Goods and Services Tax (GST)- The biggest indirect tax reform India has adopted since independence has subsumed most of the indirect goods and service taxes levied by the Indian Central and State Governments.
Cherrytec has successfully implemented GST for its SAP Customers in India covering all taxable scenarios in Sales and Purchase for various industries such as Manufacturing, Process Automation and Pharmaceuticals.
Various taxable scenarios in sales such as domestic & export sales, intrastate and interstate sales and stock transfers were addressed. Specific requirements such as Tax on Free Goods and Promotional Sales were also covered.
Similarly, all taxable scenarios in purchase such as domestic purchase, intrastate and interstate purchases, sub-contracting were precisely configured in SAP. Import Purchase which retains the Customs Duty in addition to the Integrated GST (IGST) was also configured in SAP.
Based on the HSN/SAC codes and the place of supply of Goods & Services, the tax rates were determined in the purchase and sales transactions in SAP.