1. Objective and Scope

1.1. Objective of this Operation

The procedure is divided in two main steps: 

1. Explain how to fill VAT refund template where we declare the sales and purchase operations made by company 5835 with German VAT code 
   1. DE Supplier nº 1003000050 - Partner 1196 
2. Fill in the report for the intrastate operations

1.2. Scope

This procedure applies to company 5835 – Solvay Specialty Polymers Italy.

2. Definitions

See Finance Glossary:

• BFC
• BOIC
• CAM
• ERP
• FO
• GAC
• GAR
• GL
• PE
• PF1
• RCS
• ROPM
• SBS

3. Tasks description

3.1. Periodicity

The operation explained in this procedure must be done on a monthly basis until D+8.

3.2. Responsibility

SBS RtR BO: (change RtR BO)

• Fill in xls template for the VAT Refund;
• Fill in the template with intrastate information and print the invoices related;
• Check VAT balance accounts;
• Send the information to Locals accountants (German and Italian).

SBS RtR FO: (change RtR FO)

• Communicate any change necessary on the calculation process.

3.3. I collect the data for VAT DE

3.3.1. I extract the report S_ALR_87100833

Run standard report S_ALR_87100833 with variant "5835-DE", confirm that the posting date is the month you want to analyze. 

This report shows all the invoices issued/received by Solvay Specialty Polymers with German VAT code: 

At the end a resume per tax code used:

3.3.2. I fill the template DE IVA Modulo – Month 201X

Based on the outcome of this report we have to build the template IT 5835 DE IVA MODULO_MMYYYY and perform quality check in the end to assess the accuracy of the information that will be delivered. 
The Template is divided in four operation types:

1. Sales
2. Purchases
3. Turnover tax on import
4. Intercommunity acquisition

Hereunder, step by step what we need to do for each type of operation:

1) Sales

Copy from the standard report extracted from SAP all the information concerning TAX code report "5T": 

• • Current no. (Sequential numbering)
  • Name of the purchaser
  • Document date
  • Number of invoice
  • Net value (opposite sign)
  • Output tax
  • Kind of service 

, in the column NET VALUE and OUTPUT TAX the figures should be pasted with positive sign, in case the amount will be negative is because the documents issued for the customer are credit notes. 

In point 4.3.3 is explained how to reach the amount to fill in the discount line (marked in yellow) that should have always negative sign. 
Copy from the standard report extracted from SAP all the information concerning TAX code report "5G" below raw Intra-Community delivery: 

• • Current no. (Sequential numbering)
  • Name of the purchaser
  • Document date
  • Number of invoice
  • Net value (opposite sign)
  • Output tax 

If there is an invoice posted with 5G, please add the amount without a minus when it is a sales invoice. 

Additional information regarding tax code 5G:
In addition, as detected in the month of April 2017, when there is no total amount to be paid by the recipient of the invoices, because there is a rebate of 100% and the total is 0,-- €, the invoices must not be included in the VAT file. 
Check to be done: In order to check if the invoices have or have not to be included in the report. Please proceed with the following invoices check

a. Extract report S_ALR_87100833 with variant "5835-DE": obtain from column "document No." data and tax code 5G.

b. Go to FB03 to obtain the original invoice attached to the posting.

c. Open attachment list to obtain the original invoice.

d. Open PDF and check if it mentions 100% discount (See invoice below)

If it is the case it cannot be included in VAT report as Intra-community delivery as total value is 0. 

2) Purchases

Copy from the SAP standard report all the information concerning TAX code "7V" and "7H" except the data of suppliers linked with custom bills (eg: 702701488 – Panalpina, 9901007349 - Custom Bremen, 1003048164 - BDP INTERNATIONAL GMBH (fees should be included as purchases) and Solvay Polymers: 

• • Current no. (Sequential numbering)
  • Name of the purchaser
  • Document date
  • SAP doc number
  • Number of invoice
  • Net value (opposite sign)
  • Input tax

E.g. 

3) Turnover tax on import

In this section we should declare the VAT amounts related to custom bills witch are booked in the system with VAT codes 7B and 7V. 

