Tci AP User Manual

TCIL AP End-user manual

ORACLE APPLICATIONS 12

User Guide for End User

Accounts Payable

For

Transport Corporation of India

Version No.: 1.0

Prepared by: PricewaterhouseCoopers (P) Ltd.

Private and Confidential


LIST OF CONTENTS

1 Business Process: Payable Invoices_________________________________4

1.1. Invoice Entry____________________________________________________5

1.2. Invoice Validation_______________________________________________11

1.3. Viewing Invoice Accounting______________________________________14

1.4. Credit Memos__________________________________________________16

1.5. Advance to suppliers with TDS (Prepayment Invoice).________________18

1.6. Application of Advance against supplier Invoice._____________________19

1.7. Unapply Prepayment____________________________________________22

2 Entering Payments________________________________________________24

2.1 Payment through Payment Workbench_____________________________24

2.2 Payment through Payment Manager_______________________________27

2.3 Refund in Payables______________________________________________28

2.4 Voiding Payment________________________________________________29

2.5 Reissue Payments._______________________________________________31

2.6 Viewing Payment Accounting_____________________________________33

3 Printing TDS Certificate____________________________________________34

4 Entering Assets in Payables________________________________________38

5 Period Closing Activities___________________________________________40

6 Balance Inquiry in Payables__________________________________________48





1 Business Process: Payable Invoices

Purpose: To create AP Invoices

Navigation: Invoices Entry Invoices

Description:

The Invoices Entry screen is used to enter supplier invoices. Payment is made for outstanding validated invoices. The same invoice screen is also used to enter Prepayments (Advances) paid to suppliers and to adjust the advance against expenses or procurement and to adjust supplier outstanding by entering credit memo and debit memo

Before entering invoices, ensure that the supplier has been created with at least one supplier site and relevant supplier Additional Information has been entered. Also, ensure that applicable setup has been completed.

Invoice Types:

Standard – This is the basic invoice type used to enter the supplier invoice information. Select standard for entering invoices received from supplier.

Credit Memo – Credit memo type of invoice is used to reverse an original invoice (standard) either partially or fully.

Debit Memo – A debit memo is generated to send to a supplier the credit amount that the supplier owes to you.



Prepayment – This type is used to pay an advance to a supplier. It can be applied to an outstanding invoice to reduce the amount of the invoice. A prepayment should be first fully paid in order for it to be applied.

Expense Report – It is a document that details expenses incurred by an employee for the purpose of reimbursement.

1.1. Invoice Entry



Note: All fields highlighted in yellow are mandatory. The form will not proceed to the next step if even one of these fields has been left blank.

1. Pick the type of Invoice to be created from the available List Of Values (LoV). For normal Invoices, keep the Invoice type “Standard” and for Advance payments, select the type “Prepayment”.

2. Select the Document Category for the invoice. The choice of the document category affects the voucher number/document sequencing that is allotted to the invoice once it is created.

3. Select the Supplier Name or Number for whom the invoice is to be created.

4. Select the Supplier Site based on the supplier’s location for which you are entering the invoice. Enter/Review the Liability account populated.

5. The system will flash a warning, which states that a certain number of prepayments exist for the supplier (if any) and some are available for application.

6. Enter the date of the invoice

7. Enter the invoice number or the bill number as it appears on the supplier’s physical invoice. (You can also enter the invoice number on logical basis).

8. Enter the invoice currency (default is INR) and amount.

9. Enter the narration of the voucher in the Description Field.

10. Enter Payment Method

11. Enter the GL Date on which you would like the entry to be accounted in the General Ledger.



12. Enter Payment Term: It will define the payment due date of invoice.

13. Enter Invoice DFF information (Optional)

a. Invoice Number (Optional) – To be entered to map Credit memo information with invoice.

b. Payment Location (Optional) – Required only when payment of invoice has be made by other location. In that case this invoice will be available for payment to the location which is entered here

c. Rest DFF Information will contain reference data, which is interfaced from core, and hence it is not to be entered manually at all.

d. Click on Ok

14. Click on ‘Lines’ button in the header screen tab

15. When you click on Distributions the system will generate a voucher number and displayed in Voucher number field that you can note on the supporting voucher



16. Enter Line Type as ‘Item’ (Default)

17. Enter the Amount as INR

18. Click on the Distributions button to enter the account(s) and amount to be debited in case of “Standard” and Prepayment invoice.



19. Enter the amount in the amount field and the account code combination to be debited in the account field. To credit any account code enter the negative amount. You can add as many rows as required. In case the account code is Asset Clearing account or Asset WIP clearing account, enter division name in Asset book column.

20. Enter Cost code information in cost code (Invoice distribution) column. In case no cost code is applicable on account code, select ‘NONE’ in Context field.



