Scope of Stand Alone Payable Invoice

Charge Service Tax in AP Standalone Invoice:

Standalone AP Invoices will be raised for non-item based expense or service activities. As Item information is not available for such invoices, regimes like Excise, Customs and VAT that are Item-based tax regimes will not be associated with Standalone AP Invoices. Similarly other tax types such as Octroi, Insurance, and Entry Tax etc. are all Item movement related and hence not applicable to Standalone AP Invoices. Hence the only Indirect Tax regime applicable on Stand-alone invoices will be the Service Tax Regime (Direct Tax regimes such as Tax Deduction at Source shall continue to be supported with the existing Global Flex field basis approach for standalone invoices also).

Value Added Tax (VAT) recovery requirements of India Localization VAT recovery process is currently linked to receipt of goods and also on Item attributes. As AP Standalone Invoice does not carry the Item information, VAT recovery is kept out of scope of this project. User should use the VAT Manual recovery entry mechanism for handling exceptional scenarios where a stand-alone invoice is carrying recoverable VAT taxes.

Check the Balance of India Service Tax Credit Register Report

1. Create a Standalone Payable Invoice
2. Attach the Service Tax Category
3. Validate, Approve, Account the Invoice
4. Pay and Account the Payment
5. Run the India Service Tax processing Concurrent.
6. Check the India Service Tax Credit Register Report