For German the suppliers to be considered are: 

• • 702701488 – Panalpina 
  • 9901007349 - Custom Bremen
  • 1003048164 - BDP INTERNATIONAL GMBH 

The fields to fill in information are: 

• • Current no. (sequential numbering)
  • Name of the purchaser (Panalpina)
  • Document date
  • SAP doc number
  • Number of invoice
  • Net value 
  • input tax 

E.g.

We only have to report the outcome VAT based on the goods that are declare in the custom document. 
Open the documents on vendor 9901007349 - Custom Bremen, see the attached image and confirm if the amount is the same of the VAT report. 

Note that when filling the declaration the supplier to be use is Panalpina or BDPINTERNATIONAL GMBH (field Supplier Name and Invoice Reference), because this is the one who pays the tax on behalf of Solvay Specialty Polymers Italy. However, the Document Number and the amounts to be reported are the ones from Custom Bremen. 

Note: For BDP INTERNATIONAL GMBH, please note that the amount to be included are only the one mentioned in print above (Einfuhrumsatzsteuer (EUSt)), if we have Customs Duty, the amount should be reported in Purchases.

4) Intercommunity acquisition

In this section all the intercompany operation should be included, the tax code associated to this operations is 6Z: 

• • Current no. (sequential numbering)
  • Name of the seller
  • Document date
  • SAP doc number
  • Base amount
  • Output tax 
  • Input tax 

3.3.3. I retrieve the discount amount

In this step we need to distinguish the amount to insert in the VAT Refund file (yellow line).

Due to CAMs project, the amounts are not appearing in the VAT report. Therefore, theWith wise project the process changed and now the amount is booked automatically in WARP we just need to retrieve it from the original extraction, this postings are booked with doc type DS. 

The only way for now to detect these cases are via: 

1) Run transaction FS10N and include the following information: 

• • G/L account: 6531000000
  • Company code: 5835
  • Year: Current year 

Go to the posting of the monthly cash discount needed by pressing double click in the amount of the month selected: 

Open attachment list of the posting:

The attachment contains an excel file with the whole detail of customer discounts. In the attachment - Filter by the German Document Range - 668* in column Affiliate doc. num. 

These are the documents posted with VAT nr of Solv Polymers in DE 
We should sum the figures by column Amount: 

• • Base amount: - 20.268,8426.010,35 € 
  • Output tax: As it is not automatically calculated the amount has to be included as 19% of base amount. -4.941,97€ 

And afterwards include them in the yellow line of the declaration always with negative sign (discounts): 

2) Check of results in Step 1 Tax Code 5T 

This step is only to guarantee that the documents filtered in Step 1, they have tax code 5T. 
Go to transaction ZZF_RFEPOJ00 variant CAMS_IT DE FIS - insert the document numbers detected in the attachment of point 1. 
Then inside filter by the tax code you need (5T in the moment) 
!worddavc4c631f832848f4795f3bca4db622467.png|height=58,width=590!Has example one posting of discount:  (image not working?)

3) Posting 

By introducing the following data in the template. There will be a difference when performing the check in point 4.3.4 Check G/L accounts balances by the amount of the customer discounts. 

To have information aligned, please proceed with the posting taking as reference document number 5010094210 regarding customer discounts of May and by changing the amount, text "Sconto IVA Clienti MM YYYY and assignment "Sconto MM/YYYY": 

3.3.4. I check the G/L accounts balances

Open FBL3N and choose variant "5835_VAT_DE", select the VAT period of analyse: 

Afterwards exclude all the manual postings booked (S1 document type) and confirm if the total amount open is the same extracted in the first report (step 2.1.1; cell H34 from file IT 5835 DE IVA MODULO_MMYYYY, after excluding the discount amount): 

 





After check that both accounts are consistency with the VAT Module built, we should send it to our GERMAN VAT contact imke.frank@solvay.com, with the CAM of the company 5835 in copy. 

She will submit the declaration to the fiscal authorities and after will send back the official VAT document declaration, for our knowledge and archiving.

3.3.5. I book the VAT amount

Book VAT and attach the VAT declaration.

Once we receive the VAT Declaration from IMKE we have to post the amount to be paid/received in our books according also with the posting made in company 1196 (supplier 1003000050).

