GST amount loaded to inventory is not reduced from project budget commitments or budget consumed.

Please find below the repro steps for the issue :

Issue : Cost of GST amount loaded to inventory is not reduced from project budget commitments or budget consumed in an investment project.

Customer is creating Investment project, creates project budget, when the PO is created with an HSN code and load on inventory is 100%, but GST amount is not included in budget cost and amount not reduced from remaining budget value.

Go to project management and accounting >> Categories>> Shared Category >> Create a new category.

Line Properties.

Create 2 category groups for item and expense.

Create project category.

Go to project management and accounting >> Setup>> posting>>Ledger posting set up >> Add the main accounts for posting.

Create New Project:

Create working time template>>

Add the template in the scheduling Calendar of the Project team and scheduling past tab.

Enable as below in the

Budget and forecast tab.

Go to forecast models.

Create new forecast model as ORG and REM.

In Project Management accounting Cost control tab, enter the value for Original , Total and Remaining and enable the highlighted as below.

Create Workflow to review original budget.

Go to plan button and click on project budget :

Create budget for 10,000 and submit, approve the workflow.

Go to Product information and management >> Set up>> Categories and attributes.

Click on procurement category Heirarchy.

Click on new category node,>> Name it as WIP>>Project Category Consultancy>> HSN code as >>84198910

Go to Tax set up set up the HSN code 84198910 CGST and SGST rate as 5% and load on inventory percentage as 100%.


Go to Project>> Manage>> Item Task>> Purchase Order.


Create New PO, Confirm Receive and invoice it for 5 quantities with rate 300.00 each.

Posted invoice voucher showing as below.

In the voucher both base amount of 1500 and GST amount of 150 both showing as WIP expense, but only base amount is deducted from the project budget.

In the Projects Control Tab Click on Project Budget balances.


ACTUAL RESULT :  Remaining budget is showing as 8500.00 instead of 8350.00 Commitment is showing as 1500.00 instead of 1650.00


Posted GST transaction amount should be included in the project commitment cost and reduced from remaining budget.


Category: Budgeting