Vikas, We are facing one problem with VAT and would like to know if you have solved it with something.
We want to give 5% and 12.5% as VAT on different categories of products. We want to set a selling price as in round figure but we want it to have VAT included. We tried with different ways but end results are either ofbiz changes the selling price or somehow while checking out the cart, the price includes a VAT again. Could you please tell us how can we set 5%(Laptop like products) and 12.5% (Laptop Bag like products) at one place and mention just 2 prices to all products (default price and list price) and still be able to get all VAT calculations. On Mon, May 28, 2012 at 8:34 PM, Vikas Mayur <[email protected]> wrote: > Yes, I need to keep all the related transactions so that income sheet > reflect the correct net income. For all the sales tax (sales taxes could be > at country/state/county/city level) & COGS (for different items) > transaction entry detail records, I just created one detail record for each. > > Regards > Vikas > > On May 28, 2012, at 7:46 PM, Nandani Aggarwal wrote: > > > Nice Approach , Are you also handling tax related transactions so that > > actual or final revenue can be generated or determined which may include > > COGS,Discount,Tax(Sales Tax , CST , VAT etc). > > > > Thanks > > Nandani > > > > On Mon, May 28, 2012 at 5:37 PM, Vikas Mayur <[email protected]> > wrote: > > > >> Pierre, > >> > >> The approach actually worked, moreover I don't need separate accounts > as I > >> can associate the existing accounts of the parent company to other > parties > >> like wholesale and retail etc. As a test, I have placed a sales order > with > >> product GZ-2644 with 3 Qty for a wholesale party and quick ship entire > >> order which resulted in 4 accounting transactions namely Sales Invoice, > >> Sales Shipment, Incoming Payment & Payment Applied. To setup the income > >> sheet for wholesale party, I manually created all the required > transactions > >> (I believe I just needed Sales Invoice & Sales Shipment transactions) > and > >> transaction details. That is it. I think I now need to write some code > so > >> that such transactions could be created automatically. Sorry, I tested > this > >> on my local copy so you may not be able to see it on demo :) > >> > >> Your idea of setting up a separate instance for these external parties > >> seems good but I believe the other approach which I used is easier. Let > me > >> know if you have any thoughts. > >> > >> Regards > >> Vikas > >> > >> On May 28, 2012, at 12:51 PM, Vikas Mayur wrote: > >> > >>> Hi Pierre, > >>> > >>> Thanks for your help and your interest in the topic. I am currently > >> testing business transaction and their related accounting transactions > with > >> the OFBiz demo data along with my custom party data of Wholesale, Retail > >> channels. > >>> > >>> For instance when an invoice is captured for a sales order, you would > >> have various accounting transactions corresponding to this business > >> transaction (Invoice is being captured) like account receivables, COGS, > >> discounts, general sales etc. The transactions with OFBiz demo data are > >> currently posted to correct account but they are registered to > 'Company' - > >> the parent organization. > >>> > >>> After doing some of these tests and how the transactions are posted, I > >> think I would need two things to be able to generate income sheet per > >> distribution channel. > >>> > >>> 1. Create separate revenue accounts for each distribution channels, > they > >> can be setup as subsidiary ledger accounts similar to the existing demo > >> data. For example, the hierarchy of accounts for SALES would look like > this. > >>> > >>> > >> Revenue > >>> > >> | > >>> > >> Sales > >>> > >> | > >>> > >> ------------------------------------------------------------- > >>> | > >> | | > >>> General Sales General Sales > >> Wholesale General Sales Retail > >>> > >>> where 'General Sales' account transaction would be registered to > >> 'Company' - the parent organization. > >>> > >>> 2. Create duplicate accounting transactions for each revenue account > in > >> such a manner that these transactions are registered to Wholesale (If > the > >> sale was made to WholeSalers), Retail (If the sale was made to > Retailers) > >> etc. This would require additional code so that system can lookup the > 'Bill > >> To Customer' and automatically create all the required duplicate > >> transactions. > >>> > >>> Once all the transactions are posted, I should be able to generate a > >> consolidated income sheet (this already works OOTB) for Company and > >> separate income sheet per distribution channel. > >>> > >>> Let me know if you see any issues with this approach. > >>> > >>> Regards > >>> Vikas > >>> > >>> On May 25, 2012, at 7:24 PM, Pierre Smits wrote: > >>> > >>>> Vikas, > >>>> > >>>> If the distribution channels are truly independent organisation > (meaning > >>>> legally) you should set up for each one a different instance of OFBiz, > >>>> whereby the distribution channels buys from the company and sells to > >> their > >>>> customers. Otherwise there might appear a conflict of interest. > >>>> > >>>> If otherwise the distribution channels are like daughter companies or > >>>> subsidiaries (and accounting, et all is done by the company) you could > >>>> (should?) link them in one instance to the company like departments > and > >>>> create separate costcenters for each. Subsequently create for each the > >> set > >>>> of accounts regarding turnover, discount and cogs and connect those to > >> the > >>>> costcenters. > >>>> > >>>> In order to capture for each you could then create a sales channel for > >> each > >>>> (catalog, categories and if nessesary stores) and apply for each > >>>> distribution