Credit Notes, Anticipatory Payments, Advance Payments, and Advance Receipts can store statutory form details. No reports are generated based on the Form Tracking functionality. You must customize the Form Tracking functionality to generate reports with the required data. Multiple Import Purchase Order with Single Receipt / Bill Of Entry This functionality allows you to use a single receipt or bill of entry to receive material imported by means of multiple import orders placed to a single supplier. In the normal Import business, many purchase orders can be placed to the same vendor for different items. You can receive these items, which are ordered against different Purchase Orders, against a single bill of entry. Withholding Tax on Advances - Solution Number This functionality allows the buyer to record the advance payment made to the supplier as the gross amount ( gross amount = net amount payed + tax deducted at source) , and also allows the buyer to adjust the advance that is paid to any invoice that has the tax deducted at the same percentage. Tax must be deducted at source when a liability booking entry is posted in the records or against actual payment made by the buyer, whichever one occurs earlier. If an advance is given by the buyer, tax must be deducted at source, and only the net amount must be paid to the supplier. The buyer must record the gross amount in the books, where `gross amount = net amount payed + tax deducted at source`. The invoice of the advance with tax deducted at source, which is collected from the supplier still shows the net amount as balance receivable from the buyer. Automatic JV / Deferred Cenvat Credit – Transfer Taxes This functionality allows you to transfer the balance installment of CENVAT credit from the Deferred A/C to Purchase Tax Accounts for Capital Goods and posts the details of the first capital item transaction to the CENVAT register. CENVAT credit is available in two installments for all capital purchases. You must take the first installment in the year in which you purchase the capital item. The balance second installment amount is credited to the Deferred A/C. You can take the balance second installment in any subsequent years. When you take the second installment, the details of the first capital item transaction must be posted in the CENVAT register. You must run the Transfer Taxes (tfgld9235m00l) session to transfer the balance installment of CENVAT credit from the Deferred A/C to Purchase Tax Accounts for Capital Goods for a given range of records. The Transfer Taxes (tfgld9235m00l) session posts the details of the first capital item transaction to the CENVAT register. The initial transaction details like purchase invoice number, date of purchase and so on are posted to the CENVAT register. Retro Billing This functionality allows you to generate a supplementary sales invoice for the amount / transactions not billed in original invoice. The new retro-billed orders will now have all the tax-related data retrieved from the original sales order. One of the business scenario can be that after you generate and send the sales invoice to a customer, you realize that you missed some amounts that must be billed to the customer. Now the business requirement is to generate a supplementary sales invoice with the following conditions: The movement of goods must not be allowed for the retro-billed invoices. The retro-billed invoices must have the same tax terms as the original invoice. In case the prices of the items specified in the order lines of the retro-billed order are changed, you must note the following points: New price for an item is specified on the order lines. The line amount is the difference between the new price and the old price of an item. `Line amount = New item price - Old item price` The amount for the retro-billed sales order is the summation of all the line amounts. `Sales order Amount = Sum of line amounts` The sales order amount is the taxable assessable value (ASV) which is used for tax calculation of the retro-billed order. Retro billing in Purchase This functionality allows you to perform retro billing on purchase. There may be change in price or any other reason for which you must charge additional amount on the closed purchase order. Hence, using this functionality you can charge additional bills for the bills which are already paid, approved and closed purchase orders. RG Registers updating for warehouse transfers This functionality updates the applicable RG register for transactions that are completed through warehouse transfer orders, based on item type. When the goods on which the excise duty is levied are transacted from a warehouse for which the excise duty is applicable and which has excise registration number, the ECC (Electronic Control Code), an entry corresponding to each transaction must be made in the applicable excise register. Based on the type of item transacted, the entry must be made in the following excise registers: For raw materials, the excise entry must be made in the RG 23 A/C register . For finished goods, the excise entry must be made in the RG 1 register. The excise registers are updated based on the warehouse transfer orders of type issue or receipt for manufactured items. Important! The excise registers are updated based on the parameters RG1 Update Sequence specified in the India localization. Tax Inclusive for domestic Purchases This functionality takes into account the consolidated price of an item - inclusive of all tax amounts and performs the following postings for a domestic purchase transaction: The system posts the basic price and taxes that you cannot claim against the inventory value. The system updates the credit pool with the taxes that you can claim. In some purchase transactions, you place an order with the supplier for a consolidated price, which includes all tax amounts. The vendor then supplies the material against excise invoice ( Goods Pass out Document ), which contains the breakup of the amounts for basic price and tax amounts. This functionality performs the Tax & MAUC ( Moving Average Unit Cost ) calculations when the purchase order line price is inclusive of all taxes. This functionality fulfills the business requirement to account the basic price and taxes that you cannot claim against the inventory value, and to update the credit pool with the taxes that you can claim. The basic order line price (excluding taxes) is not updated in the purchase order lines. Note The Tax Breakdown Structure session displays the tax amounts that are calculated based on tax inclusive price. This is only a display session. The actual amounts that are posted are different and are based on the excise invoice ( Goods Pass out Document ). Important! The Change Price and Discounts after Receipts and Receipt Correction functionality apply only to purchase order lines that have basic price (excluding taxes). Receipt Correction This functionality allows you to update a Receipt with the correct number of goods that are received in the warehouse. In normal business scenario there can be cases where the receipt which is generated after receiving the goods in the warehouse needs to be modified. This functionality records the changes made to the receipt, and updates the following based on the modified quantity of goods that are received in the warehouse: Tax Amounts Credit Pool Excise Registers Inventory Values Certificate of Procurement for Imports This functionality allows you to meet the requirement of independently maintaining