BP.080 Future Process Model

BP.080 Future Process ModelDiebold India Private LimitedIndia Localization

Author:Viswanadham SighakolliCreation Date:March 6, 2013Last Updated:March 18, 2013Document Ref:RD050 Draft 1B Version:DRAFT 1A

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Note To Holders:If you receive an electronic copy of this document and print it out, please write your name on the equivalent of the cover page, for document control purposes.If you receive a hard copy of this document, please write your name on the front cover, for document control purposes.ContentsDocument ControliiEvent Catalog44Process Listing and Process Descriptions55Process Relationships for 5Function Hierarchy6 NA6Process Step Catalogs7Purchasing Transactions Intrastate Purchases7Purchasing Transactions Interstate Purchases7Purchasing Transactions - Imports8Purchasing Transactions Purchase Returns9Purchasing Transactions Capital Deferment9Purchasing Transactions Capital Goods9Service Procurement or Indirect Procurement10Negative Service Tax10Reverse Service Tax11Tax Deducted at Source11Domestic Sales12Spares Sales13Scrap Sales (Material Scrap & Waste Scrap)14Export Sales14Bond Register (Exports)15Bond Register (Imports)16TCS Settlement16VAT Settlement17Service Tax Settlement18To-Be Activities19Open and Closed Issues for this Deliverable20Open Issues20Closed Issues20

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Page iii Adapted from Oracle Application Implementation Method Handbook, 1999Confidential Internal Use Only Diebold, Inc. All rights reserved 2008 Revision: 04/2008Document1Event CatalogNote: An example of an event is a customer order. In responding to the customer order the business executes a process. Fill out the following information for each event that is identified:Event ID: Give each event a unique identification.Name: Name each event as clearly as possible.Type: Events may be external, internal or temporal (for example, occur at a predetermined time).Description: Briefly describe the event.Frequency: Indicate frequency; for example, 10/hour, 1/week, or monthly.

The events here may be the same ones identified earlier during the Current Process Model (BP.040). If so, use the event catalog developed there. There may be new events that will need to be responded to based on future business strategies, or there may be new internal events that trigger a process to respond. This component lists all events to which the business responds.

Event IDNameTypeDescriptionFrequency

IL-PO1-01PurchasesIndia LocalizationPurchasing Transactions - Intrastate PurchasesAs and when required

IL-PO2-01PurchasesIndia LocalizationPurchasing Transactions Interstate PurchasesAs and when required

IL-IMP-01PurchasesIndia LocalizationPurchasing Transactions ImportsAs and when required

IL-RTV-01PurchasesIndia LocalizationPurchasing Transactions Purchase ReturnsAs and when required

IL-CD-01PurchasesIndia LocalizationPurchasing Transactions Capital DefermentAs and when required

IL-CAP-01PurchasesIndia LocalizationPurchasing Transactions Capital GoodsAs and when required

IL-SP-01ServicesIndia LocalizationService Procurement or Indirect ProcurementAs and when required

IL-NST-01ServicesIndia LocalizationNegative Service TaxAs and when required

IL-RST-01ServicesIndia LocalizationReverse Service TaxAs and when required

IL-TDS-01Tax Deducted at SourceIndia LocalizationTDSAs and when required

IL-DS-01SalesIndia LocalizationDomestic SalesAs and when required

IL-SS-01SalesIndia LocalizationSpares SalesYearly

IL-SCS-01SalesIndia LocalizationScrap SalesAs and when required

IL-ES-01SalesIndia LocalizationExport SalesAs and when required

IL-BRE-01Bond RegisterIndia LocalizationBond Register (Exports)Yearly

IL-BRI-01Bond RegisterIndia LocalizationBond Register (Imports)Yearly

IL-TCS-01Tax Collected at SourceIndia LocalizationTCS SettlementMonthly / Quarterly / Yearly

IL-VAT-01Value Added TaxIndia LocalizationVAT SettlementMonthly / Quarterly / Yearly

IL-ST-01Service TaxIndia LocalizationService Tax SettlementMonthly / Quarterly / Yearly

Process Listing and Process DescriptionsNote: Enter a description for each of the processes within this business function.

Process IDEventProcess TitleDescription of ProcessOutput

IL-01IL-PO1-01PurchasesPurchasing Transactions - Intrastate Purchases

IL-02IL-PO2-01PurchasesPurchasing Transactions Interstate Purchases

IL-03IL-IMP-01PurchasesPurchasing Transactions Imports

IL-04IL-RTV-01PurchasesPurchasing Transactions Purchase Returns

IL-05IL-CD-01PurchasesPurchasing Transactions Capital Deferment

IL-06IL-CAP-01PurchasesPurchasing Transactions Capital Goods

IL-07IL-SP-01ServicesService Procurement or Indirect Procurement

IL-08IL-NST-01ServicesNegative Service Tax

IL-09IL-RST-01ServicesReverse Service Tax

IL-10IL-TDS-01Tax Deducted at SourceTDS

IL-11IL-DS-01SalesDomestic Sales

IL-12IL-SS-01SalesSpares Sales

IL-13IL-SCS-01SalesScrap Sales

IL-14IL-ES-01SalesExport Sales

IL-15IL-BRE-01Bond RegisterBond Register (Exports)

IL-16IL-BRI-01Bond RegisterBond Register (Imports)

IL-17IL-TCS-01Tax Collected at SourceTCS Settlement

IL-18IL-VAT-01Value Added TaxVAT Settlement

IL-19IL-ST-01Service TaxService Tax Settlement

Why below Process not covered in the BP080 in IL?low Tax master creation --> This is part of MDM hence it is not covered under BP080Sample material purchased on FOC for product development or testing. There is no process difference between sample purchase and normal purchase except that price would be zero in case of purchase on FOC basis. If business is paying any taxes / duties in this purchase, adhoc tax category can be created and user can enter amount that is paidCST payment,Quarterly return & yearly return This is part of report requirement and covered in that sectionVAT TDS quarterly return This is part of report requirement and covered in that sectionEntry Tax payment, monthly return & Yearly return (for Raw material & Capital goods) This is part of report requirement and covered in that sectionPLA payment to excise This will be includedPurchase return to import supplier details process need to cover. - There is no difference in process whether it is imports / interstate / intrastate. If any specific process is there, pl. let me know.Differential custom duty Calculation This is part of report requirement and covered in that sectionVetting of each return and understanding of the field in each and every return that we discussed. This is part of report requirement and covered in that section

Process Relationships for Note: Enter a description of the relationships between the various processes.Function Hierarchy

Function: Function Owner:

Date:

Description:

NANote: Use one row per business function. Follow these guidelines in using the columns:1) Function ID #: A unique sequence number for each elementary business function.An elementary business function is a business function which, if started, must either complete successfully or, if it cannot complete successfully, must undo any effects that it has had up to the point of failure; it is the lowest available unit of work or task; it corresponds to a process step in a business process.2) Function Description: A brief description, beginning with an action verb, that captures the functions purpose and deliverable task (note: each task should have one deliverable).3) Function/Owner: Title of person executing the function.4) Type: A combination of Manual or System-Assisted, and Internal or External.5) Note: Additional relevant information about the function.

