VAT Account- Expense or Liability
Hello all,
I need to create the VAT account to assign to the Input Tax Code. We do not have AR in SAP, and the offestting of Input and OUtput Taxes (VAT) is done outside of SAP as well. In that case, should this VAT (payable?) be an Expense or a Liability account, or an Asset account?
Your help will be highly appreciated.
Thank you,
Nubha
Thank you both very much for your valuable input.
This is the VAT account that will be debited at the time of Vendor Invoice entry (FB60). It might be such that, the nature of the account (Liabilit/expense or asset) will be based on the activity that is being perfomed?
The set up is for a Mexican company code and right now I only have 3 tax codes assigned to the same GL (expense) account. The 3 codes are all based on the vendor location (border-11%, non border-16%, No VAT- 0%). Maybe there will be events when, at the time of Invoice entry, the VAT account should rather be a liability account?
After all, some of the VAT are recoverable and some parts are not. Just my speculation.
Your thoughts would be welcome.
Thanks again.
Similar Messages
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Input Tax; Out put tax & VAT accounts
HI,
Please let me know what are the GL account required for the above taxes, with example GL account numbers.
Consider, for example Series 1XXXXX Liabilites; 2XXXXX Assets; 3XXXXX Income & 4XXXXX Expenses.
Thanks
ParthaHi
We will maintain some accounts for input/out tax and vat accounts. Take one simple sinario and what are the Tax GL accounts required for : Input Tax; Out put tax & VAT accounts
I have a little bit confussion, about tax clearing accounts, Ex: cenvat clearing account, cenvat payble account, cenvat account.
Like many accounts are there in the system. Please let me all the accounts (minimum requirement) requirement in chart of accounts.
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Partha -
Hello Experts,
I have a question on the profit center field of VAT account.
When I entered the line item for VAT account in document entry screen, I couldn't find the profit center field even though the field status of the account and the posting key are optional.
Is there anyone who knows why the profit center field is suppressed?
And who knows how to display the profit center field in document entry screen?
FYI, I don't mean the automatic account assignment is the way to solve above issue.
Thanks.
BR,
Chris KimDear,
I have tested the Scenario and below is my findings:
If you have document splitting activated on Profit Center then system will post the same profit center which is on the expense line item or Revenue Line Item.
As VAT accounts are automatically derived from OB40 and they are balance sheet items so there is no need to enter Profit Center there...if you want to enter the profit center then directly enter the amount in VAT Account by appropriate posting key system will show the Profit Center their..if you automatically derive through Tax Code then system will not show the Profit Center
Hope it is clear if not then please revert..
Br,Vivek -
Business area Not coming for CST /VAT account
Hi,
I am using Business area wise financial statements.System fetches business area for gl accounts except CST /VAT accounts as per the configuration.
Can this be solved through by running the program SAPF180?
i do not know how to do this .
GURUBefore using substitution, refer Note 199886. Think about all possibilities and then you decide.
BSEG-GSBER field for call point 9 (Line item) is not available for substitution. However substitution is possible but tricky.
Good luck.
PP -
Rebate settlements should not hit the VAT account
Hello everyone,
There is a question on Rebate Settlement.
There is a customer who is entitled to a 15% BPR rebate.
We are accruing for this rebate successfully
The issue we are having is that the materials that this customer buy from us attract 20% VAT but when the customer claims back from us they do not claim the VAT component.
We need to be able to do rebate settlements that do not hit the VAT account.
I ran a test in SAP on a sample rebate agreement but the only way I could get the rebate settlement to not hit a VAT account was to change a material to be not liable for tax and then settle against that material.
Billing doc 1-Posts to VAT since the material is Tax inclusive
Billing doc 2-Does not posts to VAT since the material is Tax exclusive
Any of you aware of any other way to do this (perhaps using a payment type)??
Kindly suggest,
Regards
ManjunathHi Manjunath,
As Brian already explained the way how usually rebate settlements happen with settlement or dummy material.
Is our business needs to have settlement against actual materials billed ?
If yes, we did an approach in our client.
we have a six document concept which is custom developed.
You have 2 documents created for rebate settlement run. Rebate credit memo request and rebate credit memo for settlement or dummy material maintained in rebate agreement.
