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Oracle India Localization
Oracle India Localization Users Reference Manual 1
Oracle India Localization Setup
Users Reference Manual
Release 11i
July 2006
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Oracle India Localization
Oracle India Localization Users Reference Manual 2
Oracle India Localization User Reference ManualRelease 11iOracle Corporation
Copyright Notice
Copyright (c) 2006, Oracle Corporation. All rights reserved.
Trademark Notice
Oracle, JD Edwards, PeopleSoft, and Siebel are registered trademarks of Oracle Corporation and/or its
affiliates. Other names may be trademarks of their respective owners.Primary Author :Shekhar Jadhav , Narasimha Pai, Srinivas Gadde, Pavan Raparla.
Contributors: R. Sivaramakrishnan, Anand KrishnanThis User Reference Manual (URM) in any form, software or printed matter, contains proprietary
information of Oracle Corporation; it is provided under an Oracle Corporation agreement containing
restrictions on use and disclosure and is also protected by copyright, patent, and other intellectual property law.
Restrictions applicable to this URM include, but are not limited to:
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You should not use this URM in any form, software or printed matter, to create software that performs the
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Send Us Your Comments ................................................................................................................ 5
Preface ............................................................................................................................................ 6About this Localization Manual.................................................................................................... 7
Audience for this Manual .............................................................................................................8When you may need to use this Manual ..................................................................................... 9How the Manual is Organized ...................................................................................................10Conventions used in this Manual............................................................................................... 11Associated Documents.............................................................................................................. 12
India Localization - Setup............................................................................................................ 13Oracle Financials Base Implementation.................................................................................... 14Getting Started........................................................................................................................... 15System Administrator Setup ...................................................................................................... 16Set of Books Setup....................................................................................................................17General Ledger or Government General Ledger Setup............................................................ 18Accounts Receivables Setup..................................................................................................... 19Accounts Receivables Setup Steps ..........................................................................................20
Accounts Payables Setup.......................................................................................................... 22Inventory Setup.......................................................................................................................... 23Overview of Setting Up India Localization.................................................................................25
Setup Flowchart______________________________________________________________ 26Setup Checklist ______________________________________________________________ 27Setup Steps _________________________________________________________________ 28
India Local Inventory ................................................................................................................... 34Miscellaneous Transactions Overview ...................................................................................... 35Inventory & WIP Transactions Overview................................................................................... 36Setting Up Organization Information in India Localization -Inventory ....................................... 37
Defining Organization Additional Information _______________________________________ 37Defining Trading Registration Details _____________________________________________ 42Defining Accounting Information for Organization____________________________________ 43
Defining Organization Preferences _______________________________________________ 48Defining Tax Calendar_________________________________________________________ 50Defining Excise Invoice Generation_______________________________________________ 52Defining Sub Inventory Locations ________________________________________________ 56Defining Item Information_______________________________________________________ 58
Setting Up Tax Information........................................................................................................62Defining Tax Names/Codes_____________________________________________________ 62Defining Tax Categories _______________________________________________________ 69Defining Item Category List _____________________________________________________ 72Defining Manual BOM _________________________________________________________ 74
Managing India Localization - Inventory.................................................................................... 76Transactions ________________________________________________________________ 76
RG-I Register Entry ...................................................................................................................77
RG23 Register Entry ................................................................................................................. 80Apply Time Extension................................................................................................................ 84Master Organization RG Consolidation ..................................................................................... 87
Master Org RG Entries Request Set ______________________________________________ 88View Register Balance .............................................................................................................. 89View Item Definition...................................................................................................................90Reports ......................................................................................................................................92
India-Tax List Report __________________________________________________________ 92India - Excise Duty Claim for RMA Report _________________________________________ 95
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Send Us Your Comments
Oracle India Localization User Reference Manual, Release 11i
Oracle Corporation welcomes your comments and suggestions on the quality and usefulness of thispublication. Your input is an important part of the information used for revision.
Did you find any errors? Is the information clearly presented? Do you need more information? If so, where? Are the examples correct? Do you need more examples?
If you find any errors or have any other suggestions for improvement, please indicate the chapter, section,
and page number (if available). You can send comments to us in the following ways:
Electronic mail message to [email protected]: Attn: +91 (40) 23111711Oracle India LocalizationOracle Software Pvt Limited
5th
Floor, North Wing,Cyber Gateway, HI-TEC CityMadhapur, Hyderabad - 500081India
If you would like a reply, please give your name, address, and telephone number below.
If you have problems with the software, please contact your local Oracle Support Services.
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Preface
The Oracle India Localization Users Reference Manual provides information on how to use Oracle India
Localization.
The following sections are included in this preface:
About this Localization manual Audience for this manual When you may need to use this manual How the manual is organized Conventions used in this manual Associated Documents About Oracle Feedback
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About this Localization Manual
The Oracle Applications-R11-iIndia Localization User Reference Manual includes information you need
to use India Localization effectively. It is organized for easy access to detailed information about each of
the following:
Overview and Refernce information on India Localization India Localization forms India Localization functions and features Process flow Localization Accounting entires India Localization Reports
This manual is to be referred in conjunction with Oracle Applications -R11-iReference Manuals of the
respective modules.
India Localization of the Oracle Applications for Release 11-iaddresses the needs of Indian Industry
relating to Excise Duty, Sales Tax, Income Tax, Tax Deducted at Source, Trading Activity , RaisingSupplementary Invoices, Block of Assets as per Indian Income Tax Act, Service Module, Claim duty draw
back and Reports.
The general requirements have been incorporated in the scope of this localization, however, industry or
product specific issues are not addressed. Oracle Purchasing, Oracle Payables, Oracle Inventory, Oracle
Order Management, Oracle Receivables, Oracle Fixed Assets, Oracle Service are the modules integrated
with this release of India Localization.
There will be a new responsibility created for each of associated Standard Application Responsibility
Oracle Inventory -> India Local Inventory
Oracle Purchasing -> India Local Purchasing
Oracle Payables -> India Local PayablesOracle Order Management -> India Local Order Management
Oracle Receivables -> India Local Receivables
Oracle Fixed Assets -> India Local Fixed Assets
Localized responsibility have additional menus created covering all the functions of Standard Applications
and additional functions introduced in Localization. User need to login to Localization Responsibility to get
the benefit of Localization functionality wherever applicable. The menu call in Localization responsibility
hits Localization functions with a facility to call/return the control back to standard functionality.
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Audience for this Manual
This manual is a complete source of information about India Localization and designed to provide useful
guidance and assistance to:
Consultants implementing India Localized version of Oracle Applications Key user team of Oracle Applications Accountants Accounting Mangers Auditors Chief Financial Officers Controllers Data Entry Clerks Financial Analysts Line Managers MIS Professionals
The Oracle Applications India Localization manual assumes you have a basic understanding of
Localization requirements in India. It also assumes you have a basic familiarity with Oracle Financial
Applications. If you have never used Oracle Applications, we suggest you to attend one or some of the
Oracle Financials training classes available through Oracle Education Services.
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When you may need to use this Manual
You can use this manual as a complement to the online help feature. Online help gives you instant access to
detailed explanation of each form and respective fields on that form.
The manual also provides valuable additional information on features provided under the India Localization
of Oracle Applications 11.5.10, such as examples of reports and listings etc.