FunctionID # Function DescriptionFunction OwnerTypeNotes

Process Step Catalogs

Purchasing Transactions Intrastate PurchasesNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-PO1-01Placing of PO with appropriate tax categoryAs & When RequiredProcurement of Raw Material / Expense/Fixed Assets items with state. Tax Category will get defaulted based on item categories and Supplier Site Fixed Asset is covered separately under Capital Goods SectionIn PO stage what entry system generate? If you are asking about accounting entry, it does not generate any accounting entry Supply Chain TeamAutomatic

IL-PO1-02Receipt of Raw Material / Expense Items once supplier ships materials.Stores Personnel receive material and create receipt number or GRN Number and enter Excise Invoice Number, Excise Invoice Date if applicable and CenVAT claim at receipt stageCenvatable items the taxes as defined in the PO and is vetted during the process of AP booking are to be captured in RG 23 A Part II Register in excise module by default. This is covered in 4th step

At the same time raw material quantity get update in RG 23 A Part 1 for excisable and non excisable. Stores person necessarily need to capture the Bill of Entry details based on the copy of the Bill of entry received by Stores person. He needs to put in besides duty details other details like Procurement Certificate Annexure III details, for tracking for Exemption Utilisation requirement. - We can capture this in Purchasing Transactions - Imports sectionsSupply Chain TeamManual

IL-PO1-03Checking of taxes and claiming of CenVATAs & When RequiredFinance personnel may require to check for taxes at AP stage that are attached and it will allow to change taxes & duties if any error or omission in PO stage. OK

Finance TeamManual

IL-PO1-04Hitting of RegistersAs & When RequiredOnce Finance person is ok with tax category attached, he can go for claiming of CenVAT tax. If CenVattable tax is of excise then RG23 A Part II based on classification of item as RMIN (what this? Raw Material) or OTIN (what is this? Items other than Raw Material, Capital Goods)in the item masterAfter vetting of Taxes and CENVAT details by Finance person, respective Cenvat /Imported material credit if any should be appearing in RG 23A Part II or RG23C Part II.Further for every capital item purchased cenvat credit will be restricted to 50% in RG 23 C. It is covered under Purchasing Transactions Capital Goods

Finace TeamManual

IL-PO1-05VAT ClaimAs & When RequiredFinance person will claim for VAT against GRN, if item procured is used in or in relation to manufacturing operations( Tax Category should be defined accordingly). Similarly, if Capital item is procured then VAT Claim will be restricted to 50% and remaining 50% should be deferred. This is covered under Purchasing Transactions Capital Goods)

Finance TeamManual

IL-PO1-06Invoice BookingAs & When RequiredFinance Person will book an invoice and match with GRN for verification of quantity received . VAT Invoice Number provided by supplier and VAT invoice date can be captured at India VAT DFFFinance TeamManual

IL-PO1-07PaymentAs & When Required Upon due date of invoice, Finance person can make payment to supplier . Payment will have to happen through auto mode or through batch file creation compatible with the requirements of bank VIZ. RBS. This point can be mentioned in BP080 AP moduleFinance TeamManual

Purchasing Transactions Interstate PurchasesNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-PO2-01Placing of PO with appropriate tax categoryAs & When RequiredProcurement of Raw Material / Expense items/Fixed assets with outside state. Tax Category will get defaulted based on item categories and Supplier Site. Upon release of PO, no GL entry should get triggered. Yes, this is how system worksSupply Chain TeamAutomatic

IL-PO2-02Receipt of Raw Material / Expense Items once supplier ships materials.Stores Personnel receive material and create receipt number or GRN Number and enter Excise Invoice Number, Excise Invoice Date if applicable and CenVAT claim at receipt stage.However Cenvat to be claimed based on the documentations needs to be captured by input entry by stores personnel for both raw material and imported items BOEs. All details of Bill of entry needs to be captured by Stoers personnel including Annexure III No. This point can be considered under Purchasing Transactions Imports

Excise as mentioned aboveSupply Chain TeamManual

IL-PO2-03Checking of taxes and claiming of CenVAT and also check for CST with C-form type of tax is attached or notAs & When RequiredFinance personnel may require to check for taxes at AP stage that are attached and it will allow to change taxes & duties if any error or omission in PO stage. Finance person after confirming the taxes only final tax entry should get passed hitting respective taxes and auto reversal of entry triggered at receipt stage for taxes.Finance TeamManual

IL-PO2-04Hitting of RegistersAs & When RequiredOnce Finance person is ok with tax category attached, he can go for claiming of CenVAT tax. If CenVattable tax is of excise then RG23 A part II based on classification of item as RMIN or OTIN in the item masterFinace TeamClaiming is Manual & Registers hitting is Automatic

IL-PO2-06Invoice BookingAs & When RequiredFinance Person will book an invoice and match with GRN for verification of quantity received .

