E1: 42: Non Stock Item to be Exempted from VAT
Last updated on JANUARY 02, 2018
Applies to:JD Edwards EnterpriseOne Sales Order Management - Version 9.1 to 9.1 [Release 9.1]
Information in this document applies to any platform.
Non Stock Item to be exempted from VAT.
In order to exempt the VAT for a non stock item, user has defined Tax by item specific tax rates in (P4008) for this non stock item with ZERO tax, and within the same configuration, the same line type used for a non stock item has also setup item group specific tax rates in (P4008) different from the item specific rate, and the issue reported here is, after entering a sales order for the non stock item, it is calculating tax rate from the item group specific rate rather from item specific rate.
The issue can be reproduced at will with the following steps:
1. In P40205, N line type constant, the Edit Item Master for Non-Stock Item must be checked.
2. Within the same page, enter the Include in Tax 1 field to use value (3).
3. In P4101N, the NON stock item (FREIGHT) must be setup in F4101 file
4. In P4008 Using existing Tax Rate/Areas and copy to a NON stock item, says FREIGHT is placed on an order with Tax Rate/Area CO, only 0 % tax will be charged.
5. Create another item group specific rate for (3) in P4008 will be charged the 5% tax accordingly.
6. Setup a general tax for all other items will be charged the 17% tax accordingly.
7. During Order entry, with given tax area/rates as CN17, and enter a few items along with a NON stock item, the few items will apply the 17% tax, and NON stock item will have 5% tax charging, instead of 0% tax rate.
8. Checking through the record in F4211, the short item number is populated fro the NON stock item. This will pair with the same record setup using item tax specific rate in P4008, hence, the 0% tax should apply.
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