Tax Reporting for Germany ERP CLOUD Fusion Financials for EMEA Table of Contents 1. Purpose of the document... 2 2. Assumptions and prerequisites... 2 3. Feature Specific Setup... 3 Payment Reasons for Z4 Reporting for Germany... 3 Supplier Type Lookup Code for Z5A Report for Germany... 3 Supplier and supplier site for Z5A Report for Germany... 4 Customer account and site for Z5A Report for Germany... 6 GDF for Z4 Reporting for Germany... 7 4. Transaction Entry in Fusion Payables... 8 Invoice Header Level GDF... 8 Payment Reason... 8 Validating, Accounting and Posting... 9 Paying the invoice... 9 5. Transaction Entry in Fusion Receivables... 11 Receivables Transaction Header Level GDF... 11 Completing, Accounting and Posting... 11 Applying a receipt... 12 6. Reporting... 13 Z4 Report for Germany... 13 Z5A Report for Germany... 14 Journal Details Report for Germany... 17 7. Appendix... 19 1
1. Purpose of the document Businesses in Germany must report incoming and outgoing payments higher than the statutory limit of 12,500 Euros, to the federal bank. They must also provide details of receivables and payables of foreign customers and suppliers respectively above a threshold of 5 million Euros. This document explains the implementation and usage guidelines for the following reports which are used to comply with federal reporting requirements: Z4 Report for Germany The Z4 Report for Germany reports all incoming and outgoing payments above a threshold of 12,500 Euros paid through a foreign bank account. Z5A Report for Germany The Z5A Report for Germany has two layouts, one for the Z5A Sheet 2 Report and the other for the Z5A Reconciliation Report. The ZA Sheet 2 Report shows the summary amounts of all outstanding receivables and liabilities of foreign customers and suppliers respectively in Euros as of a given date. The Z5A Reconciliation Report reconciles the aggregate amounts that appear on the Z5A Sheet 2 Report. This document explains the implementation and usage guidelines for the following report which is used to comply with specific audit requirements in Germany: Journal Details Report for Germany The Journal Details Report for Germany helps the user to verify that journals are sequenced by posted date. Use the Journal Details Report for Germany to print general ledger journal activity for a given period or date range and optionally other criteria including journal source, currency and journal batch. The document explains the pre-requisite setup, important transaction entry aspects and the report output details. 2. Assumptions and prerequisites In this document, the following entities are assumed to have already been set up : Data Security Geographies Enterprise Structure Suppliers Customers Procurement Business Function Common Options for Payables and Receivables Receipt Classes and Methods Document sequences It is recommended that the Implementation Project is complete for your organization before commencing the Feature Specific Setup outlined below. If you require further details, refer to the Appendix. 2
3. Feature Specific Setup Payment Reasons for Z4 Reporting for Germany Task name: Manage Payment Codes Navigation : Navigator > Setup and Maintenance -> Manage Payment Codes Define Payment Reason Codes for incoming and outgoing payments reported on the Z4 Report for Germany. The codes are used to identify payment reasons in electronic payments. Supplier Type Lookup Code for Z5A Report for Germany Task name: Manage Supplier Type Lookup Navigation : Navigator > Setup and Maintenance -> Manage Supplier Type Lookup Define Supplier Type Lookup Code Internal to classify intercompany suppliers. The report shows the transactions for such suppliers in a separate Intercompany section. 3
Supplier and supplier site for Z5A Report for Germany Select the supplier type as Internal for intercompany suppliers. The report shows the transactions for such suppliers in a separate Intercompany section. The report shows the transactions for suppliers not classified as Internal in the Nonintercompany section. 4
The report treats suppliers with site address outside Germany as foreign suppliers. 5
Customer account and site for Z5A Report for Germany Select the Account Type as Internal for intercompany customers. The report shows the transactions for such customers in a separate Intercompany section. The report shows the transactions for customers not classified as Internal in the Non-intercompany section. The report treats customers with site address outside Germany as foreign customers. 6
GDF for Z4 Reporting for Germany The Z4 Report for Germany uses Global Descriptive Flexfields (GDFs). The purpose of the Global Descriptive Flexfields (GDFs) is to allow entry of additional information on the transactions that is reported in the Z4 Report for Germany. In particular: Record Type Reason Indicates the record type of the transaction and can be 1 : Incoming Service, Trade 2 : Outgoing Service, Trade 3 : Incoming Capital Transactions 4 : Outgoing Capital Transactions 5 : Incoming Transit Trade 6 : Outgoing Transit Trade The number is printed in the Z4 Report for Germany. The Reason for the incoming or outgoing payment. Note that this is a GDF only on the Create/Edit Transaction page in Receivables. In Payables, this is not a GDF. The corresponding field in Payables in the Payment Reason field in the Manage Installments page. 7
