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How to seperate VAT from TAX?

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Created by Wang Q on 2010-10-08 03:28:05 Back to Topics

How to seperate VAT from TAX?

 

In my understanding, Value Added Tax is one of Tax category, however they have different record structure. What do we refer to in order to separate the VAT from the TAX? Is it necessary to be defined clearly to avoid VAT amount being included into tax element along with tax breakdown record by mistake?

 

Eg1:When billing entity billed a tax ID (which is a Indonesia VAT published in gerneral rules 12) , however this amount was included into tax element in coupon record along with tax breakdown , would IS complete validation sucessfully in this scenario? Is there similar to Master table in IS to recogniaze VAT or Tax(non-VAT)

 

Eg2: Prime Billing: Gross: 100  Tax 0  VAT10

       1st rejection:  Gross: Yr Billing  Gross100  Tax 10    VAT 0

                                     Our Accept  Gross80   Tax 0      VAT 0

                                             Diff      Gross20   Tax10   VAT 0

For above instance, is it acceptable on 1st rejection in IS validation processing

Replied by Alex S on 2010-11-17 18:48:20
The amounts mentioned in the Pax Tax Amount record structure needs to be supported by a valid Tax code. This is the 2 letter Tax code pulished in IATA RATD database and also include YQ, YR. IS validates the tax codes and marks it as an error in case it is not as per the above rule. Generally VATs are without the two letter interlineable tax codes. This is how the VAT and Tax amounts are separated.
 
Regarding the below example:
Prime Billing: Gross: 100  Tax 0  VAT10   1st rejection:  Gross: Yr Billing  Gross100  Tax 10    VAT 0    Our Accept  Gross80   Tax 0      VAT 0 Diff      Gross20   Tax10   VAT 0 
 
IS will not raise this as an error.
 

From:
Posted: Friday, October 08, 2010 3:28 AM
Subject: How to seperate VAT from TAX?

 

In my understanding, Value Added Tax is one of Tax category, however they have different record structure. What do we refer to in order to separate the VAT from the TAX? Is it necessary to be defined clearly to avoid VAT amount being included into tax element along with tax breakdown record by mistake?

 

Eg1:When billing entity billed a tax ID (which is a Indonesia VAT published in gerneral rules 12) , however this amount was included into tax element in coupon record along with tax breakdown , would IS complete validation sucessfully in this scenario? Is there similar to Master table in IS to recogniaze VAT or Tax(non-VAT)

 

Eg2: Prime Billing: Gross: 100  Tax 0  VAT10

       1st rejection:  Gross: Yr Billing  Gross100  Tax 10    VAT 0

                                     Our Accept  Gross80   Tax 0      VAT 0

                                             Diff      Gross20   Tax10   VAT 0

For above instance, is it acceptable on 1st rejection in IS validation processing

 
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