EBI 9.2: How To Calculate Output VAT at 60% of the Total Charge Using PeopleSoft VAT Configuration.
(Doc ID 2859241.1)
Last updated on MARCH 29, 2022
Applies to:PeopleSoft Enterprise SCM Billing - Version 9.2 to 9.2 [Release 9]
Information in this document applies to any platform.
How to calculate OUTPUT VAT at 60% of the total charge using PeopleSoft VAT configuration.
In South Africa for OUTPUT VAT on Accommodation where stay exceeds 28 days:
the VAT Act determines that where domestic goods and services are supplied at an all-inclusive charge in any enterprise supplying commercial accommodation for an unbroken period exceeding 28 days, the consideration in money is deemed to be 60% of the all-inclusive charge.
As an example of this
Bill for 30 days = 1000 Excluding VAT, since this period exceeds 28 days, the customer can only be meant to charge VAT(15% in South Africa) on 60% of the total charge.
That would be 600@15% VAT = 90
Total Charge to customer = 1090(1000 + 90-VAT)
Is there a way in Billing to configure VAT, based on any of the VAT Drivers to split the VAT calculation this way?
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