channel the various price, promotion and shipping rules > in > >>>> their respective sales channel. > >>>> > >>>> Finally, and this is something I haven't tested yet, you should map > the > >>>> earlier defined fico accounts to the categories in each sales channel > in > >>>> ProductCategoryGLAccount in FICO. See example below. > >>>> > >>>> > >> > https://demo-trunk.ofbiz.apache.org:8443/accounting/control/GlAccountAssignment?organizationPartyId=Company > >>>> > >>>> That should do the trick. But like I said, I haven't tested it yet. > >>>> > >>>> One thing I am also not certain about is how sales transactions will > be > >>>> handled by OFBiz when generated by a Sales Backoffice for each when > the > >>>> scenario described above is in place. > >>>> > >>>> Good luck with your endeavours and keep us posted how you will > >> eventually > >>>> get to your optimal solution. > >>>> > >>>> Regards, > >>>> > >>>> Pierre > >>>> > >>>> > >>>> 2012/5/25 Vikas Mayur <[email protected]> > >>>> > >>>>> Hi Pierre, > >>>>> > >>>>> Thanks for your response. Yes, you are absolutely correct. I should > be > >>>>> able to see the income sheet of the company (parent organization) as > >> well > >>>>> as the income sheet per distribution channel. > >>>>> > >>>>> Regards > >>>>> Vikas > >>>>> > >>>>> On May 25, 2012, at 2:36 PM, Pierre Smits wrote: > >>>>> > >>>>>> Hi Vikas, > >>>>>> > >>>>>> Just to get a greater understanding of the challenge you're facing, > I > >> am > >>>>>> understanding that the distribution channels operate as independent > >>>>>> organisations and not as internal departments. And that the > >> distributors, > >>>>>> wholesales and retailers are associated to the distribution > channels. > >> And > >>>>>> that sales is done thru the distribution channels, but that the > >>>>>> transactions of the sale need to be registered with the company > >> combined > >>>>>> with commission calculations per distribution channel. > >>>>>> > >>>>>> Am I correct in assuming that's what you're saying? > >>>>>> > >>>>>> Regards, > >>>>>> > >>>>>> Pierre > >>>>>> > >>>>>> 2012/5/25 Vikas Mayur <[email protected]> > >>>>>> > >>>>>>> Hi, > >>>>>>> > >>>>>>> I am working for a customer and he is looking to setup a chart of > >>>>> accounts > >>>>>>> for his organization. I have mentioned below a brief description of > >> the > >>>>>>> business of this customer, his requirements and a possible solution > >>>>> that I > >>>>>>> think would meet his needs. Please take a look and also through the > >> Q's > >>>>>>> below :), if you know anything then let me know. Thanks in advance > >> !!! > >>>>>>> > >>>>>>> Business Overview: > >>>>>>> A parent organization with several divisions like R&D, Sales & > >>>>> Marketing, > >>>>>>> Operations, Administration etc. and employees. The company (parent > >>>>>>> organization) only sell its products through a number of > distribution > >>>>>>> channels (they also call them as revenue channels & profit centers) > >> like > >>>>>>> wholesale, distributor. retail etc. The company will give them a > >> certain > >>>>>>> commission (as per the agreement) on every sale. The distribution > >>>>> channels > >>>>>>> are not the divisions of the company and does not have any > employees > >>>>>>> either. The company will have a number of warehouses (probably > shared > >>>>> among > >>>>>>> the distribution channels) to fulfill the orders. > >>>>>>> > >>>>>>> Requirement: > >>>>>>> The company need to generate a separate income sheet for each > >>>>> distribution > >>>>>>> channels so that they know the net income by each channel. They > also > >>>>> need a > >>>>>>> consolidated GL totals (generate a consolidated income statement) > >> and a > >>>>>>> balance sheet report for the company. > >>>>>>> > >>>>>>> Solution: > >>>>>>> Distribution Channel Setup > >>>>>>> The distribution channels are organizations (although not internal > to > >>>>> the > >>>>>>> Company) and will be setup as party group in the system. For > example > >>>>> there > >>>>>>> will be party group for wholesale, distributor & retail each. There > >>>>> would > >>>>>>> be a number of wholesalers, distributors and retailers who will > sell > >> the > >>>>>>> products of the company and they will also be setup as party group > >> with > >>>>> a > >>>>>>> party relationship to wholesale, distributor & retail party group > >>>>>>> respectively. > >>>>>>> GL Account & Chart of Accounts Setup > >>>>>>> I looked through the demo GL setup and Chart of Accounts template > >> data > >>>>> in > >>>>>>> OFBiz, was very helpful. I know that an account can be used by one > or > >>>>> more > >>>>>>> internal organization but have doubts about how to associate the > >> account > >>>>>>> and how the transaction would be posted to the correct account. > >> Sorry, > >>>>>>> haven't looked through the code in detail. > >>>>>>> > >>>>>>> There will be number of accounts but lets say we have three > accounts, > >>>>> 3000 > >>>>>>> - Sales, 3010 - Discount on Sale, 3020 - COGS. The net income will > be > >>>>>>> [Total of Sales - (Total Discount on Sale + Total COGS)]. > >>>>>>> > >>>>>>> Q1. Do I need to associate the above accounts to the parent company > >> OR > >>>>> to > >>>>>>> each distribution channel OR both? Default mappings? > >>>>>>> Q2. Do I need separate accounts for the parent company and each > >>>>>>> distribution channels? Lets say the 4 different Sales account for > the > >>>>>>> parent and three distribution channels? Don't think so. > >>>>>>> Q3. Any other thing I should be concerned about, like the shared > >>>>> warehouse > >>>>>>> by all the distribution channels? > >>>>>>> > >>>>>>> Regards > >>>>>>> Vikas > >>>>>>> > >>>>>>> > >>>>>>> > >>>>>>> > >>>>> > >>>>> > >>> > >> > >> > > -- > Thanks, > Deepak Agarwal, > > >
