GST Implementation with Microsoft Dynamics NAV
- 1. Microsoft dynamics nav 2009 Goods & service tax 20TH July 2017
- 2. 2 GST IMPLEMENTATION ROADMAP • Introduction • GST Setup • Master Setup • Customization • Ledger Entry Impact • Invoicing Impact • Impact on Purchase • Impact on Sales • Input Credit Flow • Accounting Entries
- 3. 3 INTRODUCTI ON Goods and Service Tax (GST) is an indirect tax levied on supply of goods or services or both. It is a destination/consumption based tax levy which is payable in the state in which the goods and services are consumed. It is levied and collected on value addition at each stage of production or distribution process (all points in supply chain). The supplier can avail credit on input tax credit paid on procurement of goods or services. It extends to the whole of India (One India One Tax)
- 4. 4 GST SETUP • GST Accounting Period • GST Group • GST Components • GST Setup • GST Posting Setup • GST Configuration • GST Registration Nos • HSN/SAC • State/Province • GST Component Mapping
- 5. 5 Masters Setup • Item Master • Fixed Asset Master • G/L Account Card • Vendor Master • Customer Master • Company Information • Location Master • Service Cost
- 6. 6 Customization • Purchase Header • Purchase Lines • Sales Header • Sales Lines • Service Header • Transfer Lines • General Journal Lines • Vendor Ledger Entry • Customer Ledger Entry • Service Transfer Header • Shipment Lines • Receipt Lines • Delivery Challan Header • Delivery Challan Line/GST Liability Line
- 7. 7 GST Ledger Entry Fields Description Entry No. Displays the entry number. Gen. Bus. Posting Group Displays the general business-posting group to which the transaction pertains. Gen. Prod. Posting Group Displays general product posting group to which the transaction pertains. Posting Date Displays the date on which the transaction is posted. Document No. Displays the document number. Document Type Document type is Payment, Invoice, Credit Memo, Transfer or Refund. Transaction Type Displays whether the transaction is a sale or purchase. GST Base Amount Displays the base amount on which GST percentage is applied. Source Type Customer/Vendor. Source No. Vendor No/Customer No User ID Displays the user ID of the user who posted the transaction. Source Code PURCHASES, SALES, GENJNL, BANKPYMT etc.
- 8. 8 Invoicing Under GST Fields Description Tax Invoice Registered taxable person at the time of supplying taxable goods or services. Self Invoice Registered taxable person who is liable to pay tax under reverse charge for goods or services purchased from a person who is not registered under GST Bill of Supply Registered taxable person supplying exempted goods or services Credit Note Credit Note is issued by the supplier of goods or services Debit Note The supplier of goods and services issues debit Note ISD Invoice ISD Invoice is issued by an Input Service Distributor Receipt Voucher Acknowledging receipt of advance payment Refund Voucher Subsequent to issuance of receipt voucher
- 9. 9 GST Impact Purchase • Purchases from a Registered Vendor • Composite Vendor • Unregistered Vendor • Exempted Vendor
- 10. 10 Input Tax Credit Flow • Input Tax Credit Flow in Purchases • GST Credit in NAV • Purchases from a Registered Vendor • Unregistered Purchases & Import of Services • Import of Goods • Accounting Entries for Purchase Transactions • Entries for Purchases from a Registered Vendor • Entry for purchases from a Composite Vendor & Exempted Vendor • Entry for Import of goods with Credit • Entries for purchase of goods from an Unregistered Vendor
- 11. 11 Input Tax Credit Flow • TDS & GST on Purchase Transactions • TDS computation in Purchase Invoice and Accounting Entries • TDS Computation in Purchase Invoice (Reverse charge) and Accounting Entries
- 12. 12 GST Impact On Sales • Business to Business Sales • Business to Customer Sales • Export Sales • Deemed Exports • Exempt Sales • Sales through an e-commerce operator • Price Inclusive Tax
- 13. 13 Accounting Entries • Normal Sales Entries • Export Entries • Exempted Sales • GST & TCS in Sales
- 14. 14 NEXT STEP We can schedule a meeting with our NAV Technical and Functional team to discuss business requirement as: 1. Line of Business 2. Business Flow 3. Current Application and Its Setup 4. Roadmap 5. Timeline The GST implementation is an important and significant modifications of TAX and localization of your ERP, detailed discussion with finance and technical consultant is necessary to avoid any rework and mistake. We recommend that you contact your Microsoft Dynamics Partner before installing service packs or hotfixes.
- 15. 15 THANK YOU