Accounting (Malaysia GST) Hands-on Training Manual

Transcription

1 1 Accounting (Malaysia GST) Hands-on Training Manual 2 nd Edition Apr 2015 Peter Tan

2 2 Contents 1. Installation 4 2. Activate GST Malaysia 5 The use of GST Setting From Other Account Book 7 3. Update Company Profile 8 4. Tax Code Maintenance Configure Malaysia GST Setting Default Tax Code 13 (a) Setting Default Tax Code in general 13 (b) Setting Default Tax Code by Stock Item 14 Appendix: How to use Easy Item for Stock item setting 15 (c) Setting Default Tax Code by Debtors/Creditors 17 (d) Setting Default Tax Code by GL Accounts How does Default Tax Code work Examine Default G/L Account at GST Processor Update Chart of Account Insert new GL accounts Assign MSIC Code Assign default Tax Code Transaction Purchase Purchased from GST-Registered Supplier Cash Purchase from GST-Registered Supplier Purchased from Non GST-Registered Supplier Use of GST Adjustment and Taxable Amount columns Purchase Return (Transferred from Invoice) AP Invoice Entry AP Payment Transaction Sales Local Supply Issue Full Tax Invoice Cash Sale Simplified Tax Invoice Full Tax Invoice Export Sales Credit Note AR Invoice Entry AR Payment Transaction G/L Cash Payment with GST Cash Payment without GST Cash Payment Blocked input tax Journal Entry GST Processor Run GST Processor using wizard GST Generate GST Return File Generate GAF Other Reports Saving GST Processor Commit GST Processor Payment of GST due / Payment of Input Tax Credit 49

3 3 10. Bad Debt Relief Claiming AR Bad Debt Relief Recovery of Bad Debt Relief Gift Rule Gift more than RM Gift more than RM500 accumulative Imported Goods Purchase Invoice use of Tax Code: IM-GDS Payment Voucher use of Imported Goods Document Imported Services Purchase Invoice use of Tax Code: IM-SVC AP Payment knock off PI and auto-generate Journal Entry GST on DO (21-Day Rule) Create DO and full document transfer to invoice Run GST Processor Run GST Processor in the subsequent taxable period GST on Payment (Deposit) Create AR Payment unapplied GST Processor for current period Create new AR Invoice Entry and knock off using AR Payment GST Processor Other Topics GST Date vs Document Date Reset GST Processor Access Rights Maintenance for GST 83

4 4 1. Installation a. Before installation or upgrades, always backup your existing database. b. Install AutoCount Accounting version 1.8 (32/64bit) or AutoCount Express 1.8 (32/64bit). c. A separate new program folder (Accounting 1.8) and short cut icon will be created. Your existing folder and shortcut of version 1.3/15/1.6 will remain untouched. d. For existing user who upgrades from earlier version (1.3, 1.5 or 1.6), you need to request for new license code that can be worked on version 1.8. For education purpose, license code is not needed. e. For learning purpose, create a new account book with company name: AutoCount GST Exercise. f. AutoCount Backup Server: Upon saving the newly created account book, the following screen Add to Scheduled Backup will be prompted, if you do not want to add this account book into the list of scheduled backup, click Cancel. In order for the scheduled backup to work, you must install AutoCount Backup Server. By default, during installation, if you have chosen Standalone Installation OR Network Installation > Server Installation, AutoCount Backup Server will be automatically installed. Should it not been installed, just look for the installer (AutoCount Backup Server Setup.exe) on the DVD and double click to install it. Task Name: Assign a name for this scheduled backup task. A Task ID will be auto generated. Server Backup Directory: The path of backup destination. E.g. D:\AutoCount Backup\ Backup File Prefix: Set the prefix for the name of backup file to be generated. E.g. ACSB Apply password to your Backup File: this is to set password for the backup file to be generated. This password will be needed when restoring the backup file. Backup Start Date/Time: set the date/time for the very first backup file to commence Repeating: set if you want to repeat the backup task. Repeat Type: choose how you would like the backup task to be repeated: Every Hour, Every Day, Every Week Day or Every Month. Notify on failed/success: check the checkbox so that you will be notified of the failure/success of the scheduled backup task via the address provided by you. key in the address if you have chosen to be notified on failed/success. Backup Service Port: set the backup server service port. Usually this is auto-set. Backup Service Host: this is the host PC where backup server is installed. Save: to confirm adding the task of scheduled backup for this account book. Cancel: to choose not to add the task of scheduled backup for this account book. The service will then keep prompting a reminder message such as: Warning: Database xxx does not exist in Scheduled Backup until you go ahead and set the task. g. Login to the newly created account book: AutoCount GST Exercise

