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<ManualTopic ID="/baanerp/tf/onlinemanual/000180" xml:lang="en">
   <Header>
      <Title>21 Days Rule</Title>
   </Header>
   <AimSection>
      <Paragraph>The Time of Supply is the time when the goods or services are
		delivered.</Paragraph>
      <Paragraph>The invoice date is considered as the Time of Supply, if the tax
		invoice is issued by the supplier within 21 days from the date of goods
		delivered or services rendered and the payment is yet to be made.</Paragraph>
      <Paragraph>If the tax invoice is not issued within 21 days from the date of
		goods delivered or services rendered, the Time of Supply is the delivery
		date.</Paragraph>
      <Paragraph>According to the Time of Supply rule, GST must be accounted
		while receiving the advance or can be accounted within 21 days of goods
		delivery. If there is no advance receipt with tax is received from the customer
		or the invoicing is not done within 21 days of goods delivery, a provision for
		GST Output Tax is made.</Paragraph>
   </AimSection>
   <ExampleSection>
      <SectionTitle>Example</SectionTitle>
      <Paragraph>A sells and delivers a gadget to B on 18 December 2010. The
		value of the gadget is RM1,000. A has already issued a tax invoice for RM1,060
		to B on 2 October 2010. B pays a sum of RM832 on 6 November 2010 as part
		payment and the balanced amount on 5 December 2010.</Paragraph>
      <Paragraph>The time of supply for GST due [amounting to RM60 (6/106 X
		RM1,060)] is 2 October 2010 regardless of the payment A has received or is to
		receive after 2 October 2010.</Paragraph>
   </ExampleSection>
   <ExampleSection>
      <SectionTitle>Example</SectionTitle>
      <Paragraph>Alan delivers the gadget on 18 December 2010. On 2 January 2011,
		B pays RM832 as part payment. Alan issues a tax invoice on 4 January 2011 for
		an amount of RM1,060 and states that the balance of RM208 to be paid.</Paragraph>
      <Paragraph>The time of supply for GST due [amounting to RM60 (6/106 X
		RM1,060)] is 4 January 2011 since the tax invoice is issued within 21
		days.</Paragraph>
   </ExampleSection>
   <GeneralSection>
      <SectionTitle>Consignment Sales</SectionTitle>
      <Paragraph>GST must be accounted for:</Paragraph>
      <List>
         <ListItem>Consignment goods are not sold withing 12 months of the receipt
		  date</ListItem>
         <ListItem>Goods are consumed and the consignee issues a statement to the
		  consignor.</ListItem>
      </List>
      <Paragraph>If the invoice is not generated within 12 months, GST must be
		accounted and Output tax paid.</Paragraph>
      <GeneralSection>
         <SectionTitle>Consignment Sales Setup</SectionTitle>
         <Paragraph>In the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c" role="session">GST Parameters (tfgld9120m00c)</GUIRef> session, specify the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c#tfgld920.spty" role="manual">Transaction Type</GUIRef> and the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c#tfgld920.slea" role="manual">Interim Account</GUIRef> in the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c#gld.c004" role="groupbox">Goods Delivered 21 days check</GUIRef> group box.</Paragraph>
         <Paragraph>In the <GUIRef href="/baanerp/wh/wmd/whwmd2500m000" role="session">Warehouses (whwmd2500m000)</GUIRef> session, specify a business partner for the specified
		  consignment warehouse. The <GUIRef href="/baanerp/wh/wmd/whwmd2500m000#tcmcs003.typw" role="manual">Warehouse Type</GUIRef> must be <GUIRef href="/baanerp/tc/domains/typw#consignment.own" role="option">Consignment (Owned)</GUIRef>.</Paragraph>
         <Paragraph>In the <GUIRef href="/baanerp/td/sls/tdsls0694m000" role="session">Sales Order Type - Activities (tdsls0694m000)</GUIRef> session, create a <GUIRef href="/baanerp/td/sls/tdsls0694m000#tdsls094.sotp" role="manual">Sales Order Type</GUIRef> of type, Consignment Replenishment
		  and Consignment Invoicing. Consignment replenishment is the sales order type
		  that must be specified when creating a sales order for the goods sent from the
		  consignor to the consignee.</Paragraph>
         <Paragraph>In the <GUIRef href="/baanerp/td/sls/tdsls0100s400" role="session">Sales Order Parameters (tdsls0100s400)</GUIRef> session, specify the consignment invoice
		  type for invoicing. The sales order type must be Consignment Invoicing when the
		  consignee is specifying the goods sold.</Paragraph>
      </GeneralSection>
   </GeneralSection>
   <GeneralSection>
      <SectionTitle>Goods Delivered but Not Invoiced(21 days
		check)</SectionTitle>
      <ProcedureList>
         <ListItem>In the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c" role="session">GST Parameters (tfgld9120m00c)</GUIRef> session, in the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c#gld.c004" role="groupbox">Goods Delivered 21 days check</GUIRef> group box, specify the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c#tfgld920.glec" role="manual">Goods Account</GUIRef> and the <GUIRef href="/baanerp/tf/gld/tfgld9120m00c#tfgld920.gtyp" role="manual">Goods Transaction Type</GUIRef>.</ListItem>
