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Back Dated Termin Quote:Estimated Billing Adjustment Consolidated Credit Memo Causing Tax Issues (Doc ID 2437450.1)

Last updated on JULY 14, 2020

Applies to:

Oracle Lease and Finance Management - Version 12.1.3 and later
Information in this document applies to any platform.

Symptoms

On : 12.1.3 version, Billing Modules

ACTUAL BEHAVIOR
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Back dated Termination Quote:Estimated Billing Adjustment Consolidated Credit Memo causing Tax Issues


For a Termination Quote created with a back date, the estimated billing adjustment amount that is showing on the Termination Quote is created as below:

a. One consolidated Credit Memo is created for the Invoices from quote effective date to sysdate 
b. Individual Credit Memos are created for future Invoices

Out of this, the issue is with first one (a). The issue is that , as the Consolidated Credit Memo is getting created with sysdate, the tax rate that is being sent to Vertex is 'due date' of the Credit Memo which is sysdate. So, when ever the tax rate is changed from the Invoice creation date to sysdate , there is a tax difference coming up .

The expectation is to create Individual Credit Memos with the due date as that of the corresponding Invoices so that  correct tax can be calculated.
Like the way it is creating Credit Memos for the future dated( not yet due) Invoices, same way Credit Memos need to be created for already due Invoices as well.

EXPECTED BEHAVIOR
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The request is to create Individual Credit Memos with the due date as that of the corresponding Invoices so that Vertex can calculate/return the correct tax.

STEPS
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The issue can be reproduced at will with the following steps:

1. Create a full early termination quote with a back date and process it.

2. a. One consolidated Credit Memo is created for the Invoices from quote effective date to sysdate
  b. Individual Credit Memos are created for future Invoices



Cause

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In this Document
Symptoms
Cause
Solution
References


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