Oracle Payables User`s Guide

Oracle Payables User`s Guide
Oracle® Payables
User's Guide
Release 12.2
Part No. E48760-07
August 2016
Oracle Payables User's Guide, Release 12.2
Part No. E48760-07
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Primary Author: Sudha Seshadri
Contributing Author: Victoria Anderson, Amy Andrews, Peggy Larson, Kavita Mittal, Jyoti Pandey,
Xiao-zheng Ye, Jayanta Bhowmik, Melanie Featherstone, Carol-Ann Lapeyrouse, Robert MacIsaac, Christine
Monk, Shelley Feng, Manoj Swaminathan, Biplob Ghose, Goutham Bellary, Brent Bosin, Mary Kalway, Mark
Peachey, Narayana Palukuri, Milan Parikh, Megha Khandelwal, Himesh Chaudhari
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Contents
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Preface
1
Payables Overview
Payables Overview.................................................................................................................... 1-1
Payables Workbenches........................................................................................................ 1-1
The Invoice Workbench................................................................................................. 1-2
The Payments Manager................................................................................................. 1-3
Multiple Organization Access Control..................................................................................... 1-4
2
Suppliers
Suppliers.................................................................................................................................... 2-1
Setting Up Supplier Hierarchies.......................................................................................... 2-8
Factoring Arrangements...................................................................................................... 2-9
Supplier Management........................................................................................................ 2-10
Entering Suppliers Manually............................................................................................. 2-11
Suppliers Pages Reference...................................................................................................... 2-13
Suppliers and Supplier Sites Header Information............................................................. 2-19
Accounting Information.....................................................................................................2-20
Bank Information............................................................................................................... 2-21
Classification Information.................................................................................................. 2-23
Contacts Information......................................................................................................... 2-24
Control Information........................................................................................................... 2-24
EDI (Electronic Data Interchange) Information................................................................. 2-25
Key Setup Information....................................................................................................... 2-25
iii
Organization Information.................................................................................................. 2-26
Payment Information......................................................................................................... 2-26
Purchasing Information..................................................................................................... 2-28
Receiving Information....................................................................................................... 2-31
Tax Reporting Information................................................................................................ 2-33
Tax Details and Withholding Information......................................................................... 2-35
Reviewing and Adjusting Suppliers...................................................................................... 2-36
Finding Suppliers............................................................................................................... 2-36
Reviewing Suppliers.......................................................................................................... 2-37
Adjusting Suppliers........................................................................................................... 2-38
Adding a New Supplier Site........................................................................................ 2-38
Identifying Duplicate Suppliers............................................................................................. 2-39
Supplier Merge Program......................................................................................................... 2-40
Employee Information............................................................................................................ 2-42
Employee Update Program..................................................................................................... 2-44
Supplier Audit Report ............................................................................................................ 2-46
Supplier Merge Report............................................................................................................ 2-47
Purchase Order Header Updates Report................................................................................. 2-48
3
Invoices
Invoices Overview..................................................................................................................... 3-2
Entering Invoices Overview...................................................................................................... 3-5
Differences Between Entering Invoices in the Quick Invoices Window and the Invoice
Workbench......................................................................................................................... 3-10
Entering Invoice Batches in the Invoice Workbench............................................................. 3-11
Entering Invoices in the Invoice Workbench......................................................................... 3-13
Entering Basic Invoices in the Invoice Workbench............................................................ 3-14
Entering Distributions in the Invoice Workbench..............................................................3-18
Creating Distributions by Allocation in the Invoice Workbench....................................... 3-20
Allocation.................................................................................................................... 3-21
Allocate Window.................................................................................................. 3-22
Allocations Window............................................................................................. 3-24
Allocations Window Reference............................................................................. 3-24
Matching Charges to Material Receipts ............................................................... 3-26
Recording Allocations for Periodic Costing.......................................................... 3-28
Allocation Restrictions.......................................................................................... 3-29
Reviewing Allocation of Other Charges............................................................... 3-30
Scheduled Payment........................................................................................................... 3-30
Discounts..................................................................................................................... 3-31
Entering Invoices with Matched Purchase Orders and Receipts in the Invoice Workbench
.................................................................................................................................................. 3-32
iv
Matching to Purchase Orders............................................................................................ 3-34
Matching to Receipts.......................................................................................................... 3-38
Advances and Progressive Contract Financing..................................................................3-39
Prerequisites................................................................................................................ 3-39
Entering Prepayments for Advances and Contract Financing.....................................3-41
Entering Prepayment Invoices for Advances or Contract Financing in the Invoice
Workbench Window............................................................................................. 3-41
Entering Prepayments for Advances or Contract Financing in the Quick Invoices
Window....................................................................................................................... 3-43
Validating Prepayment Invoices................................................................................. 3-44
