Recoverable tax

[kommineni7]

Hi Gurus,

I have some doubt realting to recoverable tax. we are going to implemtnt recoverbale tax.

our standard tax applicable is 10%. Outof that, customer can cliam refund from govt is 5%. So while defining the stadard tax, we enterd 5% as recoverable tax. while entering invoices, i able to see two tax lines. so my doubts are

1) From where the recoverable tax account is picked up by system?

2) while making payment, we have to make full payment to supplier (including recoverable tax), so how can we raise a refund. what is the procecure for that amount to recover back?

Please explain me with an example with end to end. This is very urgent.

Quick response will help me allot..

Thanks in advance,
Venkatesh