Suggested by Nicola Cenderelli – New
Currently, the "Financial Tags" functionality does not correctly handle "SalesTax" lines in invoice journals where there are general ledger lines associated with item sales tax groups linked to non-deductible sales tax codes.
When the journal contains multiple lines with item sales tax groups related to non-deductible sales tax codes, the system correctly splits these VAT lines into:
- Deductible sales tax lines: The account associated is the one linked to the posting profile.
- Non-deductible sales tax lines: The account associated is the one related to the original cost line.
The problem is that for the non-deductible sales tax lines that are posted to the same account as the original cost line, the financial tag information is assigned randomly by the system, choosing one of the financial tags and assigning the same tag to all lines.
Example:
Let's assume that only the cost center financial dimension is required (CC1/CC2).
Item sales tax group 22ND50 means that 50% is not deductible.
AMOUNT ITEM SALE TAX GROUP FIN TAG LEDGERDIMENSION
VENDOR 2000 F000001
GENERALLEDGER 1000 22ND50 X 4000001-CC1
GENERAL LEDGER 1000 22ND50 Y 4000001-CC2
In this case the voucher will be:
AMOUNT FIN TAG
F000001 2440
4000001-CC1 1000 X
4000001-CC1 110 X (THIS IS THE NON DEDUCTIBLE TAX LINE)
2000001-CC1 110 X (THIS IS THE SALES TAX LINE)
4000001-CC2 1000 Y
4000001-CC2 110 X (THIS IS THE NON DEDUCTIBLE TAX LINE)
2000002-CC2 110 X (THIS IS THE NON DEDUCTIBLE TAX LINE)
That's not correct because If I want to analyse the balance of FIN TAG "X" it will be wrong and also for the FIN TAG "Y".
The correct voucher must be:
AMOUNT FIN TAG
F000001 2440
4000001-CC1 1000 X
4000001-CC1 110 X (THIS IS THE NON DEDUCTIBLE TAX LINE)
2000001-CC1 110 X (THIS IS THE SALES TAX LINE)
4000001-CC2 1000 Y
4000001-CC2 110 Y (THIS IS THE NON DEDUCTIBLE TAX LINE)
2000002-CC2 110 Y (THIS IS THE NON DEDUCTIBLE TAX LINE)
In this case as you can see the correct FIN TAG is correctly splitted in the correct sales tax lines.
There's an errore in the correct voucher.
It must be like this:
AMOUNT FIN TAG
F000001 2440
4000001-CC1 1000 X
4000001-CC1 110 X (THIS IS THE NON DEDUCTIBLE TAX LINE)
2000001-CC1 110 X (THIS IS THE SALES TAX LINE)
4000001-CC2 1000 Y
4000001-CC2 110 Y (THIS IS THE NON DEDUCTIBLE TAX LINE)
2000002-CC2 110 Y (THIS IS THE NON DEDUCTIBLE TAX LINE)
The "TaxTransGeneralJournalEntry" table it is very helpfull to implement the correct solution because it joins taxtrans and generaljournalentry transactions.