How to: Calculate Service Tax for Input Service Distribution
You can calculate the service tax for input service distribution using both purchase orders and purchase invoices.
The following procedure describes how to calculate service tax for purchase orders, but the same steps also apply for purchase invoices.
To calculate service tax for input service distribution from a purchase order
In the Search box, enter Purchase Orders, and then choose the related link.
On the Home tab, choose New.
On the General FastTab, fill in the required fields as described in the following table.
Field Description No.
The vendor number.
Buy-from Vendor No.
The number of the vendor from whom the items are purchased.
Posting Date
The posting date for the purchase order. This field is populated when the vendor number is selected in the Buy-from Vendor No. field.
Document Date
The document date for the purchase order.
Structure
The structure defined for the service tax calculation.
Vendor Invoice No.
The vendor invoice number.
On the Lines FastTab, fill in the required fields as described in the following table.
Field Description Type
Specify G/L Account to indicate that the account type is general ledger account.
No.
The general ledger account number that has a service tax group code in the G/L Account Card window. For more information, see G/L Account Card Window.
Location Code
The location code for the general ledger account. You can select the location code that has the Input Service Distributor check box selected in the Location Card window. For more information, see Location Card Window.
Quantity
The number of units.
Direct Unit Cost Excl. VAT
The direct unit cost excluding the VAT.
After you enter the amount in this field, the amount will be populated in the Line AmountExcl. VAT field.
On the Invoicing FastTab, in the Payment Method Code, select Cash.
On the Shipping FastTab, in the Location Code field, select the location for the vendor.
On the Tax Information FastTab, select the Input Service Distribution check box.
To calculate the service tax structure values, on the Actions tab, in the Functions group, choose Calculate Structure Values.
On the Navigate tab, in the Order group, choose Statistics. For more information, see Purchase Order Statistics Window.
Choose the OK button.
On the Actions tab, in the Posting group, choose Post.
In the dialog box, select one of the following options:
Receive
Invoice
Receive and Invoice
Choose the OK button.
See Also
Tasks
How to: Set Up Service Tax
How to: Set Up Input Service Distribution
How to: Adjust Service Tax Credits
How to: Transfer Service Tax Credits
Concepts
Service Tax Overview
Distributing Input Service Tax Credit
Other Resources
Purchase Header Table
Purchase Line Table
Purchase Order Statistics Window
Purch. Inv. Header
Purch. Inv. Line
Purchase Invoice Statistics Window
G/L Account Card Window
Location Card Window