Calculating Taxes on Advances and Contract Financing............................................ 3-46
Retainage..................................................................................................................... 3-47
Retainage Release........................................................................................................ 3-52
Automatically Recouping Advances and Contract Financing Payments...........................3-61
Corrections......................................................................................................................... 3-66
Recording Price, Quantity, or Amount Corrections.................................................... 3-68
Final Matching Invoices and Final Closing Purchase Orders.............................................3-70
Viewing Purchase Order Information................................................................................ 3-71
Prepayments............................................................................................................................ 3-72
Foreign Currency Prepayments......................................................................................... 3-74
Entering Prepayments........................................................................................................3-74
Applying and Releasing Holds on Prepayments............................................................... 3-75
Paying Prepayments.......................................................................................................... 3-75
Applying Prepayments to Invoices and Expense Reports................................................. 3-75
Applying Prepayments in the Payables Open Interface.................................................... 3-79
Applying Prepayments to Expense Reports...................................................................... 3-80
Withholding Tax When Applying Prepayments................................................................3-80
Entering Invoices that Reference Prepayments.................................................................. 3-81
Unapplying Prepayments.................................................................................................. 3-82
Cancelling Prepayments.................................................................................................... 3-83
Recording a Refund of a Prepayment or Advance............................................................. 3-84
Find Invoices to Apply Window ....................................................................................... 3-85
Find Prepayments to Apply Window................................................................................ 3-85
Apply/Unapply Prepayments Window Reference.............................................................3-86
Credit and Debit Memos ........................................................................................................ 3-90
Entering Credit/Debit Memos............................................................................................ 3-90
Matching Credit/Debit Memos to Purchase Orders and Invoices...................................... 3-91
Clearing a Credit................................................................................................................ 3-95
Mixed Invoices........................................................................................................................ 3-96
Entering Foreign Currency Invoices....................................................................................... 3-96
Manual Exchange Rate Entry............................................................................................. 3-97
v
GL Daily Rates Table Default Exchange Rate Entry...........................................................3-98
AutoRate Exchange Rate Entry.......................................................................................... 3-99
FOREIGN CURRENCY INVOICE RESTRICTIONS:....................................................... 3-100
Entering Invoices for Suppliers Subject to Income Tax Reporting Requirements............. 3-100
Updating 1099 Information.............................................................................................. 3-102
Recurring Invoices................................................................................................................. 3-103
Creating a Recurring Invoice Template........................................................................... 3-105
Creating Recurring Invoices............................................................................................ 3-107
Creating Recurring Credit/Debit Memos......................................................................... 3-108
RECURRING INVOICE RESTRICTIONS:....................................................................... 3-108
Recurring Invoices Window Reference............................................................................ 3-109
Quick Invoices....................................................................................................................... 3-113
Quick Invoices Overview................................................................................................. 3-114
Entering Invoice Records in the Quick Invoices Window................................................3-116
Entering Purchase Order Matched Invoice Records in the Quick Invoices Window....... 3-117
Entering Price Corrections in the Quick Invoices.............................................................3-121
Finding Invoice Records in the Quick Invoices Window................................................. 3-122
Modifying Invoice Records in the Quick Invoices Window............................................ 3-124
Adding Invoice Records to an Existing Quick Invoices Batch......................................... 3-124
Creating Invoices From Quick Invoices Invoice Records (Import).................................. 3-125
Quick Invoices Identification Window Reference............................................................ 3-126
Quick Invoices Window Reference.................................................................................. 3-127
Quick Invoices Header Region.........................................................................................3-128
Quick Invoices Lines Region............................................................................................ 3-134
Payables Open Interface Import........................................................................................... 3-142
Submitting the Payables Open Interface Import Program............................................... 3-143
Payables Open Interface Import Parameters.................................................................... 3-148
Payables Open Interface Import Troubleshooting........................................................... 3-150
Open Interface Invoices Window.....................................................................................3-151
Payables Open Interface Purge Program......................................................................... 3-151
Payables Open Interface Outbound Advice..................................................................... 3-152
Payables Open Interface Import Report........................................................................... 3-153
Payment Requests................................................................................................................. 3-165
Self Service Invoices............................................................................................................. 3-167
Validation.............................................................................................................................. 3-172
Submitting Online Invoice Validation for Invoices.......................................................... 3-174
Submitting Online Invoice Validation for Invoice Batches.............................................. 3-174
Invoice Validation Program............................................................................................. 3-175
Approving Invoices............................................................................................................... 3-178
Invoice Approval Workflow Overview........................................................................... 3-182
Invoice Approval Workflow Program............................................................................. 3-186
vi
Invoice Approval History ............................................................................................... 3-188
Invoice Approval History Window Reference................................................................. 3-189
Taxes on Invoices.................................................................................................................. 3-190
Holds...................................................................................................................................... 3-209
Applying Holds............................................................................................................... 3-210
