Duty on Import in Payables

Beatrice

Hi,

The issue is as follows:

User needs to pay Duty to the revenue authority on some imports.

This duty needs to be allocated to item cost on purchase.

So we have been thinking of defining this duty as a Charge Item.

But the problem lies with the VAT Statement. User does not want this duty on import to be included in the VAT Statement, as this figure does not form part of their VAT Return.

Should we create a separate VAT Product Posting Group for this Duty on Import?

Please advise.

Thanks and Regards,
Beatrice.

darshanm

if you are using import duty as a charge item, then how come
it will reflect in your VAT statement

Beatrice

I guess that the import duty will have a combination of VAT Bus and VAT Prod Posting Group attached.

In my VAT Entry I will have Base = "Import Duty Amount" and Amount = 0.00.

For this combination of VAT Bus and VAT Prod. , user will have a Base Amount for this import duty.

User does not want this Base Amount to be displayed in the VAT Statement for this combination of VAT Business and VAT Product.

Shall the user create a separate VAT Product Posting Group for the Import Duty?

Please advise.

Thanks and Regards,
Beatrice.

n_c_balaji

Hi Beatrice,

Did u manage to find a solution for this as i am also facing the same problem.

Here the scenario is that my customer wants to claim x%(Say 50%) of the Import duties paid and 35% Of VAT collected from customer on imported items..


How can this percentage be linked to the VAT Statement. There is no provision to calculate a formula.......!!!!!!!

Thanks,

Bala