These two documents gets cancelled with corresponding cancellation documents.
New set of documents created for Rebate credit memo request and rebate credit memo with actual materials.
All of these documents are created using a batchjob and these documents form document flow in our case.
You can try with help of an ABAPer for achieving this.
Thanks
Rama -
Cash Basis VAT Accounting.
Hi,
Experts advises are needed immediately.
We have a scenario of Cash basis VAT Accounting means client would like to consider the VAT amount only after making payment by the customer. It means the scenario will be like below
1. Raise Invoice to the customer with Tax amount
2. Customer makes payment for the invoice
3. Once the invoice is cleared partly / fully then only consider the VAT amount related to that invoice to submit to the tax authorities.
When I have checked the scenario in the standard system, it works fine without any problem but I have considered the same scenario in ISU, it doesn't work fine. I have done all checking alike closing of reconciliation key and transfer to FIGL.
If anybody encountered the same scenario or anybody knows how to deal with this scenario, pls let me know immediately.
Thanks in advance for your help.
Regards,
ChandraHi CP;
What is your EBS version?
Please check below links which could be helpful for your issue:
Accounting Methods
http://download.oracle.com/docs/cd/A60725_05/html/comnls/us/ap/accting.htm
Posting When You Use Cash Basis Accounting
http://download.oracle.com/docs/cd/A60725_05/html/comnls/us/ap/create16.htm
Also check below googling:
http://www.google.com.tr/search?hl=tr&source=hp&q=Cash+basis+accounting+method%2Boracle&aq=f&aqi=&aql=&oq=&gs_rfai=
Regard
Helios -
VAT account is blocked for posting.
Hi,
Sap debtor invoices and credit notes raised today are all blocked with the eerror sayin account xxxxx blocked for posting.
this account is a 17.5% vat code but a lot of the invoices are zero rate.
The code has now been opened so the invoces can be released but the vat accountant would likes this code closed as it is no longer used. Why it is affecting the invoices which are not vatable?
Thanks.Hi Akash,
You are getting the error even in case of non-vatable (zero vat invoices), because the system calculates the vat amount based on the percentage configured in the tax code. Even in case it is zero percent, the value calculated in zero (we do not see in the accounting document as zero value line items are not there in the accounting doc). However, still a tax line is created, which you can see in the table BSET. Now to create this line, the system checks if the account is open to be posted.
The other reason why it looks for teh GL account is because of the various tax reports (like ECSL), where even the zero tax rate items are reported, based on Gl account and tax codes
Hope the above answers your question.
Regards,
Abhishek -
Dear All,
We have set up two different accounts for Input and Output Vat in the Balance sheet. At the end of the closing period, the input and output account have to be offset so that payment can be made to the Tax Authority.
Unfortunately SAP is not permitting to create a journal entry in Vat Account.
Anyone can help
Thanks
KentishHi......
What the exact error you are getting ?......
Regards,
Rahul -
Prohibition direct input VAT account in MIRO t-code
Hi everyone.
I want to set validaiton in MIRO transaction to ban direct input VAT account.
As far as I know, we can disappear G/L account tab.
But my case, I also use G/L account tab for freight cost.
So I want to only vat account can not input directly.
Please help me...Check the field status group of the posting key used. You may supress the field.
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Business place with regard to Vat Accounting ( FI -SD & FI- MM )
Dear Freinds,
Kindly advise me about Business place with regard to Vat Accounting ( FI -SD & FI- MM ) . I have set up co code, tax procedure, created gl accounts etc in ECC 6.0.
I intend that the VAT reporting for my co code should be automatic, whenever the SD /MM person do billing / Invoice verification etc , <u><b>accting entries will be posted automatically, Vat accounts would get updated instantly, Monthly Vat returns are prepared automatically & returns are filled at the place of business for eg, nasik, delhi, ,Pune , Chandigarh etc etc.</b></u>
Thnks
VinodHi
Here is a link from SAP help
http://help.sap.com/saphelp_47x200/helpdata/en/e5/077d4f4acd11d182b90000e829fbfe/frameset.htm
Thanks
Ashok -
GL Balances data migration: Vat account
Hello !