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How the Manual is Organized
This manual is organized according to the menu structure and includes the following chapters.
Chapter 1 India Localization Setup Chapter 2 India Local Inventory Chapter 3 India Local Purchasing Chapter 4 India Local Payables Chapter 5 India Local Fixed Assets Chapter 6 India Local Order Management Chapter 7 India Local Receivables Chapter 8 India Trading Functionality Chapter 9 Accounting Entries Chapter 10 Process Flow Chapter 11 Descriptive Flexfields used
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Conventions used in this Manual
This manual uses the following conventions to make it easy to read and understand:
Oracle Applications form descriptions include a detailed explanation of each important field on a form.We always begin a field description with a heading, which also lists field characters such as Required or
Optional. We also tell you which Oracle Applications features, like Quick fields, you can use when your
cursor is in that field.
We display all field headings as illustrated below:
Field Description Type Action Description
Start Date (Required) PICK EDIT HELP The date from which you need to start an activity.
In the above example, the field is Start, the field characteristic is Required, the available features arePICK(Quick Pick) and HELP and the decryption is date from which you need to start an activity.
Field Description
Oracle Applications form descriptions give you the key characteristics of each field, to give you a quick
overview of the way you use a field. We use any or all of the following phrases to describe a fields key
characteristics.
Required:Valid value for this field need to be entered before you navigate to thenext filed. Other words Mandatory field for which the valid data must be entered.
Optional :Optional fields, data can or can not be entered by the user dependingupon his requirements.
Conditionally: Under somecircumstances, you need to enter a valid data before you
Navigate to the next field.
Display only:Oracle Application uses this field to display information and you cannotChange information in this field. When a display only field is not wide enough to show its entire contents,
you can move your cursor into that field to see its entire contents by scrolling it or pressing \ Field Edit.
Default:Oracle Applications automatically enters a default or likely value in thisField. Oracle Applications uses this value unless you override it by entering another valid field value.
Conditionally Default:Under some circumstances Oracle Applications automatically enters a defaultvalue or likely value in this field. Oracle Applications uses this value unless you override it by entering
another valid field value.
Quick Pick Source:The values you enter into this field will appear on QuickPick lists in
Other Oracle Applications forms for the module you are using.
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Associated Documents
Oracle Inventory Reference Manual- Release 11-i Oracle Purchasing Reference Manual - Release 11-i
Oracle Payables Reference Manual- Release11-i
Oracle Order ManagementReference Manual- Release 11-i Oracle Receivables Reference Manual- Release 11-i Oracle Fixed Assets Reference Manual- Release 11-i Oracle Service Module Reference Manual- Release 11-i
All Oracle Applications forms share a number of basic features, such as QuickPick and Help, which helps
you, complete business tasks more easily. Because these features are context-sensitive, your ability to use
them depends upon the field your cursor is in. Oracle Applications displays an uppercase word, called a
lamp, at the bottom of your terminal screen to tell you when these features are available. We also tell you
which of these features are available in each field description; in much the same way we summarize a
fields characteristics.
PICK- The PICK lamp indicates that you can use QuickPick to choose from a list of values for your
current field. The QuickPick pop-up window displays only valid values, helping you enter valid data in a
field. Use Field QuickPick to invoke QuickPick.
HELP- The HELP lamp indicates that you can get help information for this field. Help information is
context-sensitive, so you get different help when your cursor is in different fields. The HELP lamp lights
almost continuously because we always offer you context-sensitive help. You can always use \ Help
Screen to view help for the current form. You can also frequently use \ Help Zone or \ Help Field to see
help for the current zone or field.
EDIT- The EDIT lamp indicates that you can invoke the field editor to display the entire contents of the
current field in a pop-up window. If a field is Display only, you can use the field editor to view but not edit
the field value. Otherwise, you can use the field editor to change the field value. Use \ Field Edit to invokethe field editor.
ZOOM- The ZOOM lamp indicates that you can interrupt your work on this form, make a side trip to
another form to view or change information, and then return to the original form and pick up where you left
off. If you change any information when you zoom, you can see your changes when you return to your
original form. Use \ Other Zoom to invoke Zoom.
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India Localization - Setup
This chapter explains setups that need to be completed before using India Localization. It discusses the
following concepts:
Mandatory Base Applications Setups India Localizations Setups India Localizations Setup Flowchart India Localizations Setup Steps - Overview
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Oracle Financials Base Implementation
This topic lists the implementation steps for System Administration, Set of Books, General Ledger (GL),
Accounts Payable (AP), and Accounts Receivable (AR) modules. Refer to the respective modules Users
Guide for more details on the Implementation steps. If there is an integration specific instruction for thestep, then it appears under the step and path. Otherwise, just the step is shown. The intent of this section is
to highlight dependencies between Oracle Financials and Oracle India Localization. It is not to rephrase or
replace respective modules Users Guide.
The following topics are covered:
Getting Started System Administrator Setup Set of Books Setup General Ledger or Government General Ledger Setup Accounts Receivables Setup AR Flexfield Setup AR Descriptive Flexfield Setup
Accounts Receivables Setup Steps Accounts Payables Setup
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Getting Started
The following list provides the recommended order for installing and implementing your software for
Oracle Financials 11iand India Localization 11i.To ensure a smooth implementation of the integration,
follow this order:
1. Installation of Oracle Financials 11i. Refer to one of the following Installation
Manuals:
Oracle Applications Installation Manual for UNIX, Release 11i
Oracle Applications Upgrade Preparation Manual for UNIX, Release 11i
2. Installation of India Localization 11i. Refer to one of the following Installation Instructions:
India Localization Patch Installation Instructions
3. Implementation of Multiple Organizations Setup is a pre-requisite for India Localization. To implement
multiple organizations setup, refer to:
Multiple Organizations in Oracle Applications Release 11imanual.
For Step 2, Define Sets of Books, refer to the Set of Books Setup topics in this manual for integration
dependencies. For Step 11, Implement the Application Products, refer to the System Administration Setup,
General Ledger (GL) Setup, Accounts Payable (AP) Setup, and Accounts Receivable (AR) Setup topics in
this manual for integration dependencies.
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System Administrator Setup
Prior to implementing, you must complete the implementation of Multiple Organizations Setup. If you are
implementing the multiple organizations setup, then refer to:
Multiple Organizations in Oracle Applications Release 11i manual.
For Step 2, Define Sets of Books, refer to the Set of Books Setup topics in this manual for integration
dependencies. For Step 11, Implement the Application Products, refer to the System Administration Setup,
General Ledger (GL) Setup, Accounts Payable (AP) Setup, and Accounts Receivable (AR) Setup topics in
this manual for integration dependencies.
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Set of Books Setup
Define Your Chart of Accounts (Accounting Flexfields) (Required) Define Your Accounting Flexfield Combinations (Optional)
Define Your Calendar Period Types (Required with Defaults) Define Your Calendar Periods (Required) Define Your Transactions Calendar (ADB) (Optional)
Define Your CurrenciesNote
(Required with Defaults)
Setup Currencies Define
Define Set of Books (Required) Assign Set of Books to a Responsibility (Required) Define Daily Conversion Rate Types (Required with Defaults) Define Your Rates (Optional)
Note The Functional Currency should always be INR
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General Ledger or Government General LedgerSetup
Define your Set of Books (Required) Define Journal Entry Sources (Required With Defaults) Define Journal Entry Categories (Required with Defaults) Define Suspense Accounts (Optional) Define Inter-company Accounts (Optional) Define Summary Accounts (Optional) Define Statistical Units of Measure (Optional) Define Historical Rates (Optional) Define Document Sequences (Optional) Set up Automatic Posting (Optional) Define Additional Encumbrance Types (Optional) Define System Controls (Required With Defaults) Define Budgetary Control Groups (Optional) Set Profile Options (Required)
Open and Close Accounting Periods (Required)
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Accounts Receivables Setup
Note: If you do not have Accounts Receivables installed, skip this section.
