India Localization TDS??

[sandeepyam]

In Oracle apps india localization, the TDS functionality work thus - When an AP invoice s created and TDS attached, a credit memo is generated for the TDS getting deducted. eg - An invoice of line level 900/- with TDS of 100 totals the dsitribution amount to 1000/-. Now if i have the cheque printing functionality, the invoice would print for 1000. Which is not acceptable, because only 900 should be paid to the supplier after dedcuting TDS. How is this possible...?

Regards
Sandeep

[tgs100]

I could not fully understand your statement.

1. You create an invoice for, say, INR 1000.
2. If TDS code is attached and if threshold limit is exceeded, then system will create a credit memo for the same vendor and standard invoice for the TDS authority. Assuming 10% is the TDS, the credit memo is INR (100)
3. Now you make payment selecting both invoice and credit memo (i.e INR 1000 and INR -100. Now the payment amount is INR 900.

Now if i have the cheque printing functionality, the invoice would print for 1000

Cheque print will take the paid amount which is INR 900, not 1000.

Have you done one complete cycle and took cheque print out?

Cheers,
Saravanan TG

[sandeepyam]

hey saravanan...

thanks for the tip. My understanding of credit memo was that it was used only in case of a refund from supplier. Gr8 it worked out.

thanks
sandeep

[niletra]

Dear Sarvan I wan to ask one Query.

Example

Supplier Oracle LTD

Supplier Site Banglore

I have given Default Tax name on
" Supplier Addtional Information Screen"

now

I am Creating one PO NO 909

TAKING RECEIPT 9090

OK.

NOW

When I match AP INVOICE WITH PO.
Then Amount is 1099/-(Actual invoice Amount)

And
Automatically Cacluate Amount is 1099.77/-

so i enter one line (-0.77/-)

But Automaticlly at distrbution level TDS TAX CODE Populated.

I don't wan to Deduct a Tds For this -0.77 Amount

Because

I am not able to Validate this Invoice.
if TDS IS Deduct on Negative Amount.

Then Can u Plz tell me What is the Sollution for it?

or Any Work around for it

Thanks

Best Regards,
Niletra Desai

[tgs100]

It is better to open up new thread to this question. Anyway, my reply is gven below.

If TDS codes are attached in the supplier additional information, then you <b>can not remove </b>the TDS code in the invoice distribution. If you do not want to deduct TDS for few lines, then you may do any one of the following.

1. Create a new tax code with 0% and attach it to those lines for which TDS should not be deducted. You can change the default TDS code to 0% code in invoice distribution.
2. Remove the TDS code in the supplier additional information. In this case, no TDS code will be defaulted in invoice distribution. You may attach the TDS codes manually for the required lines.

Cheers,
Saravanan TG