E1: 17: Service Contract Workfile Generation (R1732) Incorrectly Adds Available Discount to Contract Invoice Amount (ITOL) (Doc ID 2819765.1)

Last updated on AUGUST 01, 2023

Applies to:

Symptoms

When using a Payment Term that includes a discount percentage and when Tax Rules (P0022) are set to Tax on Gross Excluding Discount, the Service Contract Workfile Generation (R1732) will calculate the workfile Invoice Amount (ITOL) with the available discount included (IDSC). The Service Contract Workfile Generation (R1732) uses the correct method to calculate the tax and discount per Tax Rules by Company; however, the amount that the system uses to calculate Taxable Amount (IXTA) is not correct.

When this issue occurs, after the invoice is created, it is not possible to create A/R Entries (R48199). The Journal Edit Register (R48300) will end in the following error:

Error: Amount Does Not Balance to Gross
CAUSE . . . .  Your G/L distribution amount does not balance to the distribution amount calculated by the program.
RESOLUTION. .  Change your distribution to balance to the amount calculated by the program.  For information on how the distribution amount was calculated refer to the help instructions for this program.

Steps:
1. In Payment Terms Revisions (P0014), create a record with Discount % = .01, Discount Days = 60 and Net Days to Pay = 60.
2. Create a customer record in the Address Book (P01012).
3. In the Customer Master (P03013), enter the Payment Terms from step 1 and a valid Tax Rate/Area.
4. Inquire on Tax Rules (P0022) for the company used with Service Warranty Contracts, or if not entered, inquire on default company 00000. Under the Calculations section, select ‘Tax on Gross Excluding Discount’.
5. Enter a Service Contract (P1720/P1721) header using the customer from steps 2 and 3. Make sure that the Payment Terms and tax information are defaulted correct.
6. In the contract detail, enter a valid Service Package, Unit Price = 12,000, a valid Bill From/Bill Through, Bill Code Frequency = M and taxable Y/N = Y.
7. Run the Service Contract Workfile Generation (R1732) over the contract for the first billable period in final mode.
8. Inquire on the workfile record linked to the contract (P4812).
9. Find the batch in Batch Review (P48221); select the record and take the row exit to Create A/R.
10. Inquire on the resulting Journal Edit Register (R48300) report. Notice the following error:

Error: Amount Does Not Balance to Gross
CAUSE . . . .  Your G/L distribution amount does not balance to the distribution amount calculated by the program.
RESOLUTION. .  Change your distribution to balance to the amount calculated by the program.  For information on how the distribution amount was calculated refer to the help instructions for this program.

Changes

Cause

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