R12: PA - AR Tax Integration Issue - Tax Classification Code Got Overridden in AR (Doc ID 2336766.1)

Last updated on APRIL 19, 2024

Applies to:

Symptoms

Gap tax calculation between the Projects (PA) and Accounts Receivables (AR):

1) In case for one of the draft invoice lines the tax classification code is not specified (null), the system does not throw an error and the tax classification code is automatically changed by the system, after interfacing the invoice to AR.

2) In case of changing manually the Tax Classification Code to 0% on draft invoice line, tax code is also overridden when interfacing the invoice to AR, by the setup from EBTax and PA.

STEPS:

1. Create PA invoice
2. Go to Invoice Summary > Search for draft invoice number X
3. Click on Invoice Lines > Tax Description
4. Before doing the transfer to AR
    a. Remove the tax from the last line / Change to 0%
    b. Save, approve and release the PA invoice
5. Interface the invoice to Receivables
6. Go the AR responsibility and see the transaction
7. Note the last line receive another Tax Classification - Y (not the one coming from the Project) and the tax amount was calculated.

SETUP:

• eBTax: Allow Override of Tax Classification Code profile option. = YES
• Project X > Billing setup > Tax Classification Code = 5%
• Event Type Setup used for project with issue > Tax Classification Code = 5%
• AR Transaction Type Setup > Default Tax Classification checked for transaction type used for draft invoice
• E-Business Tax setup for Project X: Navigation: Default and Controls tab > Application Tax Options > Application = Projects
      Defaulting Order 1 =  Project
      Defaulting Order 2 = Customer Site
      Defaulting Order 3 = Expenditure type/Event type / Retention

Changes

Cause

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