CST charged on the invoice with C form or without C form debited to Duty taxes GL 647603, On CST cant avail input credit. If CST charged is on capital asset then it should be charged to Capital Clearing account. Yes, this is how system worksFinance TeamManual

IL-PO2-07PaymentAs & When Required Upon due date of invoice, Finance person can make payment to supplier Payment has to happen through generation of batch file and using RBS Access on line.--> Part of AP BP080Finance TeamManual

IL-PO2-08C-Form Issue ProcessingAs & When RequiredIndia ST Forms(C form) (Program name does not contain C-Form) Issue Processing program needs to be run Finance TeamManual

IL-PO2-09Issue of C-Forms to SuppliersAs & When RequiredForm related information can be captured in form by navigating to India Local Payables Suppliers Issue ST Forms Search for specified Supplier, Site & Form Type and enter Financial Year, Form Number, Form Amount, Form Date, Transaction Date

Finance TeamManual

IL-PO2-10C-Form Upload FormatAs & When RequiredC-Form upload format can be downloaded by running program DBD AP CForm Upload and same will be uploaded in to Goa VAT department webside and C forms issued from site. We should get uploadable file from Oracle compatible to Government web site. Yes, uploadable file was shown during CRP-IIFinance TeamManual

Entry tax applicable on Inter state & Imports.Entry tax is calculated based on the product category classification and the rates prescribed for each product category as per Entry Tax Rules of Goa Government, We need more clarity on ET in Oracle. Entry tax accounting also should get triggered as a result of receipt of any item on which Entry tax is applicable. It should show Entry tax as Receivable credit for raw material and entry tax to be received on for capital goods 50% to be parked in 50% receivable and 50% in capital goods deferred and credit to Entry tax payable. This should get triggered at each item receipt stage. So each item code needs to have tax master applied for it. Yes, this is how system works and demonstrated in CRP-II

Purchasing Transactions - Imports Note: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-IMP-01Raise PO with customs duty, CVD etc.As & When RequiredProcurement team raises PO on supplier who is operating from outside India and goes for approval as per approval hierarchy set upProcurement TeamManual

IL-IMP-02Receipt of material against POAs & When RequiredStores Personnel receive the material StoresManual

IL-IMP-03Customs authorities need to be paid equivalent to the duty amount on assessable value of imported materialAs & When RequiredBOE invoice needs to be prepared and paid to customs authoritiesFinance Manual

IL-IMP-04Matching of BOE invoice against the received materialAs & When RequiredBOE invoice matching needs to be done against GRN that is requiredAs per BOE assessable value capture in the system We necessarily need field for capturing Annexure III details while taking the receipt of BOE OK we will enable 2 Fields, one for 20 number & one for capturing dateFinanceManual

IL-IMP-05RG register needs to be updated with quantity and duty payment paid to customs authoritiesAs & When RequiredRG 23 A Part I will hit with quantity of material received and RG 23 A Part II will hit with value equivalent to duty payment made to customs authorities for cenvatable items during AP Booking process. Advance paid to custom authority during the clearance of material will get knocked off against advance.We also need to know how much is the actual utilization of Annexure III Certification upon receipt of each BOE in a separate customized report. Further BOE credit can be availed in RG 23 Part II only upon physical receipt of copy of bill of entry. Needs clarity on RG 23 Part II RG 23 Part II should hit only upon receipt of original BOE copy.Report required for reconciliation Total GL balance & RG 23 A Part II, RG 23 C Part II

SystemAutomatic

Purchasing Transactions Purchase ReturnsNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-RTV-01In case of any material return to supplier, Supply Chain Team returns the material to supplier from MRB Sub InventoryAs & When RequriedSearch GRN number by navigating to India Local Purchasing Receiving Return to Vendor (India) and enter quantity that is required to be sent back with RMA reference number and need to enter India Return to Vendor information for generation of Excise Invoice Supply Chain TeamManual

IL-RTV-02Excise Invoice has to be generatedAs & When RequiredExcise invoice is required to be generated with unique numbering series of Excise invoice with continuous numbering sequence. Excise invoice preferably should mention RMA Reference No. and word Return to Vendor for Testing/Repair/Rejected Material etc. For imported supplier, it should also capture GR Waiver number against which the material is being returned to the vendor. Capturing GR Waiver Number , GR Waiver Date would be part of BP080. It is part of MD050Manual

IL-RTV-03Respective taxes on GRN have to be reversedAs & When RequiredAs soon as Supply Chain Team does RTV, appropriate tax entries (Excise, VAT etc.) will be reversed as per supplier PO details mentioned.Automatic

RTV material received from vender required define the process with RMA reference number.Upon RTV, immediately the cenvat receivable should get credited with original cenvat availed, however for Invoice purpose, we should show current Excise duty rate and VATtaxes payable for Invoice purpose only as Invoice will have to always reflect current taxes. Needs Clarity on Invoice PurposeReturn within 180 days, VAT is Import RTV Excise Invoice, Export Invoice in USD, Packing List and ARE1 are to be prepared. Invoice should contain Goods being sent for repair and MD050 should be sent for Export Invoice in USD. When receiving rejected imported material, it should link RTV number, GR Waiver Number, GR Waiver Date, RMA reference number, flag that it is rejected material receipt and knock off against RTV at AP stage.

Purchasing Transactions Capital Deferment Note: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-CD-01Excise Duty payment has to be done on procurement of material from a supplier to whom machinery was supplied by DieboldAs & When RequiredExcise duty calculation is done on excise assessable pricelist that is attached to supplier site. Excise assessable price list should contain RM item and excise assessable price. Basically capital deferrement rules of CENVAT will apply here. Excise duty % if applied to the basic material price will not be the same appearing on the invoice price of such suppliers. Hence such suppliers and such assessable value has to be identified by way of a tag/Flag in to the supplier master. Yes, it is part of MDM and business has to provide this information FinanceManual

Purchasing Transactions Capital Goods Note: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-CAP-01PO is to be raised for purchase of capital goodsAs & When RequiredPlace PO with appropriate tax category based on whether intrastate purchase or interstate purchase or importsProcurement TeamManual

IL-CAP-02Receipt of capital goodsAs & When RequiredCapital goods would be received by stores personnel and creates GRNStores PersonnelManual

IL-CAP-03RG 23 C Part I & II register should be updated with quantity and 50% of value of duty paid on receipt of capital goodsAs & When RequiredRG 23 C Part I would hit with quantity of capital goods received and and RG 23 C Part II would hit with 50% of cenvatttable amount that is paid against receipt of material. Remaining 50% of cenvattable amount will hit in the next financial year

If capital item purchased for manufacturing purpose excise duty receivable GL debited.If asset purchased for other than manufacturing all duties and taxes required to capitalized along with cost., hence for item of capital asset not used in or in relation to manufacturing no cenvat should be claimed either in GL or for RG 23 C Part II purpose. This works as per tax category attached at PO level and modifications happened at receipt levelSystemAutomatic

IL-CAP-04Supplier sends invoice As & When RequiredAP invoice has to be booked and to be matched with GRN that is created. In invoice distributions, distribution line has to be marked as Track as an asset.

