Tasks to be completed when documenting an operation (from creation to publication)
1. Enter the Title of the operation / page
2. Add the following Labels:
Scope of applicability: ww, country_accounting
Country or group of countries (if applicable): belux, china, france, italy, lam, nam,uk_ie, bulgaria, dach, netherlands, iberia, poland, latvia, australia, india, japan, south_korea, thailand, singapore, new_zealand, emea_transversal, apac_transversal
Unit and Domain according to the List of labels to be used in the Finance Service Line space
- E.g. 1: WW Operation in Financial Accounting under domain "Central Finance Processes & Compliance":
- Labels to be used: ww, financial_accounting, central_fin_proc_compliance
- Labels to be used: ww, financial_accounting, central_fin_proc_compliance
- E.g. 2: France Operation in Financial Accounting:
- Labels to be used: country_accounting, france, financial_accounting
(for country operations, the Domain is always country_accounting)
- Labels to be used: country_accounting, france, financial_accounting
- E.g. 1: WW Operation in Financial Accounting under domain "Central Finance Processes & Compliance":
3. Fill in all fields as described above
4. Name the title of each section using OPD methodology naming convention - Infinitive verb without the “to”, mainly action verb...something) -" I do something..."
5. Once the description of the operation is completed, ensure it is approved and published by launching the SBS-Finance approval workflow
Responsibility area:
Table of contents
Scope
ERP
Frequency
References
Forms
Attachments
<< BR: PIS/ COFINS >>
1.1. Objective of this Operation
The purpose of this procedure is to detail the process of calculating PIS/PASEP and COFINS contributions, ranging from the reconciliation of revenues to the actual payment or calculation of the credit balance.
1.2. Scope
This procedure applies to the Tax Accounting area and must be followed for any company that recorded billings in a given month. PIS/COFINS contributions are levied on the entity's revenue, regardless of its accounting and/or tax results. The legislation provides for some exemptions and exclusions from the calculation basis. Rhodia's assigned regime is Non-Cumulative.
This procedure is applicable for company of Brazil in WP1.
2. Definitions
See Finance Glossary:
3. Tasks description
Definition / Terminology : PIS/PASEP: Program for Social Integration and Formation of Public Servant Assets
COFINS: Contribution to Social Security Financing
Revenue: Gross revenue, understood as the total revenue earned by the legal entity, regardless of the denomination or accounting classification adopted for these revenues.
Non-cumulative regime: The non-cumulative regime of PIS and COFINS consists of deducting, from the calculated debts of each contribution, the respective credits allowed in the legislation.
Contents : Based on the revenues contained in the balance sheet for the month, we reconcile them with the existing amounts in the corresponding PIS/COFINS accounts. At the end, after calculating the debits for the month, the respective credits are deducted and the payment and/or credit balance is calculated.
3.1. I do Creating calculation folder and month files
3.1.1. Step 1 of Task 1 (I do something...)
Create the month folder on the network and copy the calculation files based on the previous month
Example month 09
- Rename to the current month.
3.2. I do Generating trial balance in SAP
3.2.1. Step 1 of Task 2 (I do Generating trial balance)
- Open the SAP application and execute transaction F.01.
- Fill in the fields according to the example below and generate the report.
3.2.2. Step 2 of Task 2 (I do Exporting to Excel)
In the “List” menu, select “Save/Send” and then choose “File...”.
- Then flag the “Spreadsheet” format.
- Choose the path where the file will be saved (accounting folder for the current month), insert the name and click on “Generate”.
- Open the calculation worksheet and perform a PROCV on the related accounts based on the balance sheet in Excel created in the previous step, in order to compose the revenues that generated PIS/COFINS.
3.3. I do Generating trial balance in SAP
3.3.1. Step 3 of Task 1 (I do Composition of zero rate amounts, credit notes, sales returns and exports in the drawback regime)
- Execute transaction ZWOC30.
- Choose the variant PSOARES – PIS PSOARES.
- Then enter the period of the current month and click on “Run”.
- The report below will be displayed:
- Export to Excel and save in the calculation folder.
3.4. I do Generating trial balance in SAP
3.4.1 Step 4 of Task 1 (I do Composition of zero rate amounts, credit notes, sales returns and exports in the drawback regime)
- Execute transaction ZWOC30.
- Choose the variant PSOARES – PIS PSOARES.
- Then enter the period of the current month and click on “Executar”.
- The report below will be displayed:
- Export to Excel and save in the calculation folder.
3.4.2 Step 4 of Task 2 (I do Zero Rate and Credit Notes)
- Sales at a zero rate are also accounted for in the revenue accounts, so it is necessary to calculate this value and deduct it from the revenue in the calculation worksheet.
- Credit notes are discounts granted to the customer, being accounted for reversing sales accounts, but PIS and COFINS are normally levied on the discount. Therefore, it is necessary to return the value to the base, so the revenue increases (in the ZWOC30 report, PIS and COFINS = 0).