Releasing Holds............................................................................................................... 3-214
Releasing Holds From an Invoice.............................................................................. 3-216
Hold Release Restrictions:......................................................................................... 3-221
Invoice Notices...................................................................................................................... 3-221
Printing Invoice Notices from the Invoice Workbench.................................................... 3-222
Reviewing Invoices............................................................................................................... 3-223
Finding Invoice Batches................................................................................................... 3-224
Finding Invoices............................................................................................................... 3-224
Reviewing Invoices.......................................................................................................... 3-226
Reviewing Invoice Batches.............................................................................................. 3-226
Reviewing Invoice Distributions ..................................................................................... 3-226
Reviewing Payment Information in the Invoice Workbench........................................... 3-227
Calculating a Supplier or Supplier Site Balance .............................................................. 3-228
Calculate Balance Owed Window Reference.............................................................3-229
Identifying Duplicate Invoices......................................................................................... 3-230
Resolving Duplicate Invoices........................................................................................... 3-231
Invoice Overview Window.............................................................................................. 3-231
Adjusting Invoices................................................................................................................ 3-232
Adjustment Charts........................................................................................................... 3-232
Invoice Adjustment Chart......................................................................................... 3-232
Invoice Distribution Adjustment Chart..................................................................... 3-261
Adjusting Invoices........................................................................................................... 3-271
Adjusting Invoice Amounts...................................................................................... 3-273
Adjusting Invoice Exchange Rates............................................................................ 3-274
Adjusting Invoice Batches................................................................................................ 3-275
Invoice and Invoice Batch Adjustment Restrictions:........................................................ 3-276
Adjusting Invoice Distributions....................................................................................... 3-277
Adding New Invoice Distributions........................................................................... 3-279
Adjusting Scheduled Payments....................................................................................... 3-281
Adjusting Prepayments................................................................................................... 3-282
Cancelling Invoices.......................................................................................................... 3-282
Deleting Invoices............................................................................................................. 3-284
Oracle Assets Integration...................................................................................................... 3-284
Oracle Projects Integration.................................................................................................... 3-286
Entering Project-Related Invoices and Expense Reports.................................................. 3-286
Adjusting Project-Related Invoices.................................................................................. 3-291
vii
Oracle Purchasing Integration.............................................................................................. 3-293
Integrated Supplier and Purchasing Information............................................................ 3-294
Purchase Order and Receipt Matching ........................................................................... 3-295
Purchase Order Shipment and Distribution Matching ....................................................3-297
Two-, Three-, and Four-way Approval............................................................................ 3-298
Amount-Based Matching of Purchase Orders..................................................................3-299
Payment on Receipt......................................................................................................... 3-299
Invoice Variances............................................................................................................. 3-300
Variance Accounts........................................................................................................... 3-301
Defining Accrual and Variance Accounts........................................................................ 3-302
Retroactive Price Update on Purchasing Documents.......................................................3-303
Closing Purchase Orders................................................................................................. 3-305
Receipt Accrual................................................................................................................ 3-306
Holding Invoices With Invalid Purchase Order Numbers............................................... 3-306
Purging Payables and Purchasing Information............................................................... 3-306
Oracle Property Manager Integration................................................................................... 3-307
Oracle Grants Accounting Integration..................................................................................3-307
Oracle Inventory Integration................................................................................................ 3-307
Invoice Window References................................................................................................. 3-307
Match to Purchase Orders Window Reference................................................................ 3-307
Match to Receipts Window Reference............................................................................. 3-311
Invoice Batches Window Reference................................................................................. 3-315
Invoices Window Reference............................................................................................. 3-317
Distributions Window Reference..................................................................................... 3-339
4
Expense Reports and Credit Cards
Expense Reports........................................................................................................................ 4-1
Entering Expense Reports.................................................................................................... 4-3
Entering Foreign Currency Expense Reports in the Expense Reports Window...................4-5
Applying Holds to Expense Reports.................................................................................... 4-6
Applying Advances Against Expense Reports ................................................................... 4-7
Modifying and Reviewing Existing Expense Reports.......................................................... 4-8
Paying Expense Reports..................................................................................................... 4-10
Expense Report Export Program........................................................................................4-11
Creating Invoices from Expense Reports entered in Payables and Internet Expenses....... 4-11
Expense Report Export Parameters....................................................................................4-13
Resolving Expense Report Export Exceptions................................................................... 4-14
Expense Reports Window Reference................................................................................. 4-15
Procurement Card Management............................................................................................. 4-21
Procurement Card Transactions Window.......................................................................... 4-23
viii
Procurement Card Transactions Validation....................................................................... 4-24
Create Procurement Card Issuer Invoice .......................................................................... 4-27
