E1: 17: Service Contract Workfile Generation (R1732) Incorrectly Adds Available Discount to Contract Invoice Amount (ITOL)
(Doc ID 2819765.1)
Last updated on NOVEMBER 05, 2021
Applies to:JD Edwards EnterpriseOne Service Management - Version 9.2 and later
Information in this document applies to any platform.
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). This is incorrect; the Invoice Amount (ITOL) should be the Taxable Amount (IXTA) + Invoice Tax (ITAM).
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.
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. Select the record and click on the Accounts/Amounts tab; notice that the Total Amount incorrectly includes the available discount. For example, if Taxable Amount = 1,000.00, Tax Amount = 200.00 and Available Discount = 12.00, the system will calculate Total Invoice Amount = 1,212.10. It should be 1,200.00.
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