If capital good purchased outside Goa, CST cant avail input credit and required to capitalized along with cost. Yes, this is how system worksFinanceManual

IL-CAP-05Capital Goods has to be imported to FA moduleAs & When RequiredRefer: AP & FA modules for details on steps how to import into FA from AP module. When Capital Good is imported into FA, Capital Good base value along with non cenvattable amount would be imported if cenvat is allowed to be availedbut if cenvat is not allowed to be availed then full value including CENVAT to be imported into FA . If cenvat is availed then depreciation cannot be charged on CENVAT portion Yes, this is how system worksFinanceManual

IL-CAP-06Once Capital Good is imported in FA module, asset is to be categorized as per income tax actAs & When RequiredOnce Capital Good is imported into FA, block of asset and date of acquisition details have to be entered in India B of Assets DFFFinanceManual

IL-CAP-07Depreciation Calculation as per income tax act is to be calculated Monthly / Quarterly / YearlyDepreciation as per income tax act can be calculated by running program India Income Tax Act Fixed Asset Schedule. Opening Balances will be taken from that are mentioned as per values mentioned in Opening Balance of Block as per income tax actWhat method & rate ? Income tax recognized only Written down value methodopening balances as on the date of import will be of 1st April , although import data will happen on 1st January, 2014. How transactions from 1st April to 31st December will be captured for Income tax WDV purpose? This needs to be discussed

FinanceManual

Custom Duty on capital goodsIf the asset is imported custom duty can avail input credit 50% immediately and balance 50% subsequent year. This is how system works

Entry taxET can avail input credit as per VAT on capital goods i.e 50% immediately and 50% subsequent year This is how system works

Service Procurement or Indirect ProcurementNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-SP-01Place a PO for service that is required to be receivedAs & When RequiredPlace a PO with service item that is defined for service and service tax category. Service tax category should include12% service tax, 2% education cess, 1% SHEProcurement TeamManual

IL-SP-02Logical receipt of service that is provided by service providerAs & When RequiredService receipt has to be shown in systemStores / Finance Manual

IL-SP-03Supplier sends invoice and booked as liabilityAs & When RequiredAP invoice is to be booked with service tax componentFinanceManual

IL-SP-04Payment to supplier is to be madeAs & When RequiredInvoice with service tax amount will be paid. Pl. refer AP BP080 for payment stepsFinanceManual

IL-SP-05Service Tax Register should update with service tax credit amount paidAs & When RequiredIndia Service Tax Processing has to be run from India Local Payables module. FinanceManual

Negative Service TaxNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-NST-01Place a PO for service that is required to be receivedAs & When RequiredPlace a PO with service item that is defined for service and service tax category. Service tax category should include service tax % that is to be paid to supplier and remaining % to be paid to service tax authorities (this can be found out by looking at third party vendor in tax screen)Procurement TeamManual

IL-NST-02Logical receipt of service that is provided by service providerAs & When RequiredService receipt has to be shown in systemStores / Finance Manual

IL-NST-03Supplier sends invoice and booked as liabilityAs & When RequiredAP invoice is to be booked with service tax component equal to % of service tax that is to be paid to supplierFinanceManual

IL-NST-04Payment to supplier is to be madeAs & When RequiredInvoice with service tax amount will be paid. Pl. refer AP BP080 for payment stepsFinanceManual

IL-NST-05Liability is to be created against service tax authorities to the extent of remaining % of service taxAs &When RequiredIndia Concurrent for 3rd Party Invoices has to be run to create liability against Service Tax AuthoritiesFinanceManual

IL-NST-06Service Tax Register should update with service tax credit amount equivalent to 100% of service taxAs & When RequiredIndia Service Tax Processing has to be run from India Local Payables module. FinanceManual

How about Services where tax is not levied by the service provider, shouldnt system pass automatically entry for Service tax payable? For taxi hire service, it should generate auto service tax payable entry. Further, services where partial credit can be taken and remaining credit needs to be shown as payable, auto system entry should be passed..--> This is how system works and is demonstrated in CRP-II. Creation of service item It is part of MDM

Reverse Service TaxNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-RST-01Place a PO for import of software from supplier outside IndiaAs & When RequiredPlace a PO with service item that is defined for service and service tax category. Service tax category should include service tax 12% that should be paid to service tax authorities (this can be found out by looking at third party vendor in tax screenProcurement TeamManual

IL-RST-02Logical receipt of service that is provided by service providerAs & When RequiredService receipt has to be shown in systemStores / Finance Manual

IL-RST-03Supplier sends invoice and booked as liabilityAs & When RequiredAP invoice is to be booked . At the same time service tax payable liability also needs to be booked by debit to Service tax receivable.--> This is covered in step 5 of this processFinanceManual

IL-RST-04Payment to supplier is to be madeAs & When RequiredInvoice with service tax amount will be paid. Pl. refer AP BP080 for payment stepsFinanceManual

IL-RST-05Liability is to be created against service tax authorities As &When RequiredIndia Concurrent for 3rd Party Invoices has to be run to create liability against Service Tax AuthoritiesFinanceManual

IL-RST-06Service Tax Register should update with service tax credit amount equivalent to As & When RequiredIndia Service Tax Processing has to be run from India Local Payables module. FinanceManual

Suprisingly , no mention of Service Tax Statutory Register, how the data will be imported in to the Statutory registers, for receipt of services, payment of services , reconciliation with GL ..why all these basic things are missing? Service Tax Register is taken as part of reporting requirements. I will include

Tax Deducted at SourceNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-TDS-01TDS has to be deducted at prescribed rate under applicable section As & When RequiredWhen user matches invoice with service GRN (Professional Services or Labor Charges etc..) i.e. receipt of services, Applicable TDS tax type gets defaulted in distributions if Supplier Site is having default TDS section and TDS tax how about Service Provider who has given us the TDS Exemption Certificate or partial Certificate? This is covered in 8th step FinanceManual

IL-TDS-02TDS amount to be deducted to the extent of applicable rate and is to be paid to income tax authoritiesAs & When requiredAs soon as user validates invoice, Credit Memo in favor of supplier with amount equivalent to amount that is required to be deducted from Supplier Invoice will be generated and Standard Invoice in favor of Income Tax Authorities will be created with amount equal to TDS amount that is to be deducted from supplier invoice.