AR Descriptive Flexfield Setup
Setup Descriptive Flexfields for the following: Line Transaction Flexfield for AutoInvoicing Customer for Customer Entry Transaction Type for Debit/Credit Memo Inventory Adjustment
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Accounts Receivables Setup Steps
Note: If you do not have Accounts Receivables installed, skip this section.
Define Your Set of Books (Required) Decide How to Use the Account Generator (Required) Define Your System Item Flexfield Structure (Required) Define Your Organizations (Required) Define Your Territory Flexfield (Optional) Define Your Sales Tax Location Flexfield Structure (Required with Defaults) Define Flexfield Address Formats (Optional) Maintain Countries and Territories (Optional) Define Your Transaction Flexfield Structure (Optional) Define Your AutoCash Rule Sets (Optional) Define Your QuickCodes (Optional) Define Your AutoInvoice Line Ordering Rules (Optional) Define Your AutoInvoice Grouping Rules (Optional) Define Your System Options (Required)
Define your Payment Terms (Required with Defaults) Define Your Accounting Rules (Optional) Open Your Accounting Periods (Required) Define Your AutoAccounting (Required) Set Up Cash Basis Accounting (Optional) Define Your Transaction Types (Required with Defaults) Define Your Transaction Sources (Required) Define Your Collectors (Required with Defaults) Define Your Adjustment Approval Limits (Required) Define Your Remittance Banks (Required) Define Your Distribution Sets (Optional) Define Your Receivables Activities (Required) Define Your Receipt Classes (Required)
Define Your Payment Methods (Required) Define Your Receipt Sources (Required) Define Your Aging Buckets (Required with Defaults) Define Your Statement Cycles (Optional) Define Your Statement Messages (Optional) Define Your Dunning Letters (Optional) Define Your Dunning Letter Sets (Optional) Define Your Territories (Optional) Define Your Salespeople (Required with Defaults) Define Your Profile Options (Required) Define Your Tax Codes. Define Localization Tax Code. This code has to be attached to all Items &Customers for whom India Localization Taxes have to default. This tax code
should not have an end date entered against it. Define Your Customer Profile Classes (Required with Defaults) Define Your Customers (Required) Define Your Remit-To Addresses (Required) Define Your Customer Relationships (Optional) Define Your Customer Banks (Optional) Define Your Lockboxes (Optional) Define Your Transmission Format (Optional) Define Your Receipt Programs (Optional) Define Your Unit of Measure Classes (Optional)
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Define Your Unit of Measure (Required with Defaults) Define Your Standard Memo Lines (Optional) Define Your Item Tax Rate Exceptions (Optional) Define Your Tax Exemptions (Optional) Define Your Document Sequences (Optional)
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Accounts Payables Setup
Note:If you do not have Accounts Payables installed, skip this section.
Install or upgrade Payables (Required) Create application user sign-ons and passwords (Required) Define your Chart of Accounts (Required) Define your Accounting Period Types and Accounting Calendar Periods (Required) Enable Currencies that you plan to use (Optional) Define a Set of Books (Required) Assign your Set of Books to a Responsibility (Required) To enter foreign currency transactions, define additional Rate Types, and enter your Daily
Rates (Optional) Choose a Primary Set of Books (Required) Use the Application Developer responsibility to set the GL Set of Books ID profile option to
Updateable (Required) Use the System Administrator responsibility to set the GL Set of Books Name profile option.
If you are performing a single set of books installation, set the option for the Oracle
Payables application. If you are performing a multiple set of books installation, set theoption for each unique combination of organization and responsibility (Required)
Define Payment Terms (Required) Setup Invoices Payment Terms Define Your Purchase Order Matching Tolerances (Optional) Define Invoice Approval Codes (Required With Defaults) Define Distribution Sets (Optional) Define Purchasing Lookups (Required With Default) If you want to use Automatic Interest Calculation, define Payment Interest Rates (Optional) If you want to use Payables to enter employee expense reports, create templates for
entering expense reports (Optional) If you use Payables to enter employees in your organization, enter employee QuickCodes
(Optional)
Enter Locations (Required) Enter Employees (Conditionally Required) If or Oracle Purchasing is installed, you must define at least one Inventory Organization
before defining Financials Options (Conditionally Required) Define Financials options (Required) Define Payables options (Required) Define Payment Programs (Required with Defaults) Define any additional Payment Formats (Optional) Update country and territory information and assign flexible address formats (Optional) Define Bank Accounts (Required) Open Your Accounting Periods (Required) Define Request Sets (Optional) Define the format for the Expense Distribution Detail Report, and define the format for the
Invoice Aging Report (Optional) Set up Print Styles and Drivers for the Supplier Mailing Labels Report (Optional) Define special calendars for key indicators, and recurring invoices (Optional) Implement Budgetary Control in General Ledger (Optional) Implement Sequential Voucher Numbering (Optional) Define Descriptive Flexfields (Optional)
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Inventory Setup
Define Items Flexfield (Required) Define Item Categories Flexfield (Required) Define Item Catalog Group Flexfield (Required),
Define Stock Locators Flexfield (Required) Define Account Aliases Flexfield (Required) Define Sales Orders Flexfield (Required)
Define LocationsNote
(Optional) Define Employees (Optional) Define Organization Calendar (Optional)
Define OrganizationsNote
(Required) Define Organization Parameters (Optional) Change Organizations (Required) Define Intercompany Relations (Required) Define Receiving Options (Optional) Define Picking Rules (Optional) Define ATP Rules (Optional)
Define Planners (Optional) Define Unit of Measure Classes (Required) Define Unit of Measure (Optional) Define Unit of Measure Conversions (Optional) Define Subinventories (Required) Define Stock Locators (Optional) Define Item Attribute Controls (Required) Define Categories (Required) Define Category Set (Required) Define Default Category Sets (Required) Define Statuses (Required) Define Item Catalog Groups (Optional) Define Item Types (Optional)
Define Item Templates (Optional) Define Items (Optional) Define CrossReference Types (Optional) Define Item Delete Constraints (Optional) Define Cost Types (Required) Define Cost Activities (Optional) Define Material SubElements (Optional) Define Material Overheads (Optional) Define Default Material Overhead Rates (Optional) Define Freight Carriers (Optional) Define Organization Shipping Network (Optional) Define Shipping Methods (Optional) Define Movement Statistics Parameters (Optional)
Define Economic Zones (Optional) Define Account Aliases (Optional) Define Transaction Source Types (Optional) Define Transaction Types (Optional) Define Transaction Reasons (Optional) Define Purchasing Options (Optional) Define Accounting Periods (Required) Request Interface Managers (Optional) Set Profile Options (Required) Define Container Types (Optional)
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Define Commodity Codes (Optional) Define Customer Items (Optional) Define Customer Item Cross References (Optional) Define Notification List (Optional) Define Shortage Parameters (Optional) Define Kanban Pull Sequences (Optional)
Note
Ensure that the Organizations are assigned to Locations before you setup Additional Organization
Information for Localization.
