GST Relevance for Free of Charge Deliveries in India

[Jack_Johnson]

Dear Community,

we have an implementation project in India and there is the legal requirement to pay tax also on sales orders without charge.

The customer shall not get any information about the tax and there should also no open item on FI side.

The means we want to calculate the tax before we are deducting the 100% discount (or on basis of the original net amount) and want to post it with the billing document on the tax account and on an accruals account, since we do not want to have it on the receivables account. 

We found information for the for on Prem systems and tried to rebuild it in the public cloud but without success.

Independent what we are doing in customizing we are getting accounting errors (without specific information in the error) or it is not a real tax posting.

Do you know how to set up the functionality within the public cloud? Is there any process you know how to solve the requirement?

Thank you in advance!

Kind regards,

[Axel]

Dear Jack,

Have you checked the following scope items functions here:

• Free Goods Processing (BKA) that is available for India
• Project Control – Sales (4I9), also available for India, that allows to : Create delivery, execute picking and post goods issue, plus support (…) free-of-charge processes

Can you please have look and test, plus provide any update on issues left?

Regards,

Axel

[Jack_Johnson]

Hi Axel,

thank you for your reply!

Yes, both scope items are activated. But Project Control is not in use in our case.

We are working with BKP.

Kind regards,

Jonas