5 5 2. Activate GST Malaysia Tools >Options > General > Goods & Services Tax 2. Check Enable Goods & Services Tax (Tax). GST Rate is filled with General > Goods and Services Tax Check this if most of your sales are tax inclusive 3. Set GST start month and year (it should be or later) To copy GST setting from another account book 4. Set taxable period (usually 3 or 1 month) Enable Goods & Services Tax: check this checkbox to activate GST functions. A GST menu will be visible on the main menu bar. GST Rate: By default the GST rate is set to 6.00 Rename Tax to: default name is GST. In some countries, it may be named VAT. Must specify Tax Code: this checkbox if checked will make it compulsory to assign a tax code for each of the transactions. No null value is allowed. Tax Reporting Currency Code: This feature is used in Singapore version. Enable Tax Document Number Management: This feature is used in other countries where the government controls the tax document numbers. Allow Different Tax Currency Rate: This is used in Singapore version. Use Inclusive GST for all Sales documents: Check this if most of your sales pricing are inclusive of GST. You may, however, change the Inclusive to become Exclusive (or vice versa) during transaction entry. GST Setting From Other Account Book: this is used to import settings from another account book. Items can be imported are: customized reports, GL accounts (including account type, journal type and currency, MSIC code ), tax codes, stock item s default tax code, debtor/creditor default tax code. GST Start Date: the earliest start date (month) will be the effective date of GST in Malaysia i.e In actual case, your start date will depend on your registration date. Just follow the instructions as shown on your registration approval letter. GST Taxable Period (months): In most cases, taxable period will be 3 (months). Some companies (e.g. whose annual turnover is > 5 million) may have monthly taxable period. However the taxable period will be assigned by Royal Malaysian Customs Department (RMCD) upon your registration as GST company. Just follow the instructions as shown on your registration approval letter. Apply GST Logic Option: two options to control when to apply the tax logic. Apply Tax Logic only after GST Start Date: means GST function will only work on or after the GST Start Date. Apply Tax Logic for all date: means apply GST function as soon as GST is enabled. If you are upgrading from version 1.5 to version 1.8 and had not enabled GST before this, the system will automatically choose the first option. If you have been using GST function for Sales tax, the system will automatically select the second option when upgrading.

6 6 Must Process A/R Bad Debt Relief After Six Month: if this option is checked, you must claim A/R Bad Debt Relief (for documents that fulfilled conditions) during GST Processor wizard. Uncheck this option will allow you to decide whether or not to claim A/R Bad Debt Relief (for documents that fulfilled conditions) during GST Processor wizard. Must Process GST on D/O: if this option is checked, you must process GST on D/O (where invoice was not issued within 21 days) during GST Processor wizard. Uncheck this option will allow you to decide whether or not to process GST on D/O (where invoice was not issued within 21 days) during GST Processor wizard. Must Process GST on Payment: if this option is checked, you must process GST on Payment (deposit/payment received before basic tax point) during GST Processor wizard. Uncheck this option will allow you to decide whether or not to process GST on Payment (deposit/payment received before basic tax point) during GST Processor wizard. However, for Security Deposit that no need to account for output tax, you may check the checkbox of 'Is Security Deposit?' in A/R Deposit entry window, so that it will be excluded from the process of GST on Payment during GST Processor wizard.

