Archive for May, 2013

Oracle R12 eBTax – UK Reverse Charge VAT


How does Oracle EBS Financials support UK Reverse Charge VAT on goods such as Computer Chips and mobile phones in UK?

Below is the Oracle solution for accomodating the requirement to charge a 0% reverse charge VAT amount for the sale of certain microchips sold within the UK. The issue that I currently see is that there is no where to be able to factor in the ability to only charge this tax if a certain threshold of say £5000 is met. I will be investigating this with Oracle and post any updates here. 

On June 1, 2007, the new Reverse Charge VAT rule became effective in the United Kingdom. The Reverse Charge VAT involves inverting the tax liable party from the ‘Seller of Goods’ to the ‘Buyer of Goods’ under certain conditions for domestic transactions within the EU countries. 

Currently, this applies only to the sale and purchase of mobile phones and computer chips.

Oracle Financials now supports this VAT regulation by identifying reverse charge VAT transactions and ensuring that appropriate tax rules are applied. A Reversed Charge Sales report is available to list effected invoices, which supports the reporting requirements for supplies of specified goods or services. A standard message is printed on all reverse charge sales invoices

This feature was released in EBS Release 12.1.1 and it has also been back-ported to 12.0 via Oracle Financials Release Update Pack 5 and back ported to Release 11.5.10 (Patch 7395695).

See the following links for more information:-

Oracle UK OUG – “How to optimise the eBTax engine”

The following is a link to the recent presentation i gave at the UK OUG

http://www.ebizanswers.net/ebtax-downloads/oracle-ukoug-ebtax-presentation-ebiz-answers-15may2013.pdf

how to optimise the eBTax engine

I will be doing a presentation at the UK OUG this wednesday in manchester on ‘How to optimise the ebtax engine’

http://www.ukoug.org/events/ukoug-oracle-financials-sig-meeting-may/

Slovenia 2% VAT rise July 2013

Slovenia 2% VAT rise July 2013

9 May 2013
The Slovenian government has agreed a new austerity package, which includes a 2% VAT rate rise on 1 July 2013.
The package will be presented to the European Commission tomorrow, 10 May.  Slovenia is looking to assure other member states of the European Union that it can remain solvent, and will not need a Cyprus-like bail out.
The current Slovenian standard VAT rate is 20%, and was set in 2002.  There may also be an increase in the reduced VAT rate, currently 10%.
This rise follows recent VAT increase announcements in Cyprus and Luxembourg as smaller EU states facing worried financial markets

for the full article, follow this link
http://www.tmf-vat.com/tmf-in-the-media/slovenia-2-vat-rise-july-2013.html?utm_medium=email&utm_source=TMF+Group&utm_campaign=2482126_100513+Slovenia+VAT+increase&utm_content=SloveniaVATrise&dm_i=DEV,1H77Y,7QSZAY,50TM3,1