         <ListItem>Create and process a sales order. <GUIRef href="" role="manual">Note</GUIRef>: It is recommended to
		  create the sales order with the tax code as GST-SR.</ListItem>
         <ListItem>In the <GUIRef href="/baanerp/tf/gld/tfgld9227m00c" role="session">Print Goods Received but Not Invoiced within 21 Days records (tfgld9227m00c)</GUIRef> session, click Continue to view the report of the sales orders prior to 21 days
		  of the specified date and the corresponding invoices. If the document number of
		  the specified sales order is 0, the invoice is not generated for the sales
		  order.</ListItem>
         <ListItem>Run the <GUIRef href="/baanerp/tf/gld/tfgld9227m10c" role="session">Process Goods Delivered but Not Invoiced within 21 Days (tfgld9227m10c)</GUIRef> session, to
		  generate the provision document number for the sales order with goods
		  delivered. .</ListItem>
         <ListItem>In the <GUIRef href="/baanerp/tf/gld/tfgld1504m000" role="session">Document History (tfgld1504m000)</GUIRef> session, select the document number generated for the
		  sales order and print and non-finalized transactions report, to view the tax
		  posting.</ListItem>
         <ListItem>In the <GUIRef href="/baanerp/tf/gld/tfgld1519m000" role="session">Finalization Run Numbers (tfgld1519m000)</GUIRef> session, run the batch finalization for the
		  batch number specified in the Non-finalized transaction report.</ListItem>
         <ListItem>Process the billable lines and pdt the invoice. <GUIRef href="" role="manual">Note</GUIRef>: The application
		  displays both positive and negative records fo the month in which the invoice
		  reconciliation is done.</ListItem>
         <ListItem>The invoice amount is displayed in the sections 5(A) and 5(B)
		  of the GST-03 report when you run the the <GUIRef href="/baanerp/tf/gld/tfgld9421m00c" role="session">Print GST Return (GST - 03) (tfgld9421m00c)</GUIRef> session.</ListItem>
      </ProcedureList>
   </GeneralSection>
   <GeneralSection>
      <SectionTitle>Goods Received Into Consignment Warehouse and Inventory is
		yet to be Consumed</SectionTitle>
      <Paragraph>In this scenario, the goods are dispatched from the consignor to
		the consignee, and are yet to be invoiced. A replenishment order is generated
		for the consignor, but an invoice is not generated.</Paragraph>
      <ProcedureList>
         <ListItemHead>Processing</ListItemHead>
         <ListItem>Create a sales order of type Consignment replenishment for the
		  goods to be transferred.</ListItem>
         <ListItem>Process the order. The warehouse order is created based on the
		  order type and BP.</ListItem>
         <ListItem>Process the outbound order, shipment lines and inbound
		  order.</ListItem>
         <ListItem>In the <GUIRef href="/baanerp/ci/sli/cisli9210m000" role="session">Book GST Provisions for Consignment Sales Order Lines (cisli9210m000)</GUIRef> session, select the <GUIRef href="/baanerp/ci/sli/cisli9210m000#book.gst" role="manual">Book</GUIRef> option to generate the provision document for the
		  consignment sales order lines with the delivery date 12 months prior to the
		  specified date. A report is generated with the GST tax amount and the provision
		  document number.</ListItem>
         <ListItem>Finalize and post the document.</ListItem>
         <ListItem>In the <GUIRef href="/baanerp/tf/gld/tfgld9421m00c" role="session">Print GST Return (GST - 03) (tfgld9421m00c)</GUIRef> session, click print. The application
		  displays the data in section 5a, 5b and 19 respectively.</ListItem>
      </ProcedureList>
   </GeneralSection>
   <GeneralSection>
      <SectionTitle>Goods Received Into Consignment Warehouse and Inventory is
		Consumed after 12 months</SectionTitle>
      <Paragraph>In this scenario, goods are already consumed from consignment
		warehouse and the sales order and invoice are generated. However, the invoice
		is not posted in Central Invoicing.</Paragraph>
      <ProcedureList>
         <ListItem>For a sales order of type consignment replenishment, you must
		  create a corresponding sales order of type consignment invoicing for the number
		  of units that are consumed.</ListItem>
         <ListItem>Process the sales order. <GUIRef href="" role="manual">Note</GUIRef>: The quantity of the
		  sales order must be lesser than the shipped quantity.</ListItem>
         <ListItem>Process the sales invoice. The reversal document numbers are
		  created.</ListItem>
         <ListItem>In the <GUIRef href="/baanerp/ci/sli/cisli9210m000" role="session">Book GST Provisions for Consignment Sales Order Lines (cisli9210m000)</GUIRef> session click Book,
		  to generate the provision document for the consignment sales order lines with
		  the delivery date 12 months prior to the specified date. The application
		  displays a report with the GST tax amount and the provision document
		  number.</ListItem>
         <ListItem>In the <GUIRef href="/baanerp/ci/sli/cisli9510m000" role="session">Consignment Sales Order Lines Details (cisli9510m000)</GUIRef> session, review the provision
		  document number for the replenishment order and the corresponding reversal
		  documents.</ListItem>
      </ProcedureList>
   </GeneralSection>
</ManualTopic>