Adding, Editing & Deleting Charges in Sales and Distribution
Charge is an extra amount levied upon the basic or gross value of goods sold to a customer. It may be a cost incurred for that sale (like delivery costs) or any reduction in sale value (i.e. discounts) or duties paid to any government or statutory body for making that sale (i.e. different types of taxes) etc. A charge, also known as Transactional Cost, is of different types and covers a wide range of costs - communication charges, legal fees, durability, and definitely also include transportation costs.
What is the need for a Charge master form?
The GINESYS Charge master form has been provided for creating and maintaining a record of the various charges needed to complete a Sale Transaction. Existence of the master form allows the charges to be re-usable and allow the charges to be extinct when they are not needed any more.
Whole Document v/s Line Item
Whole Document Charge is a charge which will be charged on the gross/overall value of the invoice irrespective of items present in it. For example, the Delivery Charges are levied on the Gross amount including all charges applicable on the items. Note: In case of these charges, it is the gross/overall value of the invoice that becomes operative, no matter what items are tagged in the invoice.
Line Item Charge is a charge which will be charged on each item's value in the invoice. For example, VAT, Discount etc are defined as Line level charges. Note: These charges may vary from item to item.
The Add button in the Charge Master grid view allows the inclusion of new charges as and when required. On clicking the button, the Add Charge window opens up to include all relevant details of a charge. The new record can then be saved and reflected in the master.
Prerequisites
- The user's role must have the Add application operation enabled for Sales and Distribution > Setup > Invoice Overheads > Charge in Admin > Security > User > Roles .
Step-by-step guide
Following steps are used:
- Go to Sales and Distribution > Setup > Invoice Overheads > Charge.
- Click on the Add button to open the Add Charge window.
The following table shows the Field Names and provides a description of their functionality.
| Field Name | Field Description | |
|---|---|---|
GENERAL
| ||
| Charge Name | Name of the new charge to be created | |
| Alias | It is an user input field, that is, you can type in any name you want. | |
| Trade Group | Trade Group to which it will be tagged. Note: This is an optional field only applicable if a charge is to be restricted to a particular Trade Group. If left blank, the charge will be applicable on all Trade Groups. | |
Applicability | Whether it will be applicable to whole document or each line item | |
CHARGEABILITY
| Dependent Field Descriptions | |
| Normal Charge (pick charge factor from below) | Charges other than Tax components e.g. Discounts / Logistics / Delivery Charges / Insurance charges etc. | Can be calculated as
The charge may be modified in documents where it is charged if the checkbox given is ticked. |
| Tax Component (pick charge factor from below) | Various statutory and government taxes e.g. VAT, CST etc. | Can be calculated as
The charge may be modified in documents where it is charged if the checkbox given is ticked. |
Tax Component (pick charge factor from Inventory: Tax Definition) Will only be visible if charge is applicable to line items | Only for Input Tax as defined in the Tax definition form of the Inventory module | Round off -
The charge may be modified in documents where it is charged if the checkbox given is ticked. |
Tax Component (pick charge factor from Inventory: Excise Tariff Definition) Will only be visible if charge is applicable to line items | Excise duty as defined in the Excise Tariff form of the Inventory module | |
ACCOUNTS
| ||
Ledger | Selection of Ledgers is optional here, but for Charge type - Tax component, selection of General ledger is mandatory. | |
| Sub Ledger | If sub-ledger is applicable for the general ledger selected, the sub-ledger also has to be selected. | |
OTHER SETTINGS
| ||
| Consider this charge amount in agency commission report | If the checkbox is ticked, the charge amount will be considered while calculating agency commission. Note:This will only be enabled when the charge is applicable on each line item | |
FOOTER | ||
| Save | This button will save the Charge. | |
| Close | This button will close the Add Charge window. | |
| This record is extinct | This field allows the flexibility of making charges extinct if they have become obsolete for application. | |
The records in the Charge Master may need to be modified to include more information about the charges or modify information already present in the system.
Prerequisites
- The user's role must have the Edit application operation enabled for Sales and Distribution > Setup > Invoice Overheads > Charge in Admin > Security > User > Roles .
Step-by-step guide
Following steps are used:
- Go to Sales and Distribution > Setup >Invoice Overheads > Charge.
- Select a charge from the list.
- Click on the Edit option in the Action menu to open the Edit Charge window. Alternatively, double click on the selected Vendor to open the Edit Charge window.
The user can edit any of the details in the window, provided the following conditions are fulfilled:
- Charge is not tagged to any Sales and Distribution Term or other Document.
- In case the selected charge is tagged in Sales Term, then the following fields cannot be modified and proper messages to indicate that the charges are tagged will be shown.
- Trade Group
- Applicability (option will be disabled)
- Chargeability - Normal Charge cannot be changed to Tax Component or vice versa. The user cannot even change the selection between the source of tax rate e.g. he cannot pick his rate from excise after he has picked the rate from charge master.
- Trade Group
The records in the Charge Master may need to be deleted to remove obsolete charges or wrong charges.
Prerequisites
- The user's role must have the Delete application operation enabled for Sales and Distribution > Setup > Invoice Overheads > Charge in Admin > Security > User > Roles .
Step-by-step guide
Following steps are used:
- Go to Sales and Distribution > Setup > Invoice Overheads > Charge.
- Select a charge from the list.
- Click on the Delete option in the Action menu.
- The system asks for a confirmation, click on OK.
The user can edit any of the details in the window, provided the following condition are fulfilled:
Charge is not tagged to any Sales and Distribution Term or other Document. In such cases, the particular Charge can be made extinct.