21. If the invoice you are entering is a TDS invoice (i.e. the invoice on which TDS needs to be deducted) then attach the Tax rate to the distribution amount on which this tax needs to be deducted in the TDS Rate column (“Additional Information for India” context field). This is mandatory for TDS deduction.

22. Select the appropriate tax rates to be applied.



23. Click on Save Icon.

24. Close the distribution window.

1.2. Invoice Validation

In Oracle Applications ERP, invoice validation is a crucial step. Unless an invoice is validated, the invoice cannot be paid from the system.

During validation the system checks whether the debits (positive distribution amounts) matches exactly with the invoice header (sundry creditor) amount (plus any negative distribution amount). The system also checks, among other things, whether the invoice date falls in open payables and GL periods

Navigation: Invoices Entry Invoices Actions…1



1. Click on the button “Actions…1”. You can also select multiple invoices by holding the “Ctrl” key as you click on each invoice to be selected. In case 3 invoices are selected, the Actions button will change to “Actions…3” thus reflecting the number of invoices on which the selected action will be performed.

2. Check the Validate Check box and press “OK” to approve/validate your Invoice.

3. Check the Status of the Invoice. It should be “Validated” with 0 Holds.

4. Click on Scheduled Payments button to see the due date for payment

5. In Case TDS is deducted while creating invoice. It will create TDS credit memo for the supplier and Standard invoice for Income tax authority. Invoice for Income tax authority will be available for query and payment at corporate office only.

6. The Credit Memo will be numbered as Invoice no CM<Seq. No.>

7. The TDS Invoice will be numbered as Invoice No TDS<Seq. No.>

8. To Query TDS Invoice, Press F 11, In Invoice Number column enter % <Invoice Number> % and press Ctrl +F11


Click Here




Invoice Actions

Actions - Opens the Invoice Actions window for a selected invoice(s), which you can use to perform actions such as validating, canceling, apply/unapply prepayment, etc. as, briefed below –

Validate - Before you can pay or create accounting entries for any invoice, the Invoice Validation process must validate the invoice. Invoice Validation checks period status, exchange rate, and distribution information for invoices you enter and automatically applies holds to exception invoices.

Cancel Invoices - You can cancel only unpaid invoices. You can cancel any invalidated invoice, or a validated invoice that does not have any effective payments or accounting holds. You cannot cancel an invoice that is selected for payment in a payment batch. You can cancel an invoice that was paid with a payment that is now voided, if the invoice status is now Unpaid. When Payables cancels an invoice, it sets the invoice amount to zero, sets all scheduled payments to zero, and reverses all invoice distributions.

Apply/Unapply Prepayments – You can apply the available amount of Item type distributions from a Temporary type prepayment to one or more invoices to offset the amount you pay on the invoice(s). If you entered the prepayment as a Permanent type and want to apply it, you can query the prepayment in the Invoices window and change the Prepayment Type to Temporary.

If you mistakenly apply a prepayment to an invoice, you can unapply it. It is then available to apply to another invoice. When you unapply a prepayment, you must unapply the full-prepaid amount. Payable increases the amount available for the prepayment by the unapplied amount. Payable creates a positive amount Prepayment distribution on the invoice, with the same attributes as the existing Prepayment distribution it is reversing. Payable then updates the status of the invoice to unpaid or partially paid.

Create Accounting – Create Accounting is automated in TCIL, Hence user need not create accounting from invoice workbench and hence this option is disabled.

1.3.Viewing Invoice Accounting

Select any invoice in the Invoice window and click on Tools View Accounting.





1.4.Credit Memos

Navigation: Invoices Entry Invoices Select Credit Memo type

Select the invoice type Credit Memo in the Invoices window and enter the supplier name and site. Enter a credit memo number; enter the amount to be credited with a negative sign and select the payment terms. Save the credit memo.

Open the Invoice DFF and in Invoice number, select the invoice number for which credit memo is created.

Enter the Line information and then distribution information. Please note Enter the amount that needs to be credited with a negative sign. Validate the credit memo.





1.5.Advance to suppliers with TDS (Prepayment Invoice).

Screen Navigation: Invoices Entry Invoices.

1. Select Type as “Prepayment” in the Invoice Entry screen.2. Enter the Supplier name, number, site, invoice date, invoice number and amount. Enter

the payment terms. 3. Enter the prepayment type 4. Enter the Advance account and amount in the Distributions.5. Enter the TDS Rate if TDS has to be deducted on advance.6. Save and validate the invoice as described earlier .The status of prepayment invoice will

change to Unpaid.7. In Case TDS is deducted while creating invoice. It will create TDS credit memo for the

supplier and Standard invoice for Income tax authority. Invoice for Income tax authority will be available for query and payment at corporate office only.

