No Ship to on intercompany invoices – solution

This posting is a direct copy from the Oracle website based on note 1048431.6

For years we have been using a work around but Oracle have now provided the following solution to help with the missing ship-to information badly needed to correctly determine the tax.

Reference INCIAR – Ship-To/Shipto Address Does Not Appear On Intercompany AR Invoices (INCIAR) (Doc ID 1048431.6)

GOAL

The “ship to” address is not appearing on intercompany AR invoices.

The “ship to” address for Intercompany AR Invoices is not populated after the AR Autoinvoice process is completed.

This document includes all version of Oracle E-Business Suite 11i and Release 12.

SOLUTION

When this module was originally designed, it was unclear what “ship-to” means on an intercompany invoice.

If it is the physical “ship-to”, i.e. the ship-to address on the customer sales order, then there is no representation of this address/site in the shipping operating unit.

If it is the same as the bill-to site, i.e. the selling operating unit, there may be ramifications with intrastate and the triangulation issue. Since the module is extensible, the customer can easily populate any field in RA_INTERFACE_LINES_ALL for any particular intercompany invoice line, in this case the ship-to address/site and the AR Autoinvoice process will populate the “ship to” address on the invoice.

An Enhancement Request has been logged for this issue. See: Bug 5990855 – NEED “SHIP TO” ADDRESS ON INTERCOMPANY AR INVOICES.

The following additional information for a possible workaround in found in Bug 8776368 – THE “SHIP TO” ADDRESS IS NOT APPEARING ON INTERCOMPANY AR INVOICES

Summary:

For those customers who create tax rules in eTax with ship to information to get the tax for the INTERCOMPANY transactions they need to follow the below process to customize this requirement.

  1. Since this requirement is specific to very few customers and populating the ‘Ship To’ details for the Intercompany is not a feasible solution which is accepted by all customers. Hence, INCIAR(Create Intercompany AR Invoice program) does not populate the AR interface table (ra_interface_lines_all table) with the ship to details. Essentially the below two columns in ra_interface_lines_all table is used by the ‘Auto Invoice Mater Program’ to recognize the ship to details and appropriately pass the data to their base table which is ra_customer_trx_lines_all.
  1. a) RA_INTERFACE_LINES_ALL RAIL.

orig_system_ship_customer_id – Identifies the original ship-to customer

orig_system_ship_address_id – Identifies the original shipping address

  1. b) RA_CUSTOMER_TRX_LINES_ALL RCTL.

SHIP_TO_CUSTOMER_ID – Identifies the original ship-to customer

SHIP_TO_ADDRESS_ID – Identifies the original shipping address.

  1. eTax team will look for the above two columns data in ra_customer_trx_lines_all table appropriately calculates the tax based on the ship to details.

 

Recommendation for customization changes:

  1. Essentially customers who need this feature they need to populate the orig_system_ship_customer_id and orig_system_ship_address_id columns in ra_interface_lines_all table appropriately based on their requirement.

step1) For the populated ra_interface_lines_all table with the interface_line_context set to ‘INTERCOMPANY’ they can join the

interface_line_attribute6 with line_id column in oe_order_lines_all table and get the ship_to_org_id details.

step2) From the below query which is also currently used by Order Management team to populate the two columns in

ra_interface_lines_all table by giving input value as ‘ship_to_org_id’ calculated in above step1.

 

SELECT acct_site.cust_account_id, site.cust_acct_site_id

INTO   ORIG_SYSTEM_SHIP_CUSTOMER_ID

,ORIG_SYSTEM_SHIP_ADDRESS_ID

FROM hz_cust_acct_sites_all acct_site, hz_cust_site_uses_all site

WHERE SITE.SITE_USE_CODE = ‘SHIP_TO’

AND SITE.CUST_ACCT_SITE_ID = ACCT_SITE.CUST_ACCT_SITE_ID

AND SITE.SITE_USE_ID = &ship_to_org_id;

  1. Customer can write a custom concurrent program with the above logic and this program should be run before the Auto Invoice Master Program.
Andrew Bohnet
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Andrew Bohnet

Managing Director and Oracle Fusion Tax / eBTax expert at eBiz Answers Ltd
Andrew Bohnet is the current chair for the Oracle Tax Management SIG. He founded eBiz Answers to offer clients complete tax solutions making the most of the rich functionality of the R12 and Fusion tax modules. Whether it is analysis, design, configuration or support, eBiz Answers provide an unparalleled service when it comes to a complete tax solution. Having worked on one of the first Oracle R12 implementations in Europe, Andrew was exposed to the tax module early on and worked closely with Oracle to fix bugs, enhance functionality and present on numerous occasions on the subject of tax and Oracle. When it comes to presenting on eBTax, you wont find a more experienced consultant outside of Oracle.
Andrew Bohnet
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