- Open the ZWOC30 report and follow the steps below:
eliminate lines whose CFOP is 7xxx
eliminate rows whose “Currency” column is not BRL (eg USD, EUR)
eliminate rows whose PIS and COFINS columns contain value (leave only 0)
eliminate the lines whose column “Total Item NF” is equal to zero
eliminate lines whose column “Desc. Fat.” display the description “Free Samples BR”
eliminate lines whose column “Desc. Fat.” display the description “Return Mt. Cousin"
eliminate lines whose column “Desc. Fat.” display the description “Cta.&Ord Remittance.”
separate the lines whose column “Desc. Fat” display the description “Fat sale cta and ord” and “Normal Invoice”; then add the column "IPI" and subtract this value from the total of the column "Total Item NF" - this will be the total value of sales with zero rate
separate the lines whose column “Desc. Fat” with the description “Credit note” and “Devol.nota créd.BR” (if any); then add the column "Total Item NF" - this will be the total amount of credit notes
Example
- After calculating the sales values with zero rate and credit notes, enter them in the corresponding lines in the calculation worksheet.
3.4.2 Step 4 of Task 2 (I do Sales returns and exports drawback)
- From the same billing report, separate the values of sales returns and drawback exports.
return sale = separate by CFOP's 1201, 1202, 2201 and 2202
Drawback = separate by CFOP 7127
- The sales return must be highlighted in the PIS/COFINS calculation in the spreadsheet, as shown below (PIS example):
- The drawback values must be converted to reais, using the column “Tx Camb.”
- The drawback must be extracted from the total value of exports in DACON, for information purposes only.
3.5. I do Rents
3.5.1 Step 5 of Task 1 (I do Account 98112350 - Rent received)
- The rents received are registered with PIS/COFINS, however it is necessary to analyze the account in order to make sure that there are no inconsistencies.
- Extract the account ledger for the month of calculation. Use transaction FS10N.
- Enter the criteria:
G/L Account = 98112350
Company = *select the desired company*
Exercise = *enter current year*
- Click on “Run”.
- Double-click the field in the “Balance” column corresponding to the calculation month.
- The following report will be displayed:
- Export to Excel using the path in the menu:
- Isolate the entries whose registration has already included PIS/COFINS. For this, see posting by posting using transaction FB03 or by double-clicking the postings in the ledger display screen.
- Insert the total amount in the corresponding line in the calculation worksheet (table “Amounts to be appropriated PIS/COFINS).
3.5.2 Step 5 of Task 2 (I do Accounts 98300150 and 98300160 - Paid rents)
- These accounts must be analyzed entry by entry in order to identify and appropriate in the calculation those that are entitled to PIS/COFINS credit.
- Use transaction FS10N to extract the month's entries and export to Excel.
- Analyze each entry and define whether or not it will be appropriate as a credit in the calculation.
Important: Some entries in account 98300160 – Mobile rentals already include PIS/COFINS accounting; in this case, isolate them as they should not be appropriated again.
3.5. I do Accounts 4..
3.5.1 Step 5 of Task 1 (I do Accounts 44700103 / 44700104 - PIS/COFINS Recoverable and 44900203 / 44900204 - PIS/COFINS Payable)
- Generate the monthly ledger for each of the accounts below – transaction FS10N.
FBL3N – ALL MATCHES – “/PIS&COFINS” LAYOUT – DOES NOT CONSIDER ST
44700103 – PIS to be Recovered – all departures in the period
44700104 - COFINS to be Recovered
44900203 - PIS Payable
44900204 - COFINS Payable
POSTING FILE – FS10N
- Export to Excel. Leave a copy in a tab of the calculation sheet.
- Identify in accounts 44700103 and 44700104 if there are entries referring to REINTEGRA. If any, they must be excluded from the calculation.
- Identify additional manual entries (SA) on all accounts to eliminate those that should not be considered.
- It is recommended to highlight all SA releases, as shown in the following example:
- Then the values must be manually entered into the worksheet.
- The value of accounts 44900203 and 44900204 - PIS/COFINS payable must be segregated from the amount referring to the rents received, in order to check if it matches the total income in the spreadsheet, applying the rates of 1.65% and 7, 6% respectively.
3.6. I do Credits related to property, plant and equipment
- The team responsible for fixed assets sends monthly credit recovery reports referring to acquisitions and depreciation.
3.6.1 Step 6 of Task 1 (I do Depreciation)
- From the report sent, make a subtotal by “Class”.
3.6.2 Step 6 of Task 2 (I do Acquisition)
- Check that the PIS/COFINS values in the submitted report are based on consistent bases, that is, perform the inverse calculation of both values and see if they result in the same base, both for PIS and COFINS.
- Then enter the values in the respective lines in the calculation worksheet.
3.7. I do Compensation
3.7.1 Step 7 of Task 1 (I do Compensation of PIS/COFINS withheld at source)
- The amounts of PIS/COFINS withheld at source through the services provided can be deducted from the calculated amount.
- Open the control sheet on the network:
Path: S:\New_GerenciaContabilidadeTreasuraria\LALUR\APURAÇÃO PIS E COFINS\RHPA\PCC RHPA
-Check the amounts related to PIS/COFINS withheld in the month in the “PD Corrected Base” tab and enter them in the calculation worksheet.
3.8. I do Amounts payable..
3.8.1 Step 8 of Task 1 (I do Amounts payable or credit balance)
- After entering the debits and all credits, the balance for the month is calculated.
- If there is a credit balance from previous months, this must also be included in the deductions.
- Next, make the appropriate accounting entries and keep a copy of the calculation sheet signed by the person who performed the calculation and by the supervisor.
- These contributions must be paid via DARF, when applicable, and/or via PER/DCOMP, and may be offset against negative balances of IRPJ and CSLL.
AP CREATION:End of document.