Sales Tax

tazzy30
tazzy30 Member Posts: 52
edited 2009-11-18 in NAV/Navision Classic Client
Hello all,

I have a UK company who would like to sell to India but i'm not sure how or what is the best way to account for the 3 sales taxs that apply (Service Tax, Education Cess of Service Tax and Higher Educ. Cess). Is this something that the Sales Tax module would cover?

Comments

  • ssingla
    ssingla Member Posts: 2,973
    Yes, Sales Tax module in Indian Localized version covers all the localized taxes. It also includes Service Tax and related cess.
    CA Sandeep Singla
    http://ssdynamics.co.in
  • tazzy30
    tazzy30 Member Posts: 52
    Thank you for your reply, does anyone know where i can find more info on this granule? (i.e. what it actually covers)
  • ssingla
    ssingla Member Posts: 2,973
    There are lot of localization taxation requirement and MS Dynamics NAV satisfy around 60-70% of the same (which is normally more than any branded ERP's). If you can tell me something about your operations, I can suggest you the correct user manual (There are lot of them).
    CA Sandeep Singla
    http://ssdynamics.co.in
  • tazzy30
    tazzy30 Member Posts: 52
    I have a UK company with an Indian subsidiary; there is a number of companies (UK, India, and America) setup in a UK database. It is the Indian company that we need to setup sales tax for.

    Now according to Microsoft I would need to create a new database for the Indian company and acquire a Indian Licence to be able to use sales tax is this really the only way around it?
  • ssingla
    ssingla Member Posts: 2,973
    I would also recommend that except if the taxation requirement of Indian subsidary is minimal.
    IN Localization in NAV 2009 SP1 has the following new objects :
    Tables : 182
    Reports: 122
    Codeunit: 22

    This is apart from the modifications to numerous standard objects. Merging them in your UK database will be a huge task and moreover the taxation requirement in India changes on the fly. This will further complicate the situation. India is set to launch GST replacing Excise, Sales Tax,VAT & Other taxes on 1st April 2010. This will require major modification to the database.
    CA Sandeep Singla
    http://ssdynamics.co.in
  • tazzy30
    tazzy30 Member Posts: 52
    Thank you ssingla for your advice, think we will set up a new database for the Indian company.

    Do you know where I can find a manual to set up Indian sales tax as I have only come across American sales tax manuals?
  • ssingla
    ssingla Member Posts: 2,973
    PM me your mail id. Also give a brief about your company operation so I can send only the relevant docs.
    CA Sandeep Singla
    http://ssdynamics.co.in

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