7 7 How to implement GST setting for existing AutoCount Accounting users? The use of GST Setting From Other Account Book Note: It s advisable to make early preparation, understand the setting and practice with GST features before effective date. You may make the GST setting in advance and have a try run. a) Create a backup file from existing account book (e.g. AC Sdn Bhd) b) Restore the backup file to generate a new account book (name it AC2 Sdn Bhd). Perform GST setting in this account book. Including update/insert GL Accounts, assign MSIC Codes, GST Code Maintenance, set default Tax Code by Debtors/Creditors/Stock Items, Customize reports you may test run with some transactions to feel the whole cycle of GST processes. b) When getting close to the effective date, logon to your real account book (AC Sdn Bhd), go to Tools > Options > General > Goods & Services Tax, click on GST Setting From Other Account Book. 1. define the Server name and Database to be copied from. 2. check if you d like to include any customized reports. 3. select contents to be copied.. 4. Click to start copy. Define the Server Name, select the Database to copy from (in this case it means AC2 Sdn Bhd), select the options to be copied. Click Copy. c) Now your account book is equipped with GST settings, you may start perform entries/transaction records involved GST.

8 8 3. Update Company Profile a. General Maintenance > Company Profile Key in the Tax/GST Registration No Key in GST ID and Self-Billed Approval No (if any) b. Click on the tab of Logo & Report Header Click on Set Default Report Header 1. Click this tab 2. Click to set the default report header 3. You may rearrange the layout and change the font type/size/color.

9 9 4. Tax Code Maintenance 4.1 Configure Malaysia GST Go to GST > Tax Code Maintenance > Configure Malaysia GST Click this Click next Click next

10 10 Click next Click next Click Finish

11 11 The system has proposed few new GL accounts and if you agree, will generate them and tie to respective tax codes. Check to select. Uncheck to ignore. You may change the proposed account no., account description and account type. Click Save Tax code maintenance is completed. To modify the selection, click on Configure Malaysia GST.

12 12 Tax codes for Input Tax You may check/uncheck any of the checkboxes to select/dis-select a tax code. If you enable a tax code that associates with Tax Rate of 6% you must assign its Tax Acc No. for posting purpose. Tax codes for Output Tax Click Save

13 Setting Default Tax Code 4.2 (a) Setting Default Tax Code in general Click to select a tax code (for each category), click on Edit and set as Default. 3. Check Default 2. Click on Edit 4. OK 1. Highlight a tax code of input tax 3. Check Default 2. Click on Edit 4. OK 1. Highlight a tax code of output tax

14 (b) Setting Default Tax Code by Stock Item You may set default tax code for any of the Stock Items, especially if the tax code for such item is different from default tax code in general. Go to Stock > Stock Item Maintenance, select the stock item, click on Edit, set the default Supply Tax Code and Purchase Tax Code:

15 15 Appendix How to use Easy Item for stock item setting (setting of default tax code by items) Go to Stock > Stock Item Maintenance 1. Click on Find Stock Item 2a. key in keyword / define search criteria for searching purpose. 2b. Click on Search 3. Check All 4. Easy Item

16 16 5. click to select all 6. Range Set 7. check the checkboxes and define the default tax code for all the selected stock items. 8. Save

17 (c) Setting Default Tax Code by Debtors/Creditors You may set default tax code for any of the debtors/creditors. For example, default tax code for an overseas customer can be set to ZRE which means Output Tax 0% - Zero Rated Supplies (Exports); default tax code for a supplier who has not registered as GST Taxable person should be NR (Input Tax 0% - Non GST supplier) Setting Default Tax Code for Debtor Go to A/R > Debtor Maintenance Select the debtor, click on Edit, click on Others tab, set the default GST Tax Code: Assign default tax code

18 18 Setting Default Tax Code for Creditor Go to A/P > Creditor Maintenance Select the creditor, click on Edit, click on Others tab, set the default GST Tax Code: Assign default tax code Check this if the supplier always bill you with tax inclusive. 4.2 (d) Setting Default Tax Code by GL Accounts You may set default tax code for any of the GL accounts at G/L > Account Maintenance. Assign default tax code