SystemAutomatic

IL-TDS-03Supplier is to be paid with supplier invoice amount TDS amountAs & When RequiredUser needs to combine both standard invoice and credit memo that got created by system to make payment to supplierFinance TeamManual

IL-TDS_04Income Tax Authorities have to be paid with TDS amount that was deducted Monthly / QuarterlyIncome Tax Authorities have to be paid with TDS amount for deductions happened so far in that month or quarter. User requires to enter Payment Challan details like challan number, date & bank in which TDS payment was made in India Payment Information Finance TeamManual

TDS Quarterly eReturnsQuarterlyProgram to Generate eTDS Quarterly Returns as per the format shared in uploaded format defined by Income Tax > Business to confirm on flat file being generated by Oracle

IL-TDS-05TDS Certificate is to be generatedMonthly / QuarterlyUser needs to run below programs

1. India Process TDS Payments2. India Generate TDS Certificates3. India TDS CertificatesUser can also generate eTDS certificates1. India Process TDS Payments2. India Program to Generate eTDS Certificates3. India Program Generate eTDS Quarterly Certificates 16 A 26Q4. India Program Generate eTDS Quarterly Certificates 16 A 27EQ

Finance TeamManual

IL-TDS-06TDS Certificates have to be sent to SupplierMonthly / QuarterlyUser can send it to supplier via mail or courier. Can TDS Certificate once generated be auto sent to the email id mentioned in the Supplier master? Ideally for bank payment advices and this supplier master necessarily needs to have supplier email id .- Yes, user can save TDS certificate and send it to supplier email id. Automatic mailing is not considered under present scopeFinance TeamManual

IL-TDS-07TDS has to be deducted on advance amountAs & When RequiredWhile booking a prepayment invoice, user needs to select appropriate TDS tax has to be selected in India Distributions.

Finance TeamManual

IL-TDS-08Exceptionally, supplier invoice is to be deducted at lower rate if supplier provides exemption certificate from governmentAs & When RequiredUser needs to follow same process mentioned in IL-TDS-01. While defining TDS tax type, it should contain form type and original tax percentageTax structure to be defined in the system for contractor, professional service, scrap dealer, Rent out along with Company or individual. This can be taken as part of MDM and business to provide all required tax masters, tax categories Finance TeamManual

IL-TDS-09Exceptionally, supplier invoices may require to deduct TDS based on tolerance amount that is set up for eligibility of deducting TDS amount. If supplier invoice does not meet this eligibility then TDS amount should not be deducted.As & When RequiredUser needs to follow same process mentioned in IL-TDS-02 but India Supplier Threshold set up needs to be done for deducting TDS amount after cumulative supplier invoice amount has crossed limit that is set up in India Supplier Threshold Set Up

Domestic Sales

Below process flow needs to be followed for Oracle design purpose which has been agreed yesterday by all business stake holders viz. Finance.. Will include

MU1(OU1)- Sales and Distribution Operating UnitMU2 (OU2) Manufacturing Operating UnitMU3 (OU3) Software Operating Unit1. Here understanding is MU2 will be immediately doing the stock transfer to MU1 at Standard Cost upon manufacture of FG through Oracle IST process 1. Excise Permission will be obtained for Storing the Finished goods (ATMs) at a place adjacent (within 3 km as far as possible) . This will be MU1 Warehouse.1. Excise duty , VAT liability creation and payment if any will be generated only at MU1 Stage upon actual need for movement of ATM/Spares from MU1 Warehouse by any trigger from customers end.1. Similarly stock transfer intra MU1 will be dealt within the books of MU1. MU1 while doing intra operating unit stock transfers, will need to pay the Excise duty on the Banks final purchase Order Price.1. MU1 will be the end customer interface and book entire profit for end customer transactions at MU1 Operating Unit . 1. MU2 will be the pure Cost Center from Manufacturing stand point and will have Variances and realized Gain/ Losses as its bottom line (profit /Loss) . If any item of cost is incurred by MU2 not covered through standards, MU2 will reflect unrecoverable expense in the form of expense to MU2 Operating Unit P&L 1. Interest on Overdraft , audit fees and Corporate office expenses will be mapped to either MU1 or MU2 or MU3 depending upon who has borrowed the money and for what need1. Revenue recognition will be done at MU1

Note: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-DS-01Domestic sale order would be received as an internal sale orderAs & When RequiredDomestic Sale Order booked, which in turn will convert as internal sales order in Goa Mfg Plant. Excise duty calculation would be on customer sales price. For more details on order booking, pl. refer Order Management BP080- Please refer the understanding mentioned on the top of the page accordingly this process needs to be amended.SystemAutomatic

IL-DS-02Pick Release & Shipping from Manufacturing PlantAs & When RequiredPl. refer Order Management BP080 for detailed steps. After ship confirm, system generates delivery number for dispatch.Please refer the understanding mentioned on the top of the page accordingly this process needs to be amended.Dispatch SectionManual

IL-DS-03RG Registers have to be updatedAs & When RequiredFG quantity in RG1 would be reduced to the extent of shipped quantity.RG 23 A Part II, RG 23 C Part II or PLA would be reduced by value to the extent of excise duty calculation based on end customer sales price as per preference set up.- Entire excise duty debits will happen upon actual shipment of Finished Goods from MU1 to either end customer i.e. bank or intra MU1.SystemAutomatic

IL-DS-04Excise Invoice Number has to be generated with unique seriesAs & When RequiredAfter shipping, India Excise Invoice Number Generation program has to be run by passing delivery number for generating Excise Invoice Number.Everytime when the shipment happens from MU2 to MU1IST Internal Stock Transfer Invoice has to happen by MU2 to MU1. No Excise duty debit to happen at this point of time. Excise invoice will be generated only after dispatch /removal of material from MU1 to any other locations of MU1 or to the end customer i.e. bank.. At this point necessarily excise duty needs to be discharged on the final banks PO Price.Dispatch / FinanceManual

IL-DS-05Excise Invoice has to be generatedAs & When RequiredOracle provides Excise Invoice by running India Excise / VAT Invoice Template. However, in order to generate as per format provided, this report needs to be customizedThis will be MU1 invoice, hence all possibilities of dispatch intra MU1 and to the end customer needs to be thought of and discussed.Finance / DispatchManual

IL-DS-06Transfer to Accounts ReceivablesAs & When RequiredPl. refer Accounts Receivables BP080 for detailed steps to transfer from OM to AR As a result of IST Transfer of FG i.e. either Spares or Finished Goods, MU1 will get debited in the books of MU2 and MU2 will get credited in the books of MU1 for Standard cost.