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Overview of Setting Up India LocalizationThis section contains an overview of each task you need to complete to set up Oracle India Localization.
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Setup FlowchartTo assist you to easily setup your India Localization application, a flowchart is provided in figure 1 Setup
Flowchart. Some of the steps outlined in this flowchart are requiredand some are Optional. Required step
with Defaultsmeans that the setup functionality comes with preseeded, default values in the database.
However, to ensure a successful setup, you need to review those defaults and decide whether to change
them to suit your business needs. If you need to change the default values, you should perform thecorresponding setup step. You need to perform Optionalsteps only if you plan to use the related feature or
complete certain business functions.
Figure 1 Setup Flowchart
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Setup ChecklistThe following table lists setup steps and a reference to their location within the Application. After you log
on to Oracle Applications, complete these steps to implement Oracle India Localization:
Oracle India Inventory
Step No Required Step Title
Step 1 Required Define Organization Additional Information
Step 2 Optional Define Trading Registration Details
Step 3 Required Define Accounts Information for Organization
Step 4 Required Define Tax Calendar
Step 5 Optional Define Excise Invoice Generation
Step 6 Required Define Sub Inventory Locations
Step 7 Required Define Item Localization Information
Step 8 Required Define Tax Codes
Step 9 Required Define Tax Categories
Step 10 Required Define Item Categories
Step 11 Optional Define Manual BOM
Oracle India PurchasingStep 12 Required Define Supplier Additional Information
Oracle India PayablesStep 13 Required Define TDS Related Information for the Organization
Step 14 Required Define Income Tax Authority
Step 15 Required Define TDS Sections
Step 16 Required Define TDS Tax Codes
Step 17 Required Defining TDS year Information
Step 18 Required Define TDS Details for Suppliers
Step 19 Required Define Customs Authority
Step 20 Required Defining BOE Agent
Step 21 Required Define Excise Authorities
Oracle India Order Management
Step 22 Required Define Bond Registers
Step 23 Optional Define Assessable Price Lists
Oracle India Receivables
Step 24 Required Customer Additional Information
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Setup Steps
Step 1 Define Organization Additional Information
You must define the structure of your Inventory organizations and locations, which would be reporting tothe Local Tax Authorities. The information defined at this level would be the basis for Recording,
Reporting and accounting of the location taxes. Apart from this the user would also define the organization
registration details with Excise, Customs, Sales Tax and TDS authorities.
This information is available in additional organization information are the basic data for all IndiaLocalization activities and accounting. The Organization and Locations defined through CommonApplication would be available for setup. While creating the additional organization information, itis mandatory to create two sets of records, one at null location level and another with location.
The master child relationship among the organization and location would be used only for consolidation of
excise registers at Master organization level.
SeeAlso: Defining Organization Additional Information, India Local Inventory Chapter
Step 2 Define Organization Trading Information
You would enter the information of the organizations registered under the Central Excise Rules as a
Dealer/Depot. Navigate to Trading Information Tab of the Additional Organization Information to enter
Excise Registration details of a Dealer.
The information entered here would be printed on all relevant reports and invoices raised from this
Organization.
You would ensure that no values are entered in any of the fields falling under the Excise region of the Tax
Information tab of the additional organization information. Any value entered in this region would
categorize this organization as a Manufacturing Organization.
SeeAlso: Defining Trading Registration Details, India Local Inventory Chapter
Step 3 Define Organization Accounting Information
You would assign the appropriate General Ledger Accounts to which the Localization Taxes have to be
posted in the Account Information tab of the Organization Additional Information screen. The values
entered in the Parameters region would determine the behavior of localization taxes calculated for certain
transactions.
You will have to enter the register preferences. The excise register that should be hit when you ship
excisable goods would depend on the preferences assigned against each register. The register with the
lowest value would be considered first. The next register would be considered only when the exciseliability arising from the transaction exceeds the current register balance.
The only deviation from this logic would be when you check the Allow have balances in PLA field. If
this field is checked, then the PLA, when preferred, would be hit, even-though, the duty liability is higher
then the available balance in PLA.
SeeAlso: Defining Accounting Information for Organization, India Local Inventory Chapter
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Step 4 Define Tax Calendar
Localization taxes would be calculated only when the transaction falls within the active year. You can keep
only one year active at a time. The Tax Calendar defined for an Organization NULL location would be
defaulted to the other Organization Additional Information records created for the locations with this
organization.
SeeAlso: Defining Tax Calendar, India Local Inventory Chapter
Step 5 Define Excise Invoice Generation
This feature can be used to automate the Excise Invoice document sequence generation. You can setup a
document sequence for the combination of Transaction Type, Order/Invoice Type and Register Type. You
can define an alpha/numeric value which would be prefixed to the number series generated for each excise
invoice. The setup would be restricted to the Order/Invoice Types for which it is created. For all other
Excise Invoices which are created using Order/Invoice Types for which setup has not been made, the
system use the default number series. This would be a numeric series, starting with 1, incremented by one.
The sequence would be different for each Organization/location and the nature of clearance. Within the
organization, the sequence would be different for the Domestic clearances and Export Clearances.
Before defining the user definable prefixes and excise invoice numbers, setups needs to be done in define
Bond register where the user needs to associate an Order type for all transactions Order Management
module and Transaction source for all transactions from Accounts Receivable module. The Order type and
transaction source will be associated with different type of excise removals (like domestic with excise,
Bond, Export with excise etc.). Only after associating an Order type/Transaction source with an excise
related transaction type, user should define the user definable prefixes and excise invoice numbers in this
region.
SeeAlso: Defining Excise Invoice Generation, India Local Inventory Chapter
Step 6 Define Sub-Inventory Locations
As a part of Localization setup, the sub-inventories have to be associated to a combination ofOrganization/Location. Excise related transactions and records would be updated only for those sub
inventories that are identified as bonded for manufacturing organizations and as traded for trading
organizations.
Step 7 Define Item Localization Information
The recording, recoverability and reporting of localization taxes would depend on the India Localization
related information setup for the item. These values have to be entered in the India Localization context
of the Items DFF, attached to the Item Master.
The updation of the Dispatch transaction into the Excise Register would be considered only when the
Excise Flag is set to YES. Similarly, considering CENVAT Credit and updating the Excise Registers, for
a Receiving transaction would be considered only when the Modvat flag is set to Yes. The optionchosen in the Item Class attribute would be the basis on which, the type of excise credit register that has to
be hit. Items classified in the other classes (such as OTIN, OTEX) would not be considered for any excise
record updation.
The Trading Flag would work together with the organization Trading Information setup. RG23D Register
would be hit only when the Trading item is transacted in a trading item.