19 How does Default Tax Code work For sales and purchase documents, the priority will be given in the following order: Debtor/Creditor Stock Item Tax Code Maintenance. Please be aware that even though default tax code is set, you are able to select other tax code during transaction/entry. For GL, AR and AP entries, the priority will be given in the following order: Debtor/Creditor Account Maintenance. Please be aware that even though default tax code is set, you are able to select other tax code during transaction/entry. For example: Scenario 1: If you are making wholly standard rated supply, you may set the default tax code as follow: At Tax Code Maintenance: default input tax code (TX_S), default output tax code (SR_S) At Creditors Maintenance: set default tax code (NR) for those suppliers who are not GST-registered; (IM-GDS) for overseas suppliers of standard rated goods; (IM-SVC) for overseas suppliers of standard rated services. At Debtors Maintenance: set default tax code (ZRE) for those overseas customers. At Account Maintenance: set default input tax code (BL) for expenses accounts where input tax is blocked. Scenario 2: If you are making both standard-rated supply (majority) and zero-rated supply, you may set the default tax code as follow: At Tax Code Maintenance: default input tax code (TX_S), default output tax code (SR_S) At Stock Item Maintenance: for zero-rated items, default input tax code (ZP) and default output tax code (ZRL); you may use Easy Item to easily set the default tax codes for large volume of stock items. Alternatively you may also update the related fields using Export to Excel and Import From Excel. At Creditors Maintenance: set default tax code (NR) for those suppliers who are not GST-registered; (IM-GDS) for overseas suppliers of standard rated goods; (IM-SVC) for overseas suppliers of standard rated services. At Debtors Maintenance: set default tax code (ZRE) for those overseas customers. At Account Maintenance: set default input tax code (BL) for expenses accounts where input tax is blocked.

20 Examine Default G/L Account at GST Processor Go to GST > GST Processor, Options > Settings Check if the respective GL accounts are assigned correctly. 2. Default GL account for posting purpose 1. Click on Options > Settings 3. Summary style (recommended) 4. OK GST Doc.No.. is for you to assign a numbering format of JV maintained at General Maintenance. Leaving it blank means use the default format. For CIMB online payment of GST due.

21 21 5. Update Chart of account (G/L > Account Maintenance) 5.1. Insert new GL accounts (whichever applicable): A/C Type A/C No A/C Description FIXED ASSETS GST-2010 PASSENGER CAR FIXED ASSETS GST-2015 ACCUM.DEPRN.PASSENGER CAR COST OF GOODS SOLD CUSTOMS DUTY EXPENSES GST-9040 GIFTS EXPENSES * GST-9050 ROUNDING ADJUSTMENT EXPENSES GST-9060 MAINTENANCE OF PASSENGER CAR * Related setting at: Tools > Options > Invoicing > Cash Sale, check the checkbox of Enable 5 cents rounding adjustment in Cash Sale Tools > Options > G/L > Default Accounts, assign Rounding Adjustment Account = GST Assign MSIC Code (whichever applicable): A/C Type A/C No A/C Description MSIC Code SALES SALES SALES CASH SALES SALES ADJ RETURN INWARDS MSIC Code: MSIC Code is your major industry code (5 digit) according to Malaysia Standard Industrial Classification which is downloadedabe from The total output tax of each MSIC code will appear in Form GST-03 (item 19). Should the MSIC Code is not defined, the output tax amount will be shown in the box of Other. Assign MSIC Code to G/L accounts that affect the value of Output Tax. Example of accounts that need to assign MSIC Code are: Sales, Cash Sale, Return Inwards, Discount Allowed, Rental Received.. Should there are more than one MSIC code, you need to have multiple accounts for each type of Sales, Case Sales, other incomes and assign each of them with related MSIC code respectively. Define MSIC code

22 Assign default Tax Code (whichever applicable): Examples of default tax code setting of GL accounts are: A/C Type A/C No A/C Description Input Tax Code Output Tax Code F. Assets Furniture & Fitting TX-S F. Assets GST-2010 Passenger Car BL Sales Sales SR-S Sales Cash Sales SR-S Expenses Advertisement TX-S Expenses Water & Electricity TX-S Expenses GST-9040 Gift TX-S Expenses GST-9060 Maintenance of Passenger car BL Expenses Medical Fee (GST not claimable) BL Expenses Entertainment (GST not claimable) BL Examples:

23 23 6. Transaction Purchase 6.1. Purchased from GST-Registered Supplier The following Full Tax Invoice was received from 400-S001 Supplier Standard Supplier Standard To: <You> <Address><ID> Inv.No Date: 02/mm/yyyy TAX INVOICE Item TaxCode Description Qty UOM Unit Price Total SR Goods Standard 5 Unit ZRL Goods Zero 5 Unit SR Services 1 Unit Subtotal (Ex): GST: Total: Effects on Ledger (double entry)

