GST Processing

Generally, GST processing functions the same as that for Value Added Taxes (VAT).  Like VAT, the system calculates GST amounts for each detail line of the transaction.  This applies to the Order Processing, Accounts Receivable, Purchasing, and Accounts Payable modules.  Where applicable, the system changes the screen and report literals field names to reflect the type of environment, VAT or GST.  To understand the details of GST processing, review the exceptions defined in this section, then read the section on VAT Processing.

GST Exceptions to VAT Processing

Although generally, GST uses the same processing as VAT, the following exceptions apply:

GST Calculation Method

You cannot use the Net and Recalc calculation methods.  You must set the GST calculation method to Gross on Reference File category 132 and on the Vendor Master file (APMASTP).

GST Declaration Points

You cannot set the declaration point to Payment.  For Accounts Receivable, you must set the GST declaration point to Invoice in the Customer Master File.  For Accounts Payable, you must set the GST declaration point to Invoice in the Vendor Master file (APMASTP).

GST Type

GST processing only uses the GST/VAT types of exonerated and normal.

GST Corrections for Write-Off Transactions

You can claim as a rebate from the Canadian government, the proportionate amount of GST written-off on an uncollectable receivable.

Note:    GST is not allowed on Gifts.

Hierarchy for Defaulting GST Codes on Sales Orders

GST does not use Reference File categories 461 (Customer/Item VAT Code) or 462 (Country/Item VAT Code) to establish relationships for default GST codes.

Modules and Programs Not Supported by GST

The following modules and programs are not supported in GST:

·     Synchro

·     AR Batch Payment Entry (AR125E)

·     EDC Transaction Router (BC200E)

·     EDI Batch Sales Order Entry (EDI40E)

·     Barcoding Shipping Confirm (OP124E)