Step 8 Define Tax Codes
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The Tax Definition is a localization feature to define taxes that are applicable to the transactions created in
your organization. The Taxes can be classified in different Types. The Type would be useful to recognize
the relevance of the tax for the Excise Registers, Sales Tax form generation and TDS Certificate
generation. The Type chosen would also have influence over the behavior of other fields in this form. You
can specify the Tax Rate, surcharge, recoverability, rounding rule, expense account code, Tax (Third party)
vendor, multi-currency and effective period for the Tax. In a multi-organization setup, Taxes would be
specific to an organization. On choosing the Taxes Localized option from the menu, you would get the list
of Inventory Organizations, to choose from. The tax defined can be used only for the organization for
which it is defined. Taxes once saved, cannot be updated.
Step 9 Define Tax Categories
If you can identify your purchase and sales transactions into clear categories, for which a similar set of
taxes with similar precedence and calculation are applicable, then you can group such taxes into a Tax
Category. In a Tax Category you can choose the Taxes, along with the precedence order and calculation
basis.
An Item Class can be identified for a Tax Category. These taxes would default for all the Items falling inthis class. This would be useful, where the Item class drives the tax applicability. These taxes would default
for the transactions created for the items in the item class. You can however, manually add new tax lines
and can change, delete, change precedence for the defaulted lines.
Step 10 Define Item Categories
Item Category allows you to assign Tax Categories to an inventory items in an Organization. You can
attach an item category to the Additional customer/supplier information. The Taxes defaulted for a
transaction line would be based on the Item Category attached to the Supplier/customer and the Tax
Category assigned to the Item in this category.
Step 11. Define Manual Bill Of Material (BOM)
Use this feature to enter Bill of Material for a Finished Item. It would be required only when you have not
implemented Oracle BOM. You can define can define a Bill of material for same item effective during
different periods. This feature would be would be required for Duty Drawback Processing and Outside
Processing transactions.
The BOM setup can be made only for a finished goods Inventory item.
Step 12 Define Supplier Additional Information
Before you start using the Supplier/ supplier site for a localization transaction, it would be a necessary for
you to define India Localization related information for the Supplier/ Supplier Site. The supplierregistration information, with various tax authorities, Assessable Price List that would be the base for the
calculation of the Excise Base Amount and default Item Category can be defined here. The definition
would be the can be for the Supplier NULL Site and for Supplier Site. The primarily Tax defaulting would
be from the Supplier Site. In absence of any Tax Category at this level, the system would pickup the value
from the NULL Site. If you are working on a multi-org environment, then the Addition supplier
information defined for a Supplier Site from one organization cannot be accessed from any other
organization.
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You will also have to enter the Income Tax and TDS related details applicable for the Supplier Site.
If your supplier is located within the State where your organization is located, then you should enter his
Registration Number with the Local Sales Tax Authority in the LST Reg. No. Field. Else, you should be
entering the CST Number in the CST Reg. No field. However, you would leave both the fields blank when
the Supplier Site is not registered as dealer with any of the Sales Tax Authorities. This setup is mandatory
for the generation of Sales Tax Reports provided by localization for transactions within the state, outside
the state and transactions from un-registered dealers.
Step 13 Define Organization Income Tax Registration Info
If you plan to use the TDS functionality for an Organization, it would become mandatory for you to enter
the Income Tax Registration details in the India Org. Info context of the DFF attached to the Organization
screen.
Step 14 Define Income Tax Authority
The liability arising from the Income Tax Deducted at source, while making supplier payments needs to be
accounted against an Income Tax Authority. You would create a Supplier and Site for this Authority.Additionally, in the Type field on the Classification tab, choose Tax Authority-IND. On doing this, when
defining a Tax Deduction at Source Type of Tax, the Supplier name would be listed in the Vendor field
LOV on the Tax Definition screen
Step 15 Define TDS Sections
India Localization comes with preseeded, default TDS Sections in the database. However, you should
review these default sections and decide whether to change them to suit your business needs. If you want or
need to change them, you should query on the TDS_Sections from the Purchase Lookup Codes and add a
new record, with the relevant descriptions and the effective period. As the same codes are also used for the
Works Contract Tax applicable in you state, you might prefer to a new records for defining the relevant
sections.
Step 16 Define TDS Tax Codes
You would use the Tax Definition screen to define the TDS Codes. Choose the Tax Deduction at Source
option in the Type LOV. Select the Vendor Name, Vendor Site, Account and TDS Section No. Enter the
value in the Percentage and Rounding Factor fields. Enter the value in the Surcharge field, wherever
necessary.
Step 17 Define TDS Year
Before you start using the TDS functionality in an Organization, you will have to setup TDS Year
Information. This year would be the Income Tax Reporting Year and is independent of the Tax Calendardefined in the Inventory Module. The TDS limits and TDS reports TDS Certificate would be based on the
period. This year would be the Financial Year defined under the Income Tax Act. There can only be one
TDS Year open at a time.
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Step 18 Define Supplier Additional Information TDS Details
For the supplier for whom the TDS has to be calculated, recorded and reported, you will have to define the
TDS Details in the Supplier Additional Information. You would define the Registration Details and the
Applicable TDS Sections and TDS Tax Code that has to default for the transaction created for the Supplier.
Where the Registration and the Tax calculation details are the same for all supplier sites, you can define the
TDS Details for the Supplier NULL Site. The same details would be applicable for all transactions
created any of the Sites.
Where the TDS Details are different for the Sites, you can define the Registration Details at the Supplier
NULL Site. For all the sites setup made for this Supplier, the TAN No and Ward Number defaults. You
will have to enter the TAN No. and the TDS TAX Name and the relevant TDS Sections. If you have not
entered the default TDS Tax Code in the TDS TAX Name field, for the supplier site, then the TDS TAX
Name defined at the Supplier NULL Site would be considered for the Invoice.
The Approval of TDS related information would depend on the value in the Create Pre-Approved TDS
Invoice & Credit Memo Field.
Step 19 Define Customs Authority
The Duty advance paid to the Customs Authority has to be booked against a Customs Authority, through a
Bill of Entry. Before you create a Bill of Entry India Localization Transaction, you should have defined a
Customs Authority. You would create a Supplier and Site for this Authority. Additionally, in the Type field
on the Classification tab, choose Custom Authorities-IND. On doing this, when defining a Bill of Entry
transaction, the Supplier name would be listed in the Customs Authority field LOV on the Bill of Entry
India Localization screen.
Step 20 Define BOE Agent
It would be a pre-requisite to define a BOE Agent before you do a BOE Transaction. Navigate to the
Payables Setup and define the Clearing & agent information. The agent codes would appear in the LOV ofAgent Code field of the Bill of Entry screen.
Step 21 Define Excise Authority
The Excise advance/settlement paid to the Excise Authority has to be booked against an Excise Authority,
through the Capture PLA Payments India Localization screen. Before you create a PLA Payment
Transaction, you should have defined an Excise Authority. You would create a Supplier and Site for this
Authority. Additionally, in the Type field on the Classification tab, choose Excise Authorities-IND. On
doing this, when defining a PLA Payment transaction, the Supplier name would be listed in the LOV of the
Authority field on the Capture PLA Payments India Localization screen.
Step 22 Define Bond Registers
The calculation of excise duty and updation of excise registers are based on the setup made in the define
bond register. Before making this set up the user need to define the Order types and transaction sources.