24 Cash Purchase from GST-Registered Supplier The following Simplified Tax Invoice was received from 400-S001 Supplier Standard Supplier Standard <Address><ID> Inv.No. CS-22 Date: 03/mm/yyyy x SR x ZRL Total sales inclusive GST@ 6% GST Cash Payment Change 0.00 Effects on Ledger (double entry):

25 Purchased from Non GST-Registered Supplier The following Invoice was received from 400-S002 Supplier Non GST. Supplier Non GST To: <You> <Address> Inv.No Date: 04/mm/yyyy INVOICE Item Description Qty UOM Unit Price Total Goods Standard 5 Unit Goods Zero 5 Unit Services 1 Unit Total: Effects on Ledger (double entry)

26 Use of GST Adjustment and Taxable Amount columns Introduce the use of additional columns: GST Adjustment and Taxable Amount. Drag out the column of GST Adjustment from Column Chooser. The adjustment value can be +ve or ve with maximum 2 decimal places. Taxable Amount is the base of GST calculation. By default it is same as Total value, you may change/key in if necessary.

27 Purchase Return (Transferred from Invoice) The following Credit Note was received from 400-S001 Supplier Standard Supplier Standard To: <You> <Address><ID> CN.No. CN-11 Date: 05/mm/yyyy Credit Note Inv.No Item TaxCode Description Qty UOM Unit Price Total SR Goods Standard 1 Unit Reason: Goods Returned Subtotal (Ex): GST: Total: Effects on Ledger (double entry)

28 AP Invoice Entry The following Full Tax Invoice was received from 400-S001 Supplier Standard Supplier Standard To: <You> <Address><ID> Inv.No Date: 07/mm/yyyy TAX INVOICE Item TaxCode Description Qty UOM Unit Price Total SR Goods Standard 2 Unit ZRL Goods Zero 2 Unit Subtotal (Ex): GST: Total: Effects on Ledger (double entry)

29 AP Payment 10/mm/yyyy make a cash payment RM to 400-S001 Supplier Standard, knock off invoice no: Effects on Ledger (double entry)

30 30 7. Transaction Sales 7.1 Local Supply Issue Full Tax Invoice to 300-S001 Standard Customer Mixture of standard rated item and zero-rated item. Effects on Ledger (double entry)

31 Cash Sale Simplified Tax Invoice Issue tax invoice with tax inclusive. Effects on Ledger (double entry)

32 Full Tax Invoice - Export Issue invoice to an overseas customer whose default tax code is ZRE. Effects on Ledger (double entry)

33 Sales Credit Note transferred from Sales Invoice Create a new credit note to record a return of spoilt item from Standard Customer. Effects on Ledger (double entry)

34 AR Invoice Entry Record the invoice entry without generating sales invoice. Effects on Ledger (double entry)

35 AR Payment Effects on Ledger (double entry)

36 36 8. Transaction G/L 8.1 Cash Payment with GST Purchases filing system from GST-registered stationery shop. Effects on Ledger (double entry)

37 Cash Payment without GST Pay office rental, the property owner is not GST-registered. Effects on Ledger (double entry)

38 Cash Payment Blocked input tax Maintenance of passenger car RM RM GST, the input tax is blocked. Effects on Ledger (double entry)

39 Journal Entry Cheque book charges Record the charges of cheque book by the bank RM20 + RM 1.2 GST Effects on Ledger (double entry)

40 40 9. GST Processor GST Processor is used to gather all info related to GST and produce reports such as GST-03, GST Return File, GAF and other summary reports. 9.1 Run GST Processor using wizard Go to GST > GST Processor 1. Click New 2. Click Next

41 41 3. Click Next 4. Click Next 5. Click Next

42 42 6. Click Next 7. Click Next 9. Click Yes 8. Click Next

43 43 This is tax summary 9.2 GST-03 You may view the GST-03 (GST Return Form), save a softcopy as a record. 1. GST Click on this button to export to other format such as PDF, XLS, XLSX

