How to: Set Up Service Tax
In Microsoft Dynamics NAV, you must set up the following service tax prerequisites:
Service tax groups
Service tax percentages
Service tax registration numbers
General ledger account
Location card
To set up service tax groups
In the Search box, enter Service Tax Groups, and then choose the related link.
On the Home tab, choose New.
Fill in the fields as described in the following table.
Field Description Code
The service tax group code.
Description
The description for the service tax code.
Minor Head
The minor head as described in the Service Tax Act. All service categories are classified under minor heads, as specified by the Service Tax Law.
Sub-Clause No.
The sub-clause number for the service tax code. This number is populated under the serial number 3B of the ST-3 report.
For more information, see Service Tax Groups Table and Service Tax Groups Window.
Choose OK.
To set up service tax percentages
In the Search box, enter Service Tax Setup, and then choose the related link.
On the Home tab, choose New.
Fill in the required fields as described in the following table.
Field Description Code
The service tax code.
From Date
The starting date for the service tax group code.
Service Tax %
The service tax percentage.
eCess %
The educational cess percentage.
SHE Cess %
The secondary and higher education cess percentage.
Service Tax Receivable Account
The general ledger account for the service tax receivable account.
Service Tax Payable Account
The general ledger account for the service tax payable account.
Receivables Account (Interim)
The general ledger account for the interim receivables account.
Payables Account (Interim)
The general ledger account for the interim payables account of.
Abatement %
The abatement percentage, if applicable.
Same Group Set Off
Select to specify that setoff is available for the service tax group.
For more information, see Service Tax Setup Table and Service tax Setup Window.
Choose OK.
To set up service tax registration numbers
In the Search box, enter Service Tax Registration Nos., and then choose the related link.
On the Home tab, choose New.
Fill in the fields as described in the following table.
Field Description Code
The code given at the time of the service tax registration.
Description
The description for the code.
Premises Code No.
The premises code number for the service tax.
For more information, see Service Tax Registration Nos. Table and Service Tax Registration Nos. Window.
Choose OK.
To set up the service tax group code for the general ledger account
In the Search box, enter Chart of Accounts, and then choose the related link.
On the Home tab, choose New.
In the G/L Account Card window, on the General FastTab, fill in required the fields as described in the following table.
Field Description No.
The general ledger account number. You can enter a maximum of 20 alphanumeric characters.
Name
The name for the general ledger account.
For more information, see Setting Up G/L Accounts in the Chart of Accounts Window and G/L Account Table.
On the Posting FastTab, in the Service Tax Group Code field, select the service tax group code.
Choose OK.
To set up service tax registration numbers for a location
In the Search box, enter Locations, and then choose the related link.
On the Home tab, choose New. For more information, see Setting Up Locations.
In the Location Card window, on the General FastTab, fill in the required fields as described in the following table.
Field Description Code
The unique location code for the warehouse or distribution center. You can enter a maximum of 10 alphanumeric characters.
Name
The name of the location code. You can enter a maximum of 50 alphanumeric characters.
For more information, see Location Table.
On the Tax Information FastTab, in the Service Tax Registration No. field, select the service tax registration number.
Choose OK.
See Also
Concepts
Other Resources
Service Tax Groups Table
Service Tax Groups Window
Service Tax Setup Table
Service tax Setup Window
Service Tax Registration Nos. Table
Service Tax Registration Nos. Window
Location Table
Setting Up Locations
Setting Up G/L Accounts in the Chart of Accounts Window
G/L Account Table