Excise transactions are classified as:
Domestic with Excise
Domestic without Excise
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Export with Excise
Bond Register (Export under Bond)
Excise transactions need to be identified based on the Organization/Location combination and against each
excise transaction multiple Order types and Transaction sources can be assigned. Order type need to be
assigned to excise related transactions from Order Management Module and Transaction source need to be
assigned for all excise related transactions through the Receivable module. If the Organization/location is
of manufacturing type, excise related transactions for manufacturing set up need to be associated. Like
wise, if the organization/location is trading excise related transactions for trading need to be associated.
By associating the Order Types to the excise transactions for an Inventory Organization and Location, the
related Excise Record entries will be passed based on the nature of goods cleared.
Step 23 Define Assessable Price Lists
If the Taxable basis for the calculation of the excise duty is different from the Price at which the item is
sold, the, you will have to create additional Price lists with the Item Excise Assessable Price.
This price list has to be attached to the Customer/Customer Site and Supplier/Supplier Site. The assessable
price would be considered only for the calculation of the excise duty.
Step 24 Define Customer Additional Information
Before you start creating transactions for the customer, it would pre-requisite to record the localization
related information for the Customer Site. You would enter the customer Registration details with the
Excise, Sales Tax and Income Tax Authorities. You will also attach the Assessable Price list that should be
considered for the calculation of excise duty. You would also define the Item Category list that would be
basis for the defaultation of the localization taxes.
You will have to make this setup for each Customer Site.
You can enable the exempt flag for the Customer Sites exempted from excise duty.
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India Local Inventory
This chapter explains how to use the Oracle Inventory functionality developed for India.
It discusses the following concepts:
Overview of Miscellaneous Transactions Overview of Inventory and WIP Transactions that update Excise Registers Setting up India Localization Organizations and Taxes Managing Miscellaneous Transactions Reports
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Miscellaneous Transactions Overview
You can use the Miscellaneous Transactions to register effect of inventory movements on Excise Registers.
You can record inventory issues and receipts to and from production using Miscellaneous Issue/receipt (RG
Update) and the respective excise inventory registers are updated with these transactions.
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Inventory & WIP Transactions Overview
India Localization supports certain transactions in order to keep track of movement of Excisable Goods.
Whenever there is a Transaction using Excisable goods is created from the following features supported by
Base Application, then India Localization updates Excise Quantity Registers. Following is a list of suchtransactions and their impact of Excise Registers:
Transaction Type
Impact on Excise Registers for Item Types
RMIN CCIN FGIN CGIN OTINMiscellaneous Receipt RG
Update
RG 23A Part
1 RG 1 RG 1
RG 23C
Part 1 NA
Miscellaneous Issue RG
Update
RG 23A Part
1
First RG 23A Part 1, then
RG 1 RG 1
RG 23C
Part 1 NA
Cycle Count Adjustment.
RG 23A Part
1 RG 23A Part 1 RG 1 NA NA
Physical Inventory
Adjustment.
RG 23A Part
1 RG 23A Part 1 RG 1
RG 23C
Part 1 NA
Move Order Issue
RG 23A Part
1 RG1 RG 1 NA NA
WIP Component Return.
RG 23A Part
1 RG 1 RG 1 NA NA
WIP Assembly Completion.
RG 23A Part
1 RG 1 RG 1 NA NA
WIP Assembly Return.RG 23A Part1 RG 1 RG 1 NA NA
WIP Negative Component
Issue.
RG 23A Part
1 RG 1 RG 1 NA NA
WIP Negative Component
Return.
RG 23A Part
1 RG 1 RG 1 NA NA
WIP Scrap Transaction.
RG 23A Part
1 RG 1 RG 1 NA NA
Staging transfer of a sales
order
RG 23A Part
1 RG 1 RG 1 NA NA
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Setting Up Organization Information in IndiaLocalization -Inventory
This section describes the setup procedures for India Localization Inventory. You must enter the setup
information for your company before you using Inventory, Purchasing, Order Management and
Receivables modules of India Localization.
Defining Organization Additional Information
This form provides with additional information regarding inventory organization. The information
available in additional organization information is the basic data for all India Localization activities and
accounting.
The User has to define an Organization and Location through Standard Application form. In the this form
he will define additional information for an Organization Location and each Organization Location will be
identified as an Excise/Tax Unit
While creating the additional organization information, it is mandatory to create two sets of records, one atnull location level and another with location.
If multiple organizations are defined within the same excise registered premises, user can opt to identify
one Organization & Location combination as "Master Organization" and all other organizations needs to be
treated as child and should have the reference of the master organization based on ECC code. In such type
of setup, the Master organization will be the organization at which all excise registers should be generated
only from the Master organization.
Note
The master child relationship among the organization and location are used only to generate consolidated
excise registers at Master organization level. You need to submit India Master Org RG request set in
order to get Excise Registers consolidated at Master Organization.
Prerequisites
Before you enter the Organization Additional Information, you must:
Define Organizations Define Locations Assign Organizations to Locations
In Oracle India Localization, navigate to the Organization Tax Information India Localization window as
follows:
Setup OrganizationAdditional Information
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The screen layout and its feature are described below for ready reference.
Field Description Type Action Description
OrganizationName/Location
(Required) EDITHELPPICK
The user defined inventory organization nameneeds to be picked up here from LOV for whichthe additional information is going to be
incorporated. The user from LOV will select thelocation for a particular organization.
MasterOrganizationinformation BlockMasterOrganization flag
This check box decides whether theorganization is a master organization or a childorganization. If it is a child organization, thisneeds to be attached to the Master organization.Consolidated Excise registers can be generatedfrom the Master organization.
Note: In the Master Org. Information block you have to specify whether the organizationrepresents an Excise licensed Organization or a child organization. If you select a childorganization, you need to specify which is the Excise licensed organization under which the childorganization belongs. For a master organization and location combination you need to enablethe Master Organization flag. This should be done for the Organization with Location specified.
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The ECC number defined for the mater organization would default to all child organizations whenmaster organization is selected.
Excise Block The following information are related to ExciseRegistration for a Inventory Organization Location whichis of Manufacturing Type. If No Values are entered in this
block, then the Organization Location is notmanufacturing enabled.
Excise Range (Optional) Details of the Jurisdictional Central Excise range officeof the Organization can be entered in this block. Valuesgiven in this field will be taken while printing all Exciserelated documents.
ExciseDivision
(Optional) Details of the jurisdictional Central Excise Division officeof the Organization can be entered in this block. Valuesgiven in this field will be taken while printing all Exciserelated documents.
ExciseRegistrationNumber
(Optional) The number of the Central Excise registration certificatecan be entered in this field. This information will betaken while printing all Excise related documents.
Excise Zone (Optional) This is an additional field provided where in the user canrecord some information which he needs to print in allexcise related documents.
Excise Region (Optional) This is an additional field provided where in the user can
record some information which he needs to print in allexcise related documents.
Excise Circle (Optional) This is an additional field provided where in the user canrecord some information which he needs to print in allexcise related documents.
ExciseCollectorate
(Optional) Details of the jurisdictional office of the Central ExciseCommissioner of the Organization can be entered in thisblock. Values given in this field will be taken whileprinting all Excise related documents.
EC Code (Optional) Use this field to enter Excise Control Code of anInventory Organization Location. This would be printedon all the documents that are required under ExciseRules.If the user opts for the Master organization concept, heneeds to ensure that the same ECC Number given in theMaster organization is replicated in the respective childorganizations.