8. Pay the prepayment invoice. Payment of invoice is described later.



1.6.Application of Advance against supplier Invoice.

Screen Navigation: Invoice – Entry – Invoice.

1.Enter the invoice and validate it or Query the validated invoice on which prepayment has to be applied. Click on Actions..1

2. Click on Apply/Unapply prepayments, you will see all the prepayments listed in an apply/Unapply window 2.



1. Select by ticking the prepayment. Enter the amount to be applied. Choose among the Invoices and enter the amount.



2. Click on Apply



3. The invoice status will change to ‘Needs Revalidation’. Validate the invoice.

4. In case TDS is deducted while making prepayment and on standard invoice to which prepayment is applied, then on revalidation of invoice, it creates Two RTN Invoice

a. A credit memo for Income tax authority to reduce the amount of payment to be made to IT authority as TDS is deducted twice.

b. A standard invoice on supplier to make more payment to him as TDS is deducted twice when TDS Rate is applied on both prepayment and standard invoice.

1.7.Unapply Prepayment

5. If you wish to unapply, then select the applied prepayment and again click apply/unapply prepayment.

6. The prepayment status will change to unapplied

7. Save your work

8. The invoice status will change to ‘Needs Revalidation’. Validate the invoice.





2 Entering Payments

2.1 Payment through Payment Workbench

Screen Navigation: Payments Entry - payments.

Enter type as ‘Quick’

Enter Supplier Number/Supplier Name to which payment has to be made.

Enter Payment Date

4. Choose Bank Account is payment has to be made through cheque or choose Cash account if payment has to be made through Cash

5. Select Payment Method. Choose Check if payment is through bank account else choose Cash if payment is through Cash Account.

6. Choose Payment Document. Payment Process profile and document number i.e cheque number will automatically get populated. You can modify the document number.

7. Enter Supplier Invoices by clicking Enter/ Adjust Invoice. Choose the Invoice, the following screen will appear


Click here


8. On selection of original invoice, The TDS credit memo and RTN Invoice (if any) will get automatically selected.



9. You can make payment of as many invoices as appear by selecting invoices in next rows.

10. Click on Save by pressing the save Button or yellow floppy on the toolbar.



11. Payables generate a payment voucher number in voucher number column, which can be noted on the supporting available for making payments

2.2 Payment through Payment Manager

Refer separate User manual ‘ Payment manager’



2.3 Refund in Payables

Steps:

1. Select the “Refund” payment method if there are any receipts due from vendors.

2. Select Payment type as Refund.

3. Then select the supplier/supplier number and supplier site where the payment needs to be made.

4. Select the bank account name in which you will deposit the cheque.

5. Enter the cheque number in the Document number field.

6. Enter the Refund amount in negative.

7. Now click on the “Enter/Adjust Invoices” to select the Credit Memo against which it will be adjusted.



2.4 Voiding Payment

Screen Navigation: Payments – Entry –Payments.

1. Enter F11 or use menu to enter into query mode

2. Enter the document numbers to be voided and run query, the following screen will appear:

3. Select the payment and choose – ‘Actions … Void’

4. Choose an invoice action, i.e.

None: This will only void the payment and no impact will be on invoice.

Cancel: This will void the payment and at the same time also cancel the invoice

Hold: When u selects this option, a ‘Hold’ dialog box will appear, select the hold to be placed on invoice. Once a hold is selected on invoice, until the hold is removed, invoice is not available for payment.

That is if you want to affect the invoice relating to this payment by way of cancellation or hold, choose hold or cancel.

5. Choose ‘None’. This retains the liability.



6. Click OK and save work



2.5 Reissue Payments.

Reissue payment void the payment first and at the same time reissue the payment by using fresh document (cheque) number.

Screen Navigation: Payments – Entry –Payments.

1. Enter F11 or use menu to enter into query mode

Enter the document numbers to be voided and run query, the following screen will appear:

2. Select the payment and choose – ‘Actions … Reissue’

3. Enter New Paper Document Number i.e. Cheque no. to be issued. Click on Ok

4. It will void the original payment and reissue the cheque with new payment line.





2.6 Viewing Payment Accounting

Navigation: Payments Entry Payments

Steps:

1. Select the relevant Payment in the payment window.

2. Go to Tools View Accounting.



3 Printing TDS Certificate

1. Pay invoices due to income tax authority through payment manager. 2. Navigate to India Localization > India TDS Challan.3. Enter Tax Authority name and site and click on New.4. Enter TDS Challan Information and save the work.

5. Run India – Process TDS Payment concurrent request

6. View Log file of India - Process TDS Payments to see if any records are inserted into it. If no records submitted, check the parameters provided in the request.



7. Run India - Generate TDS Certificates concurrent request if there are records inserted in previous request. On Successful completion of process, view the log file of request to view if any records are submitted. If no records submitted, check the parameters provided in the request.



