System Is Calculating Incorrect Goods and Services (GST) Tax Amount Incase of 50% Recoverable Tax for Payables Invoice
(Doc ID 3007027.1)
Last updated on MARCH 04, 2024
Applies to:
Oracle Financials for India - Version 12.1 and laterInformation in this document applies to any platform.
Symptoms
System is calculating tax amount incorrectly at invoice and is off by .01 amount incase of 50% recoverable tax.
The issue can be reproduced at will with the following steps:
1. Navigate to India Local Payables -> Invoices -> Entry.
2. Create Payables Invoice and enter line items.
3. Go to Tools -> India tax details.
4. Apply relevant GST Tax which has 50% recoverable percentage or default taxes using GST defaulting mechanism.
3. Observe that Tax amount after rounding is not correct and is off by 0.01.
Example :
Regime Setup - Tax Amount : Nearest Decimal upto 3 digits.
1. Navigate to India Local Payables -> Invoices -> Entry.
2. Create Payables Invoice with 22415.26 amount using single line.
3. Now go to Tools -> India tax Details > Attach 9% tax category which has 50% tax recovery percentage.
4. Observe that tax amount is showing 2017.374.
Note : But as per calculation upto 3 decimal digits it should be as (22415.26 * 0.09) = 2017.373.
Regime Setup - Tax Amount : Nearest Decimal upto 3 digits.
1. Navigate to India Local Payables -> Invoices -> Entry.
2. Create Payables Invoice with 22415.26 amount using single line.
3. Now go to Tools -> India tax Details > Attach 9% tax category which has 50% tax recovery percentage.
4. Observe that tax amount is showing 2017.374.
Note : But as per calculation upto 3 decimal digits it should be as (22415.26 * 0.09) = 2017.373.
Changes
Cause
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In this Document
| Symptoms |
| Changes |
| Cause |
| Solution |
| References |