4. Transaction Entry in Fusion Payables Task name: Create Invoice Navigation : Navigator > Payables Invoices -> Create Invoice Create an invoice and pay special attention to the following: Invoice Header Level GDF Select the Record Type at the invoice header level. To do this, click on the Additional Information tab on the Invoice Header and select the Z4 Reporting for Germany context from the Regional Information. Select a value for the Record Type field. The Z4 Report for Germany only shows payments for transactions that have the GDF section populated. Payment Reason The Payment Reason is selected at the installment level. To do this, click on Invoice Actions and select Manage Installments. Select a value for the Payment Reason field. The list will include the codes defined in the Manage Payment Codes page. 8
Validating, Accounting and Posting Validate the invoice and Account and Post to Ledger. The Z4 Report for Germany only shows payments for invoices that are validated, accounted and posted to ledger. Paying the invoice Pay the invoice and Account and Post to Ledger the payment. The Z4 Report for Germany only shows payments that are accounted and posted to ledger. 9
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5. Transaction Entry in Fusion Receivables Task name: Create Transaction Navigation : Navigator > Receivables Billing -> Create Transaction Create a transaction and pay special attention to the following: Receivables Transaction Header Level GDF The Record Type is selected at the transaction header level. To do this, click on the Miscellaneous tab on the Transaction Header via Show More, and select the Z4 Reporting for Germany context from the Regional Information. Select a value for the Record Type and Reason fields. The Z4 Report for Germany only shows receipts for transactions that have the GDF section populated. Completing, Accounting and Posting Complete the transaction and Account and Post to Ledger to report related receipt in Z4 Report for Germany. 11
Applying a receipt Create a receipt; apply the receipt to the transaction and Account and Post to Ledger. The Z4 Report for Germany only shows receipts that are accounted and posted to ledger. 12
6. Reporting Z4 Report for Germany Navigation : Navigator > Tools -> Scheduled Processes Run the Z4 Report for Germany for a ledger, date range and threshold. The threshold amount is defaulted to 12,500 Euros. Change the threshold amount if required. 13
Z5A Report for Germany Navigation : Navigator > Tools -> Scheduled Processes Run the Z5A Report for Germany for a ledger and an effective as-of date to view all outstanding receivables and liabilities of foreign customers and suppliers respectively as of a given date. Check the Summarize option to view the Z5A Reconciliation Report and uncheck the Summarize option to view the Z5A Sheet 2 Report. Payables and Receivables invoices are included in the report output once they are accounted and posted to General Ledger. The report has two sections. The Non-Intercompany Details section shows the transactions for external suppliers and customers. Suppliers that do not have Supplier Type as Internal and customers that do not have Account Type as Internal are considered as external suppliers and customers respectively. The Intercompany Details section shows the transactions for internal suppliers and customers. Suppliers that have Supplier Type as Internal and customers that have Account Type as Internal are considered as internal suppliers and customers respectively. Receivables or liabilities which are due in less than an year and which are due in an year or more than an year are shown in separate columns. 14
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Journal Details Report for Germany Navigation : Navigator > Tools -> Scheduled Processes Run the Journal Details Report for Germany for a Data Access Set, ledger and period range. Use the posting status parameter to print posted, not posted or error journals. 17
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7. Appendix Here are some useful information sources to assist with the implementation: Oracle Enterprise Repository (Financial Report Listing) The OER provides content relating to the report parameters and sample report output. Log in as guest from OER first. Oracle Financials Cloud Release 9 (Get Started) The web site contains links to subscriptions, understanding Oracle Financials Cloud and Implementation advice. Oracle Fusion Financials Cloud Release 9 What s New This document contains additional information relating to this feature and other Fusion Financials features and capabilities. Enterprise Resource Planning Release Readiness for Financials Release 9 The web site contains links to spotlights, release content documents, product documentation and training. Copyright 2014, Oracle and/or its affiliates. All rights reserved. This document is provided for information purposes only, and the contents hereof are subject to change without notice. This document is not warranted to be error-free, nor subject to any other warranties or conditions, whether expressed orally or implied in law, including implied warranties and conditions of merchantability or fitness for a particular purpose. We specifically disclaim any liability with respect to this document, and no contractual obligations are formed either directly or indirectly by this document. This document may not be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without our prior written permission. Oracle and Java are registered trademarks of Oracle and/or its affiliates. Other names may be trademarks of their respective owners. Intel and Intel Xeon are trademarks or registered trademarks of Intel Corporation. All SPARC trademarks are used under license and are trademarks or registered trademarks of SPARC International, Inc. AMD, Opteron, the AMD logo, and the AMD Opteron logo are trademarks or registered trademarks of Advanced Micro Devices. UNIX is a registered trademark of The Open Group. 0114 19