FinanceManual

IL-DS-07Tax details are to be transferred to Accounts ReceivablesAs & When RequiredTax details in delivery can be transferred to Accounts Receivables by running India Local Concurrent For Processing Order Lines to AR Please refer above process which is to be followed.FinanceManual

Spares SalesNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-SS-01Spares sale order would be received as an internal sale orderAs & When RequiredSpares Sale Order booked, which in turn will convert as internal sales order in Goa Mfg Plant. Excise duty calculation would be on customer sales price. For more details on order booking, pl. refer Order Management BP080 this is not correcteverything will be from MU1excise duty and all taxesfurther MU1 will order PD part but while selling will sell it as inventory partthis aspect is not covered. SystemAutomatic

IL-SS-02Pick Release & Shipping from Manufacturing PlantAs & When RequiredPl. refer Order Management BP080 for detailed steps. After ship confirm, system generates delivery number for dispatch.Manufacturing will keep on exporting spares/ATMs to Inter Companies ONLY This process is not covered.in that case invoicing will happen from MU2 which will be cost +11.12% mark up however service spares/bank specific spares ordered will be delivered through IST to MU2 and MU1 will cut the Excise invoice for the same Will discuss in call

Dispatch SectionManual

IL-SS-03RG Registers have to be updatedAs & When RequiredSpares quantity in RG1 would be reduced to the extent of shipped quantity.RG 23 A Part II, RG 23 C Part II or PLA would be reduced by value to the extent of excise duty calculation based on end customer sales price as per preference set up.This all will happen at MU1 only.

SystemAutomatic

IL-SS-04Excise Invoice Number has to be generated with unique seriesAs & When RequiredAfter shipping, India Excise Invoice Number Generation program has to be run by passing delivery number for generating Excise Invoice Number.This will happen at MU1 ONLY.Dispatch / FinanceManual

IL-SS-05Excise Invoice has to be generatedAs & When RequiredOracle provides Excise Invoice by running India Excise / VAT Invoice Template. However, in order to generate as per format provided, this report needs to be customized. This will happen at MU1 only.

Finance / DispatchManual

IL-SS-06Transfer to Accounts ReceivablesAs & When RequiredPl. refer Accounts Receivables BP080 for detailed steps to transfer from OM to AR through IST MU1 will be debited and all taxes will get booked at MU1.

FinanceManual

IL-SS-07Tax details are to be transferred to Accounts ReceivablesAs & When RequiredTax details in delivery can be transferred to Accounts Receivables by running India Local Concurrent For Processing Order Lines to ARFinanceManual

Scrap Sales (Material Scrap & Waste Scrap)

There are basically two types of Scrap Packing material scrap and Inventory/FG item to be scrapped. Treatment of Excise duty differs for each of this scrap. OKNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-SCS-01Scrap sale order is to be booked and TCS type of taxes are to be appliedAs & When RequiredScrap Sales Order is booked. TCS tax category will get defaulted from customer site and item category set up. For steps to book scrap order, pl. refer to Order Management BP080Raw material scrap generate excise invoice as per SO, Waste scrap non inventory invoice from Oracle. Scrap sales order will need to have to two typesInventory and Non Inventory.Inventory scrap sales order should hit inventory Material scrap is inventory scrap and packing material scrap is non inventory scrap. Pl. communicate business SCM team to incorporate as separate order types Scrap Invoice MD050 needs to be prepared and sent to business. Non Inentory Bill Only flow needs to be added with GL code packing material starting with 6SystemAutomatic

IL-SCS-02Pick Release & Shipping from Manufacturing Plant in case it is a material scrap. If it is a Waste Scrap, this step can be ignored.As & When RequiredPl. refer Order Management BP080 for detailed steps. After ship confirm, system generates delivery number for dispatch. For Waste Scrap still Oracle needs to generate an invoice but mapped to any GL Code. OKDispatch SectionManual

IL-SCS-03Transfer to Accounts ReceivablesAs & When RequiredPl. refer Accounts Receivables BP080 for detailed steps to transfer from OM to AR .

FinanceManual

IL-SCS-04Tax details are to be transferred to Accounts ReceivablesAs & When RequiredTax details in delivery can be transferred to Accounts Receivables by running India Local Concurrent For Processing Order Lines to AR Needs Clarity Scrap sales will happen at MU2 & MU1

FinanceManual

IL-SCS-05Receipt of payment from scrap dealerAs & When RequiredReceive payment using payment method defined for TCS transactions. For other steps for payment receipts from customers, pl. refer Accounts Receivables BP080. Run Auto invoice for TCS Debit Memo and apply to transaction that is imported into Accounts ReceivablesFinanceManual

IL-SCS-06

Export SalesNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-ES-01Export Sale Order in USD in INRis booked in Goa Manufacturing PlantAs & When RequiredFor details on order booking, pl. refer Order Management BP080.