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Excise Invoiceat EC Code
(Optional) Check this field in case you wish to generate ExciseIn case you have multiple internal inventoryorganizations/ warehouses shall be existing within thesame Excise registered premises and you would opt forExcise Invoice number generation at the MasterOrganization level then, check this option.
ExportOriented Unit (Optional) Use this field to indicate whether theOrganization/Location is a Export Oriented Unit. Onchecking this flag the CENVAT liability arising onshipment would be matched component-wise with thecredit available for that Excise Component. You wouldnot be able to complete shipment if the credit availablefor Excise Component is inadequate.
Sales TaxBlockCST Reg. No. (Optional) Use this field to enter Central Sales Tax Registration
Number of an Inventory Organization Location. Thiswould be printed on all the documents that are requiredunder Sales Tax Act.
LST Reg. No (Optional) Use this field to enter State Sales Tax RegistrationNumber of an Inventory Organization Location. Thiswould be printed on all the documents that are requiredunder Sales Tax Act.
Income TaxBlock
(Optional)
PAN No Use this field to enter Permanent Account No of anInventory Organization Location. This would be printedon all the documents that are required under Income Tax
Act.
NoteThis field is redundant
TAN No (Optional) Use this field to enter TDS Account No of an InventoryOrganization Location. This would be printed on all thedocuments that are required under Income Tax Act.
NoteThis field is redundant
WARD No (Optional) Use this field to enter Ward No of an InventoryOrganization Location. This would be printed on all thedocuments that are required under Income Tax Act.
NoteThis field is redundant
VAT Reg No. (Optional) Use this field to enter VAT Registration No of anInventory Organization Location.
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Note: Please note that if an Inventory Organization Location is a Manufacturing unit (Not aTrading unit) and you enter details in the Tax Info Block, then you will not be allowed to enter anyinformation in the Excise -Trading Information Block through Trading Information Button.
Similarly if an Inventory Organization Location is a Trading unit (Not a Manufacturing unit) thenNo Information should be entered in this Tax Info Block since this Excise Block is meant forentering Excise Registration details for a Manufacturing Inventory Organization/Location.
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Defining Trading Registration DetailsRefer to the Trading Chapter of the User Guide for details of Setups required for a Trading Organization.
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Defining Accounting Information for Organization
You should ensure that you specify appropriate general ledger accounts in the AccountsInformation region. This information would be used to account for Localization transactions. Itsmandatory to enter values in all the fields. Details of those fields and its significance are
discussed below.
Prerequisites
Before you enter the Accounts Information - Organization Additional Information, you must:
Define Organizations Define Locations Organization Additional Information
In Oracle India Localization, navigate to the Organization tax Information India Localizationwindow as follows:
Setup OrganizationAdditional InformationAccounts Information
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The screen layout and its feature are described below for ready reference.
FieldDescription
Type Action Description
AccountsInformationBlock
These accounting information are necessary foran inventory organization through which all thecharges related to an item on taxes will charged torespective accounting flex fields. The user needsto define separate accounting flex-fields for OSPExcise a/c, Excise expenses, Excise receivable,CENVAT on Raw Material, CENVAT on CapitalGoods, Personal Ledger Account, Excise -RG23D,Bill of entry, Scrap cost, CENVAT Reversal,Customs write off a/c.
OSP Excise (Required) PICKHELPEDIT
This account will be used to pay the excise dutyon goods sent for Outside processing. This isusually a Expenses a/c.
ExciseExpenses
(Required) PICKHELPEDIT
Enter a general ledger account for ExciseExpenses Account. This default account is beingused to track the Excise duty due from the excisedepartment on account of customer returnstreated as FG return or scrap.
ExcisePayable/paid
(Required) PICKHELPEDIT
Enter a default general ledger account to bedefaulted on all AR transaction entry windows forAccounting Excise Duty paid on delivery of goods.This account will debit for the total Excise amountwhenever shipment is confirmed to a customerand AR Invoice is raised.
CENVAT RM (Required) PICK
HELPEDIT
Enter a default general ledger account to be
defaulted on all transaction entry windows forCENVAT Raw Material account. This is the defaultGL account that will hit while performing a receiptwith CENVAT credit (inputs) This is usually anasset account.
CENVAT CG (Required) PICKHELPEDIT
Enter a default general ledger account to bedefaulted on all transaction entry windows forCENVAT Capital Goods account. This is thedefault GL account that will hit while performing areceipt with CENVAT credit (Capital Goods) . Thisis usually an asset account.
Bill of Entry (Required ) PICKHELPEDIT
Enter a default general ledger account to bedefaulted on creation of Bill of entry and onapplying Bill of Entry to Receipt. This is usually anasset account.
Excise RG23D (Required) PICKHELPEDIT
Excise Duty Account for trading item and thisaccount will be updated for transaction happenedin a Trading Organization Location.
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CENVATReversal
(Required) PICKHELPEDIT
This CENVAT Reversal a/c will be updated forReversal entry passed on account of ExciseExemption & CT2 form transactions in anInventory Organization Location.
CENVATReceivable
Account
(Required) PICKHELP
EDIT
The user needs to define a GL Account of Assettype that needs to hit while performing CENVAT
credit transactions for the capital goods. As perthe provisions of Excise Rules, the manufacturer ispermitted only to take 50% of the duty paid oncapital goods at the time of receipt and thebalance can be availed in the succeeding financialyear. The amount that needs to be claimed laterwill be accounted in this ledger account.
Customs writeoff
(Required) PICKHELPEDIT
This Customs write off a/c will be updated for awritten off amount from Bill of Entry a/c when everamount is written off from BOE.
Allow tax
change onreceipt
(Optional) CHECK
BOX
By enabling this flag, the taxes in the receipt
defaulted from the original purchase order couldbe changed.
RG ExciseRounding
(Required) PICKHELPEDIT
This field would be updated with the differentialduty that needs to be adjusted in setting Exciseduty amount to the nearest rupee.
Cess AccountsInformationBlock
The information specified in this block would beused to account for the Cess on Excise taxesapplicable to transactions in Procurement andSale.
Cess PaidPayable
(Required) PICKHELP
EDIT
Specify a general ledger account to be used inaccounting for shipment Education Cess on
Excise involved in Shipment transactions.
This account would be debits with the totalEducation Cess (on Excise) amount. While, thecorresponding Duty register account would becredited.
ExciseExpenses
(Required) PICKHELPEDIT
Enter a general ledger account for ExciseExpenses Account. This default account is beingused to track the Excise duty due from the excisedepartment on account of customer returnstreated as FG return or scrap.
CESS RM (Required) PICKHELPEDIT
Specify a general ledger account that would beused to Account for the Education Cess recoveredon purchase of raw material. This account wouldbe credited on shipment when the excise liabilityarising from the shipment transaction is met byutilizing the Cess credit available in RG 23 ARegister.
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CESS CG (Required) PICKHELPEDIT
Specify a general ledger account that would beused to Account for the Education Cess recoveredon purchase of Capital Goods. This account wouldbe credited on shipment when the excise liabilityarising from the shipment transaction is met byutilizing the Cess credit available in RG 23 CRegister.
Excise CessRoundingAccount
(Required) CHECKBOX
Specify an account that would be used inaccounting the rounding differences arising fromthe Education Cess on Purchasing transactions.
This account would be debited when the Cessrounding amount for the Excise Invoice is anegative amount. Similarly, this account would becredited when the Cess rounding amount for theExcise Invoice is a positive amount.
