Wrong VAT in Receipt Accrual for Fixed Asset and Inventory Purchases with Domestic Reverse Charge VAT when Qty is Greater than 1 (Doc ID 1951113.1)

Last updated on MARCH 20, 2015

Applies to:

PeopleSoft Enterprise SCM Purchasing - Version 9.1 and later
Information in this document applies to any platform.

Symptoms

When you create a Fixed Assets or Inventory purchase order with quantity greater than 1 and the VAT Treatment is Domestic Reverse Charge, the VAT calculation for the Receipt Accrual is wrong. It will only calculate the VAT for 1 item. The Receipt Accrual on 'regular' purchase orders with quantity greater than 1 and the VAT Treatment is Domestic Reverse Charge seems to work just fine.

Steps to recreate the issue:
1 - Create a new PO
2 - Log in as VP1 and create a new PO
3 - Change VAT Treatment to Domestic Reverse Charge Purchase
4 - Verify the Asset Business Unit and Profile ID at the PO Distribution, these must be populated
5 - Save and Dispatch the PO
6 - Create a PO Receipt for the just created PO and receive 5 out of the 10 items and RUN the PO Receipt Accrual, with checkbox Interface Receipt ticked, click OK at possible warnings, and verify the system starts the RECV_02 process
7 - Run the Accrue Receipts process. Go to: Purchasing > Receipts > Accrue Receipts
8 - Review Receipt Information.  Go to: Purchasing > Receipts > > Accrual Accounting Entry

Verify the accounting entries ... and notice the wrong VAT amount.

Cause

Sign In with your My Oracle Support account

Don't have a My Oracle Support account? Click to get started

My Oracle Support provides customers with access to over a
Million Knowledge Articles and hundreds of Community platforms