If SO generated in USD invoice can INVOICE prepared in INR.? Further, Excise invoice for ATM needs to have check whether rebate claim to be applied or otherwise? Needs clarityManual

IL-ES-02Pick Release & Shipping from Manufacturing PlantAs & When RequiredPl. refer Order Management BP080 for detailed steps. After ship confirm, system generates delivery number for dispatch.Dispatch SectionManual

IL-ES-03RG Registers have to be updatedAs & When RequiredFG quantity in RG1 would be reduced to the extent of shipped quantity.If excise invoice generated on INR with excise duty on invoice,RG 23 A Part II, RG 23 C Part II or PLA would be reduced by value to the extent of excise duty calculation based on end customer sales price Please refer the changed process.SystemAutomatic

IL-ES-04Excise Invoice Number is to be generated with unique seriesAs & When RequiredAfter shipping, India Excise Invoice Number Generation program has to be run by passing delivery number for generating Excise Invoice Number. This is applicable for only MU2 Export as well as RTV invoices , as most of domestic invoicing to happen from MU1. OKDispatch / FinanceManual

IL-ES-05Excise Invoice in INR is to be generatedAs & When RequiredOracle provides Excise Invoice by running India Excise / VAT Invoice Template. However, in order to generate as per format provided, this report needs to be customized. Excise invoice format will be the one which MU1 will use for the end customer. OKFinance / DispatchManual

IL-ES-06Export Invoice in USD is to be generated for customer purposeAs & When RequiredThis needs to be customized as per formatExport invoices will be both in INR and USD. OKFinanceManual

IL-ES-07Packing List is to be generatedAs & When RequiredPl. refer Order Management BP080 DispatchManual

IL-ES-08ARE1 is to be generatedAs & When RequiredThis can be generated by running India ARE1 Report for 6 copies OKFinance / DispatchManual

IL-ES-09Transfer to Accounts ReceivablesAs & When RequiredPl. refer Accounts Receivables BP080 for detailed steps to transfer from OM to AR . It generates AR Invoice Number in Transaction Number Field.FinanceManual

IL-ES-10Tax details are to be transferred to Accounts ReceivablesAs & When RequiredTax details in delivery can be transferred to Accounts Receivables by running India Local Concurrent For Processing Order Lines to ARFinanceManual

IL-ES-11Proof of Export details are to be enteredAs & When RequiredProof Of Export details are to be entered against transaction number generated by Accounts Receivables with AR4 number, Bill Number, Shipping Bill Date & Destination DetailsFinanceManual

IL-ES-12If Export sale is under bond or LUT, bond register is to be updated with export sale detailsAs & When RequiredAs soon as export sale is imported in Accounts Receivables and Proof of Export details are entered, bond register gets updated with export sale details and bond amount gets reduced to the extent of excise duty on that shipment. These details are tracked in Bond Summary screenWhere will you capture bond No., bond expiry date? It is captured in bond definition formSystemManual

Bond Register (Exports)Note: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-BRE-01Bond Register (Exports) details are to be capturedYearlyBond Register details with bond number, bond expiry date, bond amount and order type for these types of transactions against Inventory Organization, Location and Register type as Bond RegisterFinanceManual

IL-BRE-02Additional bond details are to be capturedAs & When RequiredAdditional bond amount can be captured against same bond numberFinanceManual

Bond Register (Imports)Note: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-BRI-01Bond Register (Imports) details are to be capturedYearlyIt is part of customizationFinanceManual

IL-BRI-02CEC number has to be captured and report generation based on this CEC numberAs & When RequiredIt is part of customizationIt is a mandatory statutory requirement. OK

FinanceManual

TCS SettlementNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-TCS-01At period end, verification of TCS related transactionsMonthly / Quarterly / YearlyIndia TCS Settlement Report is to be run from India Local Receivables for verifying details before carrying out TCS Settlement ProcessFinanceManual

IL-TCS-02Processing of TCS SettlementMonthly / Quarterly / YearlyOnce India TCS Settlement Report is verified and validated, TCS settlement can be carried out by navigating to India Local Receivables Period End Settlement Select Regime Type as Tax Collected at Source FinanceManual

IL-TCS-03Liability to TCS AuthoritiesMonthly / Quarterly / YearlyTCS payable amount would default as result of above step, payment details are to be entered for payment authority, payment authority site, Challan No and Challan Date and process it to create liability against TCS authorities. AP module will create invoice number automaticallyFinanceManual

IL-TCS-04Payment to TCS AuthoritiesMonthly / Quarterly / YearlyAgainst liability that is created in AP module, proceed with payment against AP invoice that is created. For steps to make payments against an AP invoice, pl. refer Accounts Payables BP080 and capture challan number , Challan Date & Bank Name in India Payment Information DFF.FinanceManual

IL-TCS-05Update Payment Additional Information DetailsMonthly / Quarterly / YearlyThese details are to be entered by accessing screen India Local Receivables India TCS/VAT/Service Tax Settlement Period End Additional Payment Information and enter mandatory information like BSR Code, Check deposit date, Bank Name, Challan Number etc.FinanceManual

IL-TCS-06Finalize SettlementMonthly / Quarterly / YearlyTo process TCS payments, pl. navigate to India Local Receivables India TCS/VAT/Service Tax Period End Settlement Payment Details Select settlement status as Payment Due and click on Process PaymentFinanceManual

IL-TCS-007TCS Certificate GenerationMonthly / Quarterly / YearlyIndia Generate TCS Certificates program is to be run from India Local Receivables and run India TCS CertificatesFinanceManual

IL-TCS-08TCS Quarterly Report QuarterlyIndia TCS Quarterly Report is to be run from India Local Receivables.FinanceManual

IL-TCS-09TCS Quarterly eReturnsQuarterlyIndia Program to Generate eTCS Quarterly Returns will generate TCS returns This has to be in the compatible uploadable format.of TCS Uploadable format on to the site. Business to check flat file that Oracle is generatingFinanceManual

IL-TCS-10TCS Yearly Report YearlyIndia TCS Yearly Report is to be run from India Local Receivables Not applicable OKFinanceManual

IL-TCS-11TCS Yearly eReturnsYearlyIndia Program to Generate eTCS yearly Returns will generate TCS returns Not applicableThis has to be in the compatible uploadable format.of TCS Uploadable format on to the site. Business to check flat file that is being generated by Oracle Not ApplicableFinanceManual

VAT SettlementNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-VAT-01At period end, verification of VAT related transactionsMonthly / Quarterly / YearlyIndia VAT Claim Processor is to e be run. India VAT Returns Report is to be run from India Local Payables for verifying details before carrying out VAT Settlement Process. This report is to be run for each registration. One can also run this report with registration number and organization, location combination as wellFinanceManual

IL-VAT-02Processing of VAT SettlementMonthly / Quarterly / YearlyOnce India VAT Settlement Report is verified and validated, VAT settlement can be carried out by navigating to India Local Receivables Period End Settlement Select Regime Type as Value Added Tax FinanceManual

IL-VAT-03Liability to VAT Authorities on monthlyMonthly / Quarterly / YearlyVAT payable amount would default as result of above step, payment details are to be entered for payment authority, payment authority site, Challan No and Challan Date and process it to create liability against VAT authorities. AP module will create invoice number automaticallyFinanceManual