8. Run India - TDS Certificates concurrent request

9. Print output of India - TDS Certificates to Print TDS Certificates.





4 Entering Assets in Payables

You can enter invoices for asset items in Oracle Payables and then import specified distributions into an interface table in Oracle Assets. You can then create assets from the distributions in Oracle Assets.

To record an invoice distribution as an asset:

1. Enter the invoice in either the Invoices window or the Invoice Gateway.

2. Enter the distribution description. This description will be imported into Assets.

3. Enable the Track as Asset check box for the distribution line for which asset has to be created. The account must be set up for an existing asset category, and must be either an asset clearing account or a construction-in-process (CIP) clearing account. If you enter the invoice in the Invoice Workbench, Payables automatically enables the check box if you have entered an Asset type account.

4. Enter your division name in which asset has to be created in Asset Book Column. This is mandatory step, if asset book is not entered, asset will not flow to oracle assets.

5. Validate the invoice.

6. Account for the invoice.

7. Transfer the invoice accounting entries to General Ledger.

8. Submit the Mass Additions Create Program. Create Mass Additions for Assets process sends valid invoice distribution information from Payables to an interface table in Assets.



9. Prepare Mass Additions in Assets.

10. Review Mass Additions in the Oracle Assets Mass Additions window.

Conditions for Asset Invoice Line Distributions to Be Imported:

1. The account is set up for an existing asset category as either the asset clearing account or the CIP clearing account

2. The Track as Asset check box is checked. (It is automatically checked if the account is an Asset account)

3. The invoice is approved

4. The invoice line distribution is posted to Oracle General Ledger from Payables

5. The general ledger date on the invoice line distribution is on or before the date you specify for the create program



5 Period Closing Activities

A period cannot be closed unless the following criterion met for ALL operating units assigned to a ledger:

1. All payment batches must be confirmed or either Cancelled2. All transactions must be validated and accounted.3. All accounting entries must be transferred to general ledger.

1. Confirm/Cancel any unconfirmed payment batches for the period

2. Validate all the invoices. Navigate: Payables Responsibility > Other > Request > Run > Invoice Validation.

3. Create Accounting

Navigate: Payables Responsibility > Other > Request > Run > Create Accounting



4. Payables Transfer to General LedgerNavigate: Payables Responsibility > Other > Request > Run > Payables Transfer to General Ledger



5. Close the period in Payables and open the next period.Navigate: Payables Responsibility > Accounting Control Payables Periods6. If still there are pending transaction, a message will be displayed, Click on Ok to fire

exception report.

7. Click on Exception button.



8. Click on Review to view the transaction which are still pending

9. It will fire the Period close exception report.



10. Period Close exception report lists all the exceptions that are preventing from closing a Payables accounting period. Review the report and take the steps to resolve the exceptions.

In case, some of the invoices or payments not to be posted in current month, or to move any unresolved posting exceptions to the next period, submit the un-posted invoice sweep program The Unaccounted Transactions Sweep Program transfers unaccounted transactions from one accounting period to another. The program redates all accounting dates of all unaccounted transactions to the first day of the open period, which is specified for sweeping the transaction.

Prerequisitesa) (Recommended) Confirm that your accounting practices permit you to redate accounting

dates of transactions.b) The period to sweep to is openc) The transaction does not have an accounted with error status. For transactions that are

accounted with error, fix the problem that is causing the error, account for the transaction, and transfer the accounting entries to the general ledger.

d) The transaction is not accounted.e) (Recommended) Submit the Period Close Exceptions Report. Review, for each operating

unit, the Unaccounted Invoices and Unaccounted Payments sections of the report to review the transactions that the program will sweep to the next period.

11. To run the Unaccounted Transaction Report in Sweep Mode.Navigate: Payables Responsibility > Accounting > Control Payables Period > Query the period > Set period = "Closed" > Click on Exception> Click on Sweep

12. Enter the Period. It will sweep the transaction on 1st date of sweep period.



13. Click on Ok

14.View the output of Unaccounted Transaction Sweep report.



15. Navigate to Accounting > Control Payables Period > Query the period > Set period = "Closed"

16. Save the work.





6 Balance Inquiry in Payables

Purpose: To perform inquiry in PayablesNavigation: InvoiceInquiryInvoices

Enter the search criteria such as the Supplier number or invoice number. Then click on the Find button to find all invoices matching the search criteria entered.

You can also inquire on the balance owed to a supplier:1. Enter the Supplier Name in the field.2. Click on the “Calculate Balance Owed” Button3. Enter the operating unit and click on calculate.



4. Now you can see the balance amount owed to a supplier.


Tci AP User Manual

Documents

income tax

existing asset

asset book

payments entry

tools view

asset clearing

asset check

payables responsibility