CESSReceivable
Account
(Required) PICKHELP
EDIT
The GL Account specified here would be used inaccounting for Cess included in purchase of
Capital Goods.
As per the CENVAT Credit Rules, themanufacturer is permitted only to take 50% of theduty paid on capital goods at the time of receiptand the balance can be availed in the succeedingfinancial year. The amount that needs to beclaimed later will be debited in this account.
RTV Expense (Required) PICKHELPEDIT
This field would be debited with the differentialduty that needs to be paid in a RTV transaction.You should have also checked the RTV AccountFlag check box in this window.
This account would also be debited with the ThirdParty, Customs and CVD tax amounts included inReturn to Vendor transaction.
Allow negativebalance in PLA
(Optional) CHECKBOX
By enabling this check box, the user will be able toover draw from the PLA Balance available withhim. If this is not enabled, system will holdshipments for want of funds in PLA.
Allow taxchange on ROIreceipts
(Optional) CHECKBOX
When the receipt is created from Receiving openinterface user has an option to modify the taxes.
Allow tax
change onWMS receipts
(Optional) CHECK
BOX
User has an option to modify the taxes when
receipt is created from WMS module.
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Allow DispatchQty to exceedOriginal Qty.
(Default=N) CHECKBOX
In Approve Dispatch 57F4 form ,a simple popupdecision window will be populated with Yes/NO forthe user to decide.This popup should be enabled based on "AllowDispatch qty greater than Original Qty" inadditional info.If the flag is not set then there will not be anypopup.
When clicked on Approve Dispatch button, thisPopup will be a stack message which gives all theline numbers with Dispatch qty greater thanOriginal Qty for the users to correct / take adecision.If clicked on Yes then its accepted, If clicked NOthen the cursor will point to the first record forcorrection.
RTV AccountFlag
(Required) CHECKBOX
You should check this field only when you havedecided that you would debit the supplier only withthe Excise Duty paid by him during the supply of
goods. Once this check box is enabled, you will beable to associate an account where the differentialduty needs to be accounted.
This account is also debited with Third PartyTaxes included in an RTV.
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DefiningRegisterPreferences
This parameter decides the preference of hitting theduty payment register while performing a ship confirmtransaction in Order Management or a TransactionLocalized in the AR Module. You are not permitted todebit duty from different duty paying registers for asingle transaction.
If the balance available in each of the CENVAT Registers and PLA is less than Excise Dutyliability arising from the ship confirms transaction, then the Interface Trip Stop request completeswith error and the shipment transaction remains incomplete. In a scenario, where you have optedfor a fortnightly settlement, you can ship with inadequate CENVAT credit. To meet such situationsyou can enable allow negative balance in PLA and set PLA preference to
1. On doing this, all excise payments are done through PLA register and periodic adjustmentstowards payment of excise duty can be done through RG Consolidation screen. In such type ofsetup, the CENVAT registers will have entries only for the credit availed and the adjustmentsmade while computing the exact excise liability (fund transfer from CENVAT register to PLAregister).
Note:1. You should take care to get necessary concurrence from the local excise authorities beforerolling down with the new system.2. On RTV, the registers that would be updated would be based on the preferences.
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Defining Tax CalendarAs part of Localization setup you need to define the Tax calendar. Excise Registers would beupdated only for the Active Period. Only one period can be active at a time.
Prerequisites
Before you enter the Tax Calendar - Organization Additional Information, you must:
Define Organizations Define Locations Organization Additional Information
In Oracle India Localization, navigate to the tax Calendar Information India Localization asfollows:
Setup Organization Additional Information Tax Calendar
The screen layout and its features are given here for ready reference.
FieldDescription
Type Action Description
OrganizationName
/Location
(Displayed) The Inventory Organization/Location will be displayedfrom the Organization Tax Information.
Note: The Tax calendar should be defined only atOrganization level with null location. This calendar willbe defaulted for each location falling under theOrganization. The tax period in Localization is meant forsetting up the serial numbers of Excise registers andrelated localization reports.
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Year/StartDate/End date
(Required) The user needs to specify the year and the starting andending date for that tax year.
The User can define the next Tax Calendar year through Open next year button, which will start a
concurrent process that will open the next year as the active year for which the taxes will beaccounted.
The user needs to take care while entering this Tax Calendar, if by mistake he opens next Openperiod, then the Active Flag gets enabled to next year and it cannot be changed.
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Defining Excise Invoice GenerationTo generate excise invoices with pre-definable prefixes (Alpha/numeric), you need to completeExcise Invoice Generation Setup. If this setup is not done, system will generate only two series ofexcise invoices, one for domestic clearances and the other for export clearances and no prefixesfor the numbers generated can be maintained.
Prerequisites
Before you enter the Excise Invoice Generation - Organization Additional Information, you must:
Define Organizations Define Locations Organization Additional Information
In Oracle India Localization, navigate to the India Local Inventory window as follows: Navigate to India Local Inventory, Organization Additional Information. Query for the Organization Location fro which you wish to make the setup. Click on Tax Calendar and then on Excise Generation.
Follow the information in the table in completing the setup.
Click on the Tax Calendar button on the Organization Tax Information window Click on the Excise Generation on the Tax Calendar to open the Excise Generation India
Localization Window. Create a new record for the Excise Invoice serial number to be generated for the
Organization, location, and Transaction Type and Order/Invoice Type combination.
This Excise Invoice Serial will be generated when Shipment & RTV is made from a Particular
Inventory Organization Location.
In Oracle India Localization, navigate to the Excise Generation India Localization window asfollows:
SetupOrganizationAdditional InformationTax CalendarExcise Generation
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The following information can be entered by user to generate multiple Excise Invoice Serialnumbers based Order /Invoice Type/Excise Register codes.The screen layout and its feature are described below for ready reference.
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FieldDescription
Type Action Description
Transaction
Type
(Required) PICK
HELP
Choose one of the options from the LOV. The options would be
Order:
On selecting this option in combination with the OrderType, the Excise Invoice number generated on shippingthe delivery created with this Order Type would be basedon the definition specified for this record.
Return To Vendor:The document sequence defined here would beapplicable to excise invoice numbers generated for aReturn to Vendor Transaction.
Domestic:The document sequence defined here would be
applicable to excise invoice numbers generated for aDomestic Transaction.This would be applicable to all the Order/Invoice Typesthat areDefine Bond Register: Chosen for the Organization/Location with the Register Type as Domestic with ExciseANDThis Order Type is not chosen in the Excise creation IndiaLocalization screen for the Organization, Location.
Invoice:On selecting this option in combination with the InvoiceType, the Excise Invoice number generated on saving anAR Invoice would be based on the definition specified for
this record.
Export:The document sequence defined here would beapplicable to excise invoice numbers generated for aExport Transaction.This would be applicable to all the Order/Invoice Typesthat areDefine Bond Register: Chosen for the Organization/Location with the Register Type as Export with Exciseand this Order Type is not chosen in the Excise creationIndia Localization screen for the Organization, Location.
Order/InvoiceType
(Required) PICKHELP
The relevant Order Type/Invoice type related for ainventory organization Location have to be selected herefrom the LOV.
Register Code (Required) PICK
HELPThe appropriate Register Code for a Order/Invoi