IL-VAT-04Payment to VAT Authorities on monthlyMonthly / Quarterly / YearlyAgainst liability that is created in AP module, proceed with payment against AP invoice that is created. For steps to make payments against an AP invoice, pl. refer Accounts Payables BP080 and capture challan number , Challan Date & Bank Name in India Payment Information DFF.FinanceManual

IL-VAT-05VAT Quarterly Report QuarterlyIndia VAT Returns Report is to be run from India Local Payables by passing appropriate registration number, organization , location and appropriate date rangeFinanceManual

IL-VAT-06VAT Yearly Report YearlyIndia VAT Yearly Report is to be run from India Local Payables by passing appropriate registration number, organization , location and appropriate date range This report consists of all 4 return and as per signed financials for the period. OKFinanceManual

IL-VAT-07Goa VAT ReturnsMonthlyGoa VAT Returns as per format provided has to be customizedFinanceManual

Service Tax SettlementNote: The process step catalogue identifies the process steps that make up the business process.It is optional to perform this step here; when the Gather Business Requirements (RD. 050) are constructed you will also be developing process steps for each process. ID: Supply a process step ID. Think about a systematic way for numbering processes and process steps. It might make sense to build significance into the process ID; for example, BM 01 might represent the first step in the Bill of Material process. Description: Record the process step as clearly as possible. If possible, use a simple verb noun format, but do not hesitate to add information for clarity. For example, answer phone, record (order) information and so on.Frequency: State the frequency that the process step occurs; hourly, weekly, every other order, every third piece, and so on.Notes: Record notes as appropriate to clarify the nature of the step or record any issues which it raises. It is possible to key word notes in order to later retrieve all notes with the same key word.Agent: Identify the party who is responsible for the execution and completion of the step.Automation: Identify whether the step is manual or system-assisted.IDDescriptionFrequencyNotesAgentAutomation

IL-ST-01At period end, verification of SERVICE TAX related transactionsMonthly / Quarterly / YearlyIndia Service Tax Processing is to be run either from India Local Receivable or India Local Payables . India SERVICE TAX Credit Register Report, India Pending Recovery are to be run from India Local Payables and India Service Tax Liability Report , India Pending Liability Report are to be run from India Local Receivables. for verifying details before carrying out SERVICE TAX Settlement Process. These report is to be run for each registration. One can also run this report with registration number and organization, location combination as wellFinanceManual

IL-ST-02Processing of SERVICE TAX SettlementMonthly / Quarterly / YearlyOnce India SERVICE TAX Settlement Report is verified and validated, SERVICE TAX settlement can be carried out by navigating to India Local Receivables Period End Settlement Select Regime Type as Service Tax

On availed Service tax from service provide will reflect to Service register? Yes based on tax category attached to the transactionFinanceManual

IL-ST-03Liability to SERVICE TAX AuthoritiesMonthly / Quarterly / YearlySERVICE TAX payable amount would default as result of above step, payment details are to be entered for payment authority, payment authority site, Challan No and Challan Date and process it to create liability against SERVICE TAX authorities. AP module will create invoice number automaticallyFinanceManual

IL-ST-04Payment to SERVICE TAX Authorities on monthly basis.Monthly / Quarterly / YearlyAgainst liability that is created in AP module, proceed with payment against AP invoice that is created. For steps to make payments against an AP invoice, pl. refer Accounts Payables BP080 and capture challan number , Challan Date & Bank Name in India Payment Information DFF.FinanceManual

IL-ST-05SERVICE TAX RegisterQuarterly DAILY requiredIndia SERVICE TAX Report is to be run from India Local Payables or India Local Receivables by passing appropriate registration number, organization , location and appropriate date range

Payment to service tax authorities will hit to Service tax register as well as GL.Service tax register format, reconciliation nothing is getting discussed here. How the payment made will be captured ? Will discuss in callFinanceManual

IL-ST-06SERVICE TAX Half Yearly Report Half YearlyIndia-Service Tax ST3 Report is to be run from India Local Receivables by passing registration number, appropriate date range, organization and service type, if required.

Service tax return has to be prepared and made available in the uploadable format.. What is the date of commitment of delivery of this return? I believe government has not finalized on format. Pl. correct me if I am wrongFinanceManual

To-Be ActivitiesNote: Where there are variants of a generic process, corresponding variants of activities must also be described for each process flow.

This component provides details of the activities to be carried out as part of the process flow.

Covered in above process steps.

Open and Closed Issues for this DeliverableNote: Add open issues that you identify while writing or reviewing this document to the open issues section. As you resolve issues, move them to the closed issues section and keep the issue ID the same. Include an explanation of the resolution.

When this deliverable is complete, any open issues should be transferred to the project- or process-level Risk and Issue Log (PJM.CR.040) and managed using a project-level Risk and Issue Form (PJM.CR.040). In addition, the open items should remain in the open issues section of this deliverable, but flagged in the resolution column as being transferred.

Open Issues

IDIssueResolutionResponsibilityTarget DateImpact Date

IL-DS-05Excise Invoice as per format providedCustomization ITACKUT

IL-ES-06Export Invoice in USD is to be generated as per formatCustomizationITACKUT

IL-BRI-01Bond Details for imports have to be capturedCustomizationITACPost Go Live

IL-BRI-02CEC number capturing and report based on CEC numberCustomizationITACPost Go Live

IL-VAT-07Goa VAT Returns as per format CustomizationITACKUT

There is Gaap analysis is done based on reports available in Oracle and return required to customization. In the future process documents few reports are not covered. Required to define the future process for such reports and send it for vetting. Returns / Reports are taken as part of reporting requirements and hence not covered under this document

We have already mentioned few future process related to IL not covered. Pl. mention which are all not covered

Non of the process is not covered transaction flow (GL entry)

Where is the committed date for each return and report?

Where are service tax and excise reconciliation statements/reports appearing ?

There are lot of lose end in the processes drafted everything cannot be written here but there are a lot of open item if you read all red comments.

Closed Issues

IDIssueResolutionResponsibilityTarget DateImpact Date

Page 26 of 28Adapted from Oracle Application Implementation Method Handbook, 1999Confidential Internal Use Only Diebold, Inc. All rights reserved 2008 Revision: 04/2008Document1