Usually we have a passive position meaning we pay VAT to company 1196 on a monthly basis, so we need to perform the following posting: 

• Transaction FB41 
• Document Data: End of Month of VAT 
• Posting Date: Current day 
• Doc type: S1 
• In Header text: VAT mm/yyyy 
• Reference: 1196xxxxxxxxxx (where the X is the number of the doc C1 in company 1196) 

To be able to have this document number open FBL5N for the month of the VAT that is being considered choose company 1196 and customer 409015 and confirm that document is already been book: 

E.g.: February posting 

The C1 doc number is 1010001761.

Note:
Never forget to insert the reference number in the VAT posting otherwise the payment will not be able to be clean with WARP payment. 

• 50 – Account 2411030049
• 40 – Account 2451030049
• 31 – Vendor 1003000050 
• Assignment: VAT DE mm/yyyy 
• Long text: Liquidazione IVA Month yyyy 

After the posting is performed attach the VAT Declaration.

3.3.6. I clear the VAT Accounts

After VAT book in the previous step we should clear both accounts 2411030049 and 2451030049 with the doc of VAT using transaction F-03. 
In the end should only remain open on VAT accounts the figures of the current month and the "Acconto 2015" (guarantee amount for the year 2015).

3.3.7. I highlight the DE VAT NET position - Year End

In December closure performed in January, we have to highlight the DE VAT NET position, This means we should only have in our balance sheet the evidence of the VAT net amount as an Asset or a Liability. 

In case of Asset Position
It means the VAT to receive is higher than the payable we should book the following doc: 

• Transaction FB41: 
• Doc type: S1 
• Doc date and Posting Date: 31/12/yyyy 
• 40 – 2451030049 
• 50 – 2411030049 
• Text: Giroconto 

In case of Liability Position:
It means the VAT to pay is higher than the VAT to be received we should book the following doc: 

• Transaction FB41: 
• Doc type: S1 
• Doc date and Posting Date: 31/12/yyyy 
• 50 – 2411030049 
• 40 – 2451030049 
• Text: Giroconto 

3.4. I extract the Intrastat informatin

This step of the procedure explains how to extract the intrastate information from the system and compile the total amount of invoices per each commodity code and the correspondent tare mass. 

1st Step - Open transaction VE01 with variant "5835_INTR_DE" 
Copy from the extraction of VAT (step 2.1.1 of this procedure) the billings with tax code 6Z past in "billing Document" field and run the transaction: 

 

The outcome will be the list of billing with the detail per line item: 

Extract the information to excel by clicking on .

Meanwhile open the template file IT 5835 DE INTRASTAT Template - MMYYYY and save it without changing the name otherwise the macro and the pivot will not work. 

Pick up the information extracted to excel, copy and paste it in sheet "VE01 Data Base", 

Next go to sheet "Pivot – Intrastat" and refresh the Pivot Table, all the required information on commodity code and tare mass will be displayed in detail: 

Final Checks:

1. The amount shown in line "Total Sum of Inv.value" should be the same as the total base amount in the VAT declaration for tax code 6Z, if this is not the case re-start the procedure because something went wrong. 
2. In the Intrastat the CN have to be signed, in case exist we should highlight them in colour orange and inform the CAM - Paola Gagianesi and about them.

3.4.1. I save the invoices in PDF format

Open transaction "Z1F_LIST_IXOS_RECEIV" and select variant "IMBB_INVOICES" 

 

Follow the next steps:

1. From report the report ran in the 1st step "S_ALR_87100833" copy all the documents numbers with tax code "6Z";
   
   
2. Paste the list of documents in field "Document number";
   
   
3. Select the posting date you are working on normally previous month;
   
   
4. Define a "Path for Download", this is the place where the pdf's will be saved when extracted. (e.g.: your PT user desktop);
   
   
5. Run transaction by clicking on ;
   
   
6. Gather all the documents and create a ZIP file with all invoices to send to local team.

3.5. I send the invoices to local team

For IT 5835 DE IVA MODULO_MMYYYY ONLY: 

• imke.frank@solvay.com , copy CAM 

For IT 5835 DE INTRASTAT Template - MMYYYY:

• RTR – FO Italian Team - Paola Gagianesi  (change RtR FO)

End of document.