How GTS Rules With A Restriction Are Applied? (Doc ID 3058775.1)

Last updated on NOVEMBER 13, 2024

Applies to:

Symptoms

Created a GTS rules with a restriction at supplier level (CFA). The rule cover all merchandise Hierarchy and vat source region is the supplier vat region and destination region is store vat region and sets the VAT as 0 for cost. An item was created and ranged to the store as consignment.
Expected to see in Item taxes all tax rules that apply to that item, but that rule is not displayed. Plus, a PO was raised for that item and the VAT displayed in the PO is not the VAT define in the rule but the standard VAT where no restrictions exists.
Expectation is for the VAT expected to be displayed in the PO is also the ZER (0) VAT rate define in the rule.

Steps:
1. Login MFCS.
2. Confirm VAT region Y is a child VAT region from VAT region X.
3. pick a supplier S and set a CFA (taxable attribute) and check it (yes) and supplier vat region = X.
4. create and activate a rule where source region is X and destination region is Y, apply all merchandise Hierarchy and setting the VAT = 0 for cost. Add a restriction at supplier level where supplier must have that CFA mentioned above set to yes.
5. Create and approve an item for that supplier and range it to store A (which VAT region is Y) as consignment item.
6. check the item taxes section and confirm the tax rule created previously is not displayed.
7. create a PO for that item/supplier/store and confirm the VAT applied is not the VAT defined in the rule, but all elements source region VAT, destination region VAT.

Additional questions:

i. If the Taxes (from GTS) users see in order header are related to Retail, would that mean that if in the same PO there are 4 items, each with a distinct tax code, would the 4 tax codes appear?

ii. The tax code for COST are displayed in the order detail screen, in the contextual report at item level. How/where users have visibility of the total COST tax amount of the PO? Why isn't the COST tax codes/amount display in the PO header just like tax Retail tax codes/amounts?

iii. the VAT defined on the rule above should appear in the PO even if it's zero vat, Why it is not shown?

Cause

My Oracle Support provides customers with access to over a million knowledge articles and a vibrant support community of peers and Oracle experts.