44 Generate GST Return File After the content of the taxable period is finalized, for online submission of GST return, you need to generate GST Return File and save a copy which will be attached during online submission at Taxpayer Access Point (TAP). 1. Click on Generate GST Return File 2. Define a destination to save the file to be generated then Save. 3. Click on Yes if you want to view the file 4. This is the content and format of GST Return File

45 Generate GAF GST Audit File (GAF) must be made available upon request from RMCD. You may generate GAF and keep a softcopy file after you have finalized the content of the taxable period. 1. Click on Generate GAF 2. Define a destination to save the file to be generated then Save. 3. Click on Yes if you want to view the file 4. This is the content and format of GAF

46 Other Reports Other tax summary reports provide additional information of related transactions. 1. Preview 2. Tax Summary All in one

47 Saving GST Processor Usually the processor of a particular taxable period will not be Committed before finalization. An uncommitted processor can be deleted so that corrections of errors can be made and the processor can be generated again. When the contents are checked and finalized by the user, GST Return file will be generated and submitted online thru TAP site. GAF file will be generated as well for filing purpose. Then the processor will be Committed. Click on Close to save the processor without Committing.. The status of the processor is Not Committed You may exit the processor and come back anytime to Commit, Delete, View. the processed period..

48 Commit GST Processor After submitted GST Return (wither using GST-03 or GST Return File), you have to Commit the processed period. Upon Committing the processor, a journal entry will be generated to reconcile the balances of input tax account and output tax account, and transfer the difference to GST Control Account. Once the status of processor for a particular taxable period is Committed, the said period will be locked for unauthorized modification. And you may proceed to run processor for the subsequent taxable period. 1. Click Commit 2. Key in Admin password and click OK 3. Click Yes 4. The status changed to Committed

49 Payment of GST due / Refund of Input Tax Credit The following journal entry was generated when commit the processed period. The journal entry has credited the tax amount payable (RM211.73) to GST Control Account. Create a Cash Payment to record the payment of tax to RMCD.

50 Bad Debt Relief 10.1 Claiming AR Bad Debt Relief Go to GST > Manage AR Bad Debt 1a. In normal situation, you should claim bad debt relief on outstanding invoices that > 6 month 1b. Define the search criteria, then click on Search 2. Check the document to claim bad debt relief. 3. Click on Create Bad Debt Relief 4. For the journal entry to be generated, define the Date, then click OK. 5. click on Search to refresh 6. The status is updated 7. The button is changed. You may click to Undo. 8. Click to view the generated Journal Entry.

51 51 9. This is the generated Journal Entry. Effects on Ledger (double entry) You may notice that documents can be claimed bad debt relief will also be auto-detected when running GST Processor wizard. However should you have done it at Manage AR Bad Debt, it will be reflected as well.

52 Recovery of Bad Debt Relief If the debtor subsequently pay the outstanding amount, just create a AR Payment and knock off accordingly. A journal entry will be generated to record the recovery of Bad Debt Relief. Create AR Payment 1. Knock off against the invoice which bad debt relief was claimed. 2. Save 3. OK to generate the journal entry

53 53 4. Journal entry generated. Effects on Ledger (double entry)

54 Gift Rule 11.1 Gift more than RM 500 Example: 05 m+1, yyyy - Purchased a mobile phone from AAA Supplies RM RM240 GST as a gift for Standard Customer. Record the purchase using Cash Payment. Effects on Ledger (double entry)

55 55 Record the gift using GST > Gift Rule 1. New 2. Define/Type Name of recipient 3. Define date 4. Define gift and amount 8. Yes to generate Journal entry. 5. Total accumulated gift amount will be displayed 6. Previous gift records will be shown here. 7. Save 9. Double click to view the journal entry

56 This is journal entry for deemed supply Effects on Ledger (double entry)

57 Gift more than RM 500 accumulative Example: 06 m+1, yyyy Give a hamper worth RM 300 to Mr. Peter 09 m+1, yyyy Give another hamper worth RM 400 to Mr. Peter Record the gift using GST > Gift Rule 1. New 2. Define/Type Name of recipient 3. Define date 4. Define gift and amount 5. Total accumulated gift amount will be displayed 6. Previous gift records will be shown here. 7. Save

58 58 8. New 9. Define/Type Name of recipient 10. Define date 11. Define gift and amount 12. Total accumulated gift amount will be displayed 13. Previous gift records will be shown here. 14. Save 15. Yes to generate Journal entry.

