The collection of ICMS in the Tax Override system is in advance, often, the tax is collected based on estimates of the prices that will be applied to the sale to the end consumer.
Joint ICMS is charged on the invoice to customers that trade products that are difficult to be monitored, like: cigarettes, records, parts, drinks, fuels, oil derivatives, meats, etc.
In the Tax Record, the amount of Joint ICMS is placed in the column Notes. In sales statistics, it must be considered similarly as the Freight. There is a map that lists these withheld ICMS values.
During the inflow, as when the customer has a store, the Joint ICMS must be added to the cost.
For S type customers, the program calculates Joint ICMS through the profit margin entered in the product file.
It is applied on the total amount of an item, the profit margin calculates the Joint ICMS with the standard ICMS tax rate for the customer's State.
To obtain the Joint ICMS, the normal ICMS is deducted from the ICMS (with profit margin). The system has the field Add Joint in the TIO file, where a S or blank field can be entered so that the amount of ICMS withheld is considered in the Invoice total amount or N so that it is not considered.
Procedures
To issue a Sales Invoice with Tax Override, the following configuration must be made:
1. In the Customer File, the field:
- Type = S - Joint
2. In the Products file, the field:
- Outflow Joint
The Profit Margin must be entered for calculation of Joint ICMS or ICMS withheld.
Example: 8.42%
3. In the TIO file, the fields:
- Add Joint = S
Defines whether to add the amount of Joint ICMS to the Invoice Total or not.
- Bs ICMS ST = Gross or Net Value
Defines if the Tax Override Tax Base considers the Gross or Net Amount, ii.e., if a Discount is granted to the customer, what is the amount to be considered for the Calculation Base? Value of the Goods or Value of the Goods - Discounts.
Application
Note the example of a Sales Invoice with Tax Override, where the Supplier and the Customer are in Sao Paulo. The internal tax rate for the state of Sao Paulo is 18%.
1. In the Product A file, field Outflow Joint Tax is defined as 30%.
2. In the TIO file 505, the field Add Joint is defined as Yes.
3. An order with the following information was saved in the Sales Orders file:
- Customer Type as Joint
- Product A
- Quantity = 10
- Unit Value = R$ 100.00
- Total Amount = R$ 1,000.00
- Outflow TIO 505
4. Order released for billing.
5. Credit released.
6. Stock released.
7. Invoice issued through routine Outbound Document.
8. After issuance of Tax Invoice, you can query it and notice its calculation:
Value of Products 10 * 100.00 = 1,000.00
Calculation base of operation ICMS = 1,000.00
Operation ICMS 1,000.00 * 18% = 180.00
Joint ICMS Calculation Base 1,000.00 * 30% = 1,300.00
ICMS Joint 1,300.00 * 18% = 234.00
ICMS withheld 234.00 * 180.00 = 54.00
ICMS Withheld = R$ 54.00
Total Invoice = 1,117.00
Application
Note the example of a Sales Invoice with Tax Override, where the Supplier is in Sao Paulo and the Customer in Bahia. The interstate between SP and BA = 7% and the internal rate for product A, in BA is 17%.
1. In the B Product file, the field Outflow Joint Tax is defined as 35%.
2. In the Sales Order register, an order with the following information was saved in the
- Customer Type as Joint
- Product B
- Quantity = 10
- Unit Value = R$ 100.00
- Total Amount = R$ 1,000.00
- Outflow TIO 505 (Add Joint = Yes)
3. Order released for billing.
4. Credit released.
5. Stock released.
6. Invoice issued through routine Outbound Document.
7. After issuance of Tax Invoice, you can query it and notice its calculation:
Value of Products 10 * 100.00 = 1,000.00
Calculation base of operation ICMS = 1,000.00
Operation ICMS 1,000.00 * 7% = 70.00
Joint ICMS Calculation Base 1,000.00 * 35% = 1,350.00
ICMS Joint 1,350.00 * 17% = 229.50
ICMS withheld 294.50 * 70.00 = 224.50
ICMS Withheld = R$ 224.50
Total Invoice = 1,224.50
See Also
To query other files and modules involved in this process, refer to the following topics: