HOW TO CHANGE VAT RATES AND RECOVERABILITY IN ORACLE

Transcription

HOW TO CHANGE VAT RATES AND RECOVERABILITY IN ORACLE
HOW TO CHANGE VAT RATES AND RECOVERABILITY IN ORACLE
(Extract from P2P Training Manual pages 51 – 54 December 2010)
1.1
Applying VAT Rates (VAT TREATMENT field)
The default for purchases in Oracle is to add VAT at the Standard Rate, provided the
supplier is registered for VAT in the UK. Accurate supplier set up will ensure VAT is
applied only to relevant suppliers.
If you are applying the standard rate of VAT across the purchase, Oracle will default
this value and there is no input needed from you in iProcurement.
Where purchases are made that have an alternative VAT treatment, the requisition
must be edited on a line by line basis as in the example below.
Guidance on relevant VAT treatment will be available in the VAT Guidance document
to be issued separately or by emailing [email protected].
Important Note:
The standard rate of VAT will rise to 17.5 % on 1st January 2010. This rate will be
adjusted for you in Oracle.
The following example explains how to apply a zero VAT rating to goods bought
against eligible medical equipment; however, the process for selecting other VAT
rates is the same.
User Responsibility: iProcurement
Navigation Path: iProcurement > iProcurement Home Page
Steps:
1.
Select the goods you need from the shop and proceed to the checkout
as previously explained.
2.
Click the
3.
Click the
4.
Scroll to the right of the screen.
5.
Click the
magnifying glass icon in the
bring up a list of values.
6.
Enter the letters CU into the Search window. Cardiff University uses the
letters CU in front of the appropriate classification codes to be used.
button.
tab.
CU VAT How to
column to
7.
Click the
button to retrieve a list of values beginning “CU”.
8.
Click the
Quick Select button opposite CU Equipment Zero.
9.
Complete other line items with the same rate.
CU VAT How to
10.
Ensure you click outside the VAT Treatment field and then click the
button.
11.
Continue the checkout process as previously explained and submit the
requisition for approval.
CU VAT How to
Zero Rated VAT Certificates
Zero rated VAT certificates accompany the purchase order in the following manner.
Eligible medical equipment zero VAT rated certificates will be automatically printed
and should be faxed or posted with the purchase order to the supplier.
Zero rated VAT certificates for reagents and charity advertising will be automatically
emailed/faxed with the purchase order to the supplier.
Important Note:
It is possible to add multiple VAT rates to a requisition; however, this is not to be
done if you require a zero rated certificate.
Zero rated certificates cover the whole requisition; therefore, you should not mix VAT
rates if your order requires a certificate.
1.2
Recoverable VAT (Intended Use field)
The default for transactions for Cardiff University is that the VAT element is nonrecoverable. However, if you are notified that the activity you are purchasing for is a
VAT recoverable activity, you must select the relevant option in the Intended Use
field in the Edit Lines screen.
User Responsibility: iProcurement
Navigation Path: iProcurement > iProcurement Home Page
Steps:
1.
Select the goods you need from the shop and proceed to the checkout
as previously explained.
2.
Click the
3.
Click the
4.
Scroll to the right of the screen.
5.
Click the
magnifying glass icon in the
bring up a list of values.
6.
Enter the letters CU into the Search window. Cardiff University uses the
letters CU in front of the appropriate classification codes to be used.
7.
Click the
button.
tab.
column to
button to retrieve a list of values beginning “CU”.
CU VAT How to
CU Purchase for Resale . As an example, Campus Services (CSERV) may use this
option for certain items that are resold, such as vending machine items. In this
scenario, VAT is recoverable against the purchased items. Use this option when
advised by Finance.
CU VAT Recoverable Project. This option should be used when notified by
Research and Commercial Development (RACDV) when you are ordering goods at
the standard VAT rate on a project with recoverable tax. VAT applies but is charged
to Central Finance for recovery from HMRC rather than being charged to the school
account.
8.
Click the
Quick Select button opposite the option you require.
9.
The Intended Use field is populated.
10.
Ensure you click outside the Intended Use field and then click the
button.
11.
Continue the checkout process as previously explained and submit the
requisition for approval.
Important Note:
It is possible to amend both the Intended Use and VAT Treatment fields on
requisitions and orders.
CU VAT How to
UPDATE 09 Feb 2010
User Note - Improvements to Fields Displayed in iProcurement
Trevor Hepworth, 08Feb2010
We have made a number of improvements to the fields available in
iProcurement following consultation with a number of users.
In general, these changes involve making some fields available in
additional places for quicker data entry.
These changes are listed below:
Checkout: Requisition Information Page
Added editable fields
•
•
•
•
Charge Account
Product Type
Intended Use
VAT Treatment
Note these fields can still be specified at the line level using the Edit Lines
screen. However, you may find it more convenient to enter these fields at
the Header level on this page as they will then be carried forward to all
lines.
CU VAT How to
Checkout: Review and Submit Requisition Page
Added display fields
•
•
•
Non-Recoverable Tax amount
Recoverable Tax amount
Approval Total / Amount
This is intended to allow the requisition inputter to view the calculated tax
amounts before submitting the requisition to the approver.
CU VAT How to