59 Double click to view the journal entry Effects on Ledger (double entry)

60 Imported Goods 12.1 Purchase Invoice use of Tax Code: IM-GDS Create Purchase Invoice for goods imported from overseas. Create Cash Payment to record customs duty and GST paid to RMCD when goods are cleared/retrieved from customs. Example: 10 m+1, yyyy: Invoice (No. 1234) received from 400-S003 Supplier Overseas Goods, to purchase (import) 10 units of item at RM600 each. 15 m+1, yyyy: Charges by RMCD: Customs duty (10% x 6000) = RM 600 GST (6% x 6000) = RM 360 and (6% x 600) = RM Assign tax code: IM-GDS without GST Rate. Effects on Ledger (double entry)

61 Payment Voucher use of Imported Goods Document 1. Define Pay To, Description, Date, and Payment Method. 2. Click on Imported Goods Document. 8. The PV details is filled. 3. Search 4. Check to select the related Purchase Invoice. 5. Define the % of duty or just key in the Custom charges. 6. Assign G/L account and Tax Code. 7. OK.

62 62 Effects on Ledger (double entry)

63 Imported Services 13.1 Purchase Invoice use of Tax Code: IM-SVC Upon payment of the supply, the recipient of imported services needs to account for GST on reverse charge mechanism, just as if he is making the supply to himself. If input tax credit is allowed, he may claim input tax at the same time. Example: 11 m+1, yyyy: Invoice (No. 2222) received from 400-S004 Supplier Overseas Services, to purchase (import) 1 unit of item at RM m+1, yyyy: Full payment made to 400-S004 via bank transfer. 1. Assign tax code: IM-SVC without GST Rate. Effects on Ledger (double entry)

64 AP Payment knock off PI and auto-generate Journal Entry 1. Define Creditor, Description, Date, Payment Method, and Payment amount 2. Knock off the invoice with tax code: IM-SVC 3. Save Check this if input tax credit is not allowed. 4. OK to generate Journal Entry for GST.

65 65 5. Journal Entry generated. Effects on Ledger (double entry)

66 GST on D/O (21-Day Rule) During GST Processor, the system will detect all Delivery Orders that are still outstanding at the end of the taxable period, and: - have not been transferred to Invoice, or - have been transferred to Invoice but not within 21 days. You will be required to generate journal entry on the DO date to account for output tax. In the subsequent taxable period or later taxable period, on the date of invoice where such DO are transferred to, a reversed journal entry will be generated to offset the total output tax posted from the invoice. Example: 20 m+1, yyyy: Create a DO to 300-S001, 5 units of item RM 1000, plus 6% GST. 21 m+1, yyyy: Create a DO to 300-S001, 2 units of item RM 1000, plus 6% GST. 05 m+2, yyyy: Full document transfer from DO (20 Jan) to Invoice. (within 21 days) 25 m+2, yyyy: Full document transfer from DO (21 Jan) to Invoice. (more than 21 days) 14.1 Create DO and full document transfer to Invoice. D/O 1

67 67 D/O 2 Invoice transferred from D/O 1

68 68 Invoice transferred from D/O Run GST Processor for taxable period of m+1, yyyy (run at the end of m+2, yyyy) New.. then Next, Next, Next, Next

69 69 One DO was detected, journal entry will be generated upon completion of Processor wizard. Click Next, Next 2. Yes 3. Yes 1. Finish

70 70 This is the generated Journal Entry Posting summary

71 71 1. Commit 3. OK 2. Admin password 4. Yes 5. You may view the Journal Entry generated upon Commit 6. or Close

72 Run GST Processor in the subsequent taxable period To see how the system generate a reversed entry for output tax that was accounted for in pervious taxable period. GO to GST > GST Processor, New, Next, Next, Next, Next 1. Reverse Transferred DO 2. Next, Next 4. Yes 5. Yes 3. Finish

73 73 6. Journal entry generated Effects on Ledger (double entry) Proceed to Commit the processed taxabel period (m+2, yyyy).

