LIABILITY ENTRIES NOT GETTING GENERATED FOR REVERSE CHARGE SERVICE TAX PORTION (Doc ID 2012640.1)

Last updated on MARCH 08, 2017

Applies to:

Oracle Financials for India - Version 12.1.3 and later
Information in this document applies to any platform.

Symptoms


ACTUAL BEHAVIOR  
---------------------
Liability entries not getting generated for Reverse Charge service tax
portion

At the time of Invoice(with reverse charge service taxes and normal service
taxes) booking,accounting and running service tax processing
the below accounting is not getting generated

Service Final Liability Dr
       Service Interim Liability Cr

Due to above entry not getting generated unable to do the settlement
So only after settlement is done and service tax processing is run the below
entry should get generated

Service tax recovery Final Dr
       Reverse Charge account Cr



EXPECTED BEHAVIOR
-----------------------
The above set of accounting entries should get generated correctly

STEPS
-----------------------
The issue can be reproduced at will with the following steps:
a) Create invoice with Normal and RC Service taxes
b) Validate,account and run the service tax processing
Observe the first set of entries mentioned above not getting generated..

BUSINESS IMPACT
-----------------------
The issue has the following business impact:

Because of this issue the impact of settlement is not appearing in the GL

Cause

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