the Certificate of Procurement (COP) without a purchase order or a bill of entry. The government gives prior approval to import items in the form of certificate of procurement. This certificate contains details of items and their specified quantity that can be imported. You can raise import orders after the certificate of procurement is obtained. The COP is issued for a period. You can use the same COP against multiple import orders with single receipt until the following conditions are not violated : The quantity limit specified in the COP is not exhausted. The period for which the COP is issued, is not expired. Export under Rebate This functionality allows you to despatch goods for export against an entry made in the RG 23 A/C register without affecting the bonds. Serial number is generated against such export under rebate transaction in Part II of RG 23 A/C register. The generated serial number is printed on ARE. You can pay the duties for export under rebate transactions through the following means: Entry in RG 23 A/C register: You can claim the amount of duty paid through RG 23 A/C, back from the government. In case the duty is paid through RG 23 A/C transaction, an entry of the serial number of the transaction must be made in the part II of the RG 23 A/C register. This entry is made with the amount of non-exempt taxes. Entry in PLA: You can claim the amount of duty paid through PLA, back from the government. Entry in Bond RG23 D for Imports This functionality allows you to do the following : Import goods into an RG23D warehouse. Pass the CENVAT credit for the duties paid on the goods to the customer in dealer sales transaction. You can import the goods with the purpose of reselling. Therefore, CENVAT credit for the import duties must be passed on to the customer who purchases the goods. These goods must be imported by the dealer against RG 23 D warehouse to enable the dealer to pass the credits to the buyer of the goods. The imported goods can be re-sold from the dealers warehouse, taking into account the applicable duty credits from purchase transactions and passing the credits to the buyer in the dealer sales transactions. Change Prices and Discounts for Domestic purchases and Imports This functionality allows you to record the changes in the details of the goods that are received in the warehouse to reflect the actual transaction. You can use the Change Prices and Discounts after Receipt session to record the change in the details of the goods. The need to make a change in the details of the goods that are received in the warehouse can occur for both domestic purchase orders and import purchase orders with or without exempted duties. The change in the details must be recorded after you have received the goods in a warehouse, but before preparation of the invoice for the goods received. You might need to change the following details: Quantity of goods Value of goods Tax amounts Tax codes Discounts Change Price & Discounts This Change Price and Discounts (tdpur4122m000) session is enhanced to include these features: Apart from changing the price and tax code, you can modify the additional charges. You can modify existing and the new additional charges. You can change the business partner details for an additional charge at warehouse receipts and Change Price Discounts. A new session is provided to modify the additional charges. To access the new session, you must select the Change Actual Additional Charges Manually check box, in the Change Price and Discounts (tdpur4122m000) session. After you select the check box, depending on the kind of purchase order either domestic or imports the additional charges or import additional charges options are enabled in the specific menu. Select Additional Charges option on the specific menu to access the Additional charges session. After the changes are made in the additional charges you can continue with Change Price Discounts changes. Cost Item Enhancements This functionality allows you to define the following localization features for the cost items specified on sales orders and purchase orders. Define if the excise duty is applicable to the cost item Define if the item is a capital item Define if the excise register must be updated for the transactions against these items Define if the items are eligible for special functionalities such as eligible for CT3 purchase Purchase Order Invalidation Letter The functionality of Advance License is extended to domestic exempted purchase orders. The functionality of Advance License for domestic exempted orders is same as the functionality of the imports exempted orders which use advance license. Both the flows are same except the order is of type domestic or imports. In the Advance License Lines (tccom9146m00l) session, the following two new fields are included. Business Partner Domestic: If this check box is selected, you can use the advance license certificate for domestic exempt purchase orders. Sales Order - Advance Licenses This functionality allows you export sales using Advanced License route, with the payment of duty. This type of transaction will follow the normal ARE1 procedure. This solution is provided only for the duty payment transaction and not for the original invoice payment. Warehouse Order Additional Charges This functionality allows you to provide additional charges at the warehouse order level. It is available for the following combinations:
Order Origin | Transaction Type
--- | ---
Transfer | Transfer
Transfer (Manual) | Transfer
SFC Production | Transfer
EP | Transfer
The additional charges amount specified at the warehouse order header is defaulted to the outbound lines and in turn to inbound lines. The actual additional charges can be changed at the shipments and receipts. After the receipts are generated, the additional charge amounts are also added to the inventory value. The Other Business Partner field can be changed at receipts, if invoice is not from main business partner. The actual amounts can only be changed at receipts. Tax Collected at Source This functionality allows you to collect the Tax Collection at Source (TCS) amount on scrap sales. There is a provision to collect the TCS tax on advance receipts and sales invoices. The TCS on advance receipts levied against scrap sales is a singular tax code, considering the cess requirements if any. On the scrap sales invoice along with TCS, Excise and VAT amounts are also applicable. If excise is applicable an excise invoice is generated with serial number using the series of ECC selected in the invoice. Advance for Scrap sales with TCS can be setoff against Scrap Sales invoice with TCS if the rate of TCS in advance is same as the rate of TCS on invoice. TCS on later of these two documents will be reversed. A TCS register can be printed to display the TCS on Advances, TCS on Invoices and a negative amount for assignment of Advances to Invoices showing the net TCS amount. A tax declaration for TCS is performed to display the total amount of TCS to be remitted to tax collection authority. The same tax can be remitted to the government using the standard procedure. Prorate Additional Charges Domestic PO This functionality allows you to define an additional charge as Prorate type and use it for domestic purchase orders. You can distribute the additional charges entered at the Purchase order header levels to the lines using prorate. The definition of prorate is to distribute the additional charge amount in the ratio of the value of the line amounts. |