I have a question for gurus!
I have to migrate all opening balances.How can I migrate the Vat account ?
many thankss
GiuliaHi Shekar,
You do not have to do anything in specific to make them zero. Let me explain you with a simple example.
Hope you would agree that your trial balance would be zero at any point of time. Thus, you can derive an equation as follows from your Balance Sheet -
Current Assets (Cash, Bank, AR etc.)
+ Fixed Assets
- Share capital
- Current Liabilities (AP)
- Other Debts
===
0
===
If you convert the above items as upload enteries, you would get the following -
Debit Current Assets
Credit Upload Current Assets GL
Debit Fixed Assets
Credit Upload Fixed Assets GL
Credit Share Capital
Debit Upload Share Capital GL
Credit Current Liabilities
Debit Upload Current Liabilities GL
Credit Other debts
Debit Upload Other debts GL
Thus all your upload GLs also would sum upto zero. Hope I have explained you. Else, please revert.
Regards,
Mike -
Net Invoices from Input Vat Account
Hi Experts,
I have an Input Vat account for an specific Company Code that has the netting functionality properly working. This functionality was turned on after a number of invoices had been processed for that account, and the account has a positive cumulative balance.
I need to net this invoices (posted before the netting functionality was turned on) into another netting account in order to have a Cero cumulative balance. I´m not able to manually journal the amount regarding the configuration of the account. (Post Automatically only flagged, Posting without Tax unflagged and the Tax Category is Input Tax).
Could you please help me to net this invoices into another netting account? I´m open to comments and ideas.
Thanks in advance,
Pedro.
Edited by: Pedro Danibele on Feb 9, 2012 1:49 PMHi,
Try with the following code
*XDIM_MEMBERSET RPTCURRENCY=LC
*XDIM_MEMBERSET INTCO=NON_INTERCO
*WHEN ACCOUNT.PROPERTY
*IS INCOME
*REC(EXPRESSION=%VALUE%,ACCOUNT="AC1",PRODUCT="NA")
*ENDWHEN
*COMMIT
After this, if you want to invert the sign, you can add the following before the *COMMIT
*WHEN ACCOUNT
*IS AC1
*REC(FACTOR=-1)
*ENDWHEN
Try to run the script using the debugger and see whether the result is correct or not.
Hope this helps.
I have removed the statement *XDIM_MEMBERSET MEASURES=YTD -
Creation of GL for VAT Accounts
The client is paying VAT while purchase of Raw materials and charging VAT to its Customers while selling its products. The Input VAT is to be set off against Output VAT partially. So, how many GL accounts should be created for VAT ? Should it be separate GLs for Input and Output VAT or only one GL for VAT in total ?
Please reply asap.
Thanks.Hi
One GL is enough for both Input & Output VAT.
VVR -
Automatic clearing of VAT accounts as criterion Profit center
Hello all,
We are trying to make automatic clearing for our VAT GL Accounts thru transaction F.13 and the criterion Profit center on table TF123.
The requirement is to clear the VAT line items form invoices against the documents generated by standard VAT declaration S_ALR_87012357.
This is not working as the profit center is not populated in Bseg on VAT line items, only in FAGLFLEXT.
How can we clear the VAT line items based on profit center automatically, is anyone already done this ?
Thank you
TamimThank you Mahesh,
The posting document generated by VAT declaration regroups many VAT postings, example
If I have 10 Invoices with VAT (each invoice with different Assignment), the VAT declaration will generate only 1 document, and regroup the different invoices VAT amount by profit center.
That's why assignment is different between VAT line item, and VAT declaration document line items.
Also, we do not have PO number most of the cases.
We really need clearing on profit center as it seem the only shared value.
Is there a solution for this issue ? -
ECess and HSCess Purchase Tax Account Ledgers in Liability
Hello All
By default when you select IN_COA Chart of Accounts why Cess and HSCess Purchase Account Ledgers are in liability Drawer, in Reality were the purchase tax what you paid is Asset.
Please Clarify
Thanks
Santhosh.kHi Santhosh,
Check the thread
Re: tax code
*Close the thread if issue solved.
Regards
Jambulingam.P
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