74 GST on Payment (Deposit) During GST Processor, the system will detect any unapplied AR Payment or AR Deposit at the end of the taxable period, and allows you to generate journal entry on the date of AR Payment or AR Deposit to account for output tax of such payment in advance. When the said AR Payment or AR Deposit is knocked off against AR Invoice in the subsequent taxable period or later taxable period, a reversed journal entry will be generated to offset the total output tax posted from the invoice. Example: 22 m+3, yyyy: Create a AR Payment from 300-S001, Cash RM 1000, do not knock off any invoice. 03 m+4, yyyy: Create a new AR Invoice Entry for 300-S001, total RM GST. Knock off the AR Payment against this invoice Create AR Payment unapplied Do not knock off

75 GST Processor for current period GO to GST > GST Processor, New, Next, Next, Next, Next, Next One advanced payment is detected. 1. Next 3. Yes 2. Finish

76 76 Proceed to Commit the processed taxable period (m+3, yyyy).

77 Create new AR Invoice Entry and Knock off in the taxable period of m+4, yyyy using AR Payment unapplied amount in m+3, yyyy. Create new AR Invoice on 3 m+4, yyyy. In order to Edit AR Payment, which was locked for taxable period of m+3, yyyy and before, you need to set Exception of Period Lock. Go to Tools > Manage Fiscal Yea:r 1. Click Manage Period Lock

78 78 3. Manage Exceptions 2. click on the related month 4. click to select Cash Book Entry 6. Apply 5. check Admins 7. repeat step 4-6 for AR Payment 8. Close, OK, Close.

79 79 Go to AR Payment, Edit the AR Payment dated 22 m+3, yyyy. and knock off against the AR Invoice on 3 m+4, yyyy.

80 GST Processor in the taxable period of m+4. yyyy GO to GST > GST Processor, New, Next, Next, Next, Next, Next. 1. Reverse Applied Payment 2. one entry detected 3. Next 5. Yes 4. Finish

81 81

82 Other Topics 16.1 GST Date vs Document Date This feature is used to insert transaction after tax submission. Example: Monthly taxable period: Apr Tax return submitted on 25 May On 30 May 2015, received a supplier invoice dated 28 Apr (1) Before all, please make sure that you have already assigned the following Tax Accounts in GST Settings (accessible via GST Processor or can be done automatically by using the proposed GST accounts via the Tax Code Maintenance Wizard.): - Deferred Input Tax Account - Deferred Output Tax Account (2) Go back to month of April (with exception setting, of course) and insert a Purchase Invoice or AP Invoice Entry as per document date (28 Apr 2015), at the same time assign different GST date (31 May) so that GST amount will be included in the taxable period of May (3) On 28 Apr (Document date), the tax amount will be posted to a Deferred Input Tax Account. (4) On 31 May (GST Date), the system will automatically transfer the tax amount form the Deferred Input Tax Account to Input Tax Account. (5) GAF will be affected as well. GST Date is available in the following documents: (Edit > Set GST Date) - Sales: Invoice, Credit Note, Debit Note and Cash Sales - Purchase: Purchase Invoice, Purchase Return and Cash Purchase - AR and AP documents - Cash Book and Journal Entry 16.2 Reset GST Processor (For GST Testing only) When a processed taxable period is Committed, the period will be locked. If you want to undo the Processor, you may reset the GST Processor. Just login to AutoCount Accounting Management Studio, then go to: - Tools > Reset GST Processor (to erase all records in GST Processor), or - Tools > Reset Latest GST Processor (to erase the last record of GST Processor). ADMIN user password is needed to perform reset, and a confirmation message will be prompted. After a successful reset, the period locks associated with the record will also be released and the user may proceed to edit/modify transaction and run GST Processor again. WARNING! Reset GST Processor will not remove or erase your data in the system, it just erase the history of Processor. Please be aware that you are not supposed to edit your data after submitted the tax return (that s why the period is locked automatically after Committed). Even though you may do so by using Manage Exception or Reset GST Processor, you must understand the consequences of modifying entries that will affect GST values and reports.

83 Access Rights Maintenance for GST Go to General Maintenance > User Maintenance Access rights control on GST related features. ~ End ~