Procurement Card Transactions Verification Process........................................................ 4-28
Procurement Card Transactions Approval Process........................................................... 4-29
Credit Card Management........................................................................................................ 4-29
Credit Card Transactions Validation Program ..................................................................4-29
Credit Card Transactions Inactive Employees Process...................................................... 4-30
Create Credit Card Issuer Invoice...................................................................................... 4-31
Expenses Overdue Receipts Tracking Program................................................................. 4-32
Upload Accumulated Mileage program............................................................................ 4-32
Credit Card Historical Transactions Management Program.............................................. 4-34
Managing Credit Card Outstanding Transactions................................................................. 4-35
Credit Card Outstanding Transactions Management (Details) ......................................... 4-36
Credit Card Outstanding Transactions Summary Report..................................................4-37
Credit Card Outstanding Transactions Management (Aging)........................................... 4-38
5
Payments
Payables and Receivables Netting............................................................................................ 5-2
Netting Agreement.............................................................................................................. 5-2
Netting Batch Process.......................................................................................................... 5-5
Creating a Netting Batch............................................................................................... 5-7
Review and Modify Netting Batches - Status Selected.................................................. 5-9
Submit Netting Batch – Status Clearing........................................................................ 5-9
Submit Trading Partner Approval - Status Submitted................................................ 5-10
Settle Netting Batch - Status Clearing................................................................... 5-11
Finalize Netting Batch - Status Complete.................................................................... 5-12
Creating Single Payments....................................................................................................... 5-13
Recording Manual Payments and Wire Transfers............................................................. 5-14
Paying Invoices with Quick Payments...............................................................................5-16
Paying Invoices with Clearing Payments...........................................................................5-18
Refunds.................................................................................................................................... 5-20
Entering Refunds............................................................................................................... 5-21
Voiding Refunds................................................................................................................ 5-22
Refund Restrictions............................................................................................................ 5-23
Paying Invoices From the Invoice Workbench....................................................................... 5-23
Creating Multiple Payments................................................................................................... 5-25
Using the Home Tab................................................................................................................ 5-26
Using the Payments Dashboard.............................................................................................. 5-27
Creating Payment Process Request Templates....................................................................... 5-27
Initiating Payment Process Requests...................................................................................... 5-32
ix
Creating Payment Instructions............................................................................................... 5-40
Working with Payments.......................................................................................................... 5-45
Creating Foreign Currency Payments..................................................................................... 5-46
Foreign Currency Payment Restrictions:........................................................................... 5-50
Stopping or Voiding Foreign Currency Payments............................................................. 5-50
Creating Zero-Amount Payments........................................................................................... 5-51
Bills Payable............................................................................................................................ 5-52
Setting Up Bills Payable..................................................................................................... 5-52
Creating Bills Payable........................................................................................................ 5-54
Voiding or Stopping Bills Payable..................................................................................... 5-58
Bills Payable Restrictions................................................................................................... 5-59
Troubleshooting Bills Payables.......................................................................................... 5-59
Accounting for Bills Payable.............................................................................................. 5-60
Update Matured Bills Payable Status Program...................................................................... 5-60
Matured Bills Payable Report............................................................................................ 5-61
Bills Payable Maturity Date Report........................................................................................ 5-61
Reviewing and Adjusting Payments...................................................................................... 5-63
Payment Overview............................................................................................................ 5-63
Finding Payments Using the Payments Window.............................................................. 5-64
Reviewing Payments Using the Payments Window................................................... 5-65
Updating Payments Using the Payments Window..................................................... 5-66
Stopping Payments Using the Payments Window...................................................... 5-67
Voiding Payments Using the Payments Window........................................................5-68
Reconciling Payments with Oracle Cash Management......................................................... 5-70
Clearing Restrictions.......................................................................................................... 5-72
Payments Manager Page Reference........................................................................................ 5-72
Payments Window Reference................................................................................................. 5-76
6
Foreign Currency
Foreign Currency Transactions................................................................................................. 6-1
Cross Currency Payments for Fixed-Rate Currencies.......................................................... 6-7
Accounting for Fixed-Rate Payments.................................................................................6-10
AutoRate Program .................................................................................................................. 6-11
7
Accounting
Accounting in Payables............................................................................................................. 7-1
Payables Accounting Events................................................................................................ 7-2
Creating Accounting Entries in Payables................................................................................. 7-7
Adjusting Accounting Entries................................................................................................... 7-9
Viewing Accounting Entries..................................................................................................... 7-9
x
Transferring Accounting Entries to Your General Ledger..................................................... 7-10
Posting in Oracle General Ledger........................................................................................... 7-11
Intercompany Accounting When You Use Oracle General Ledger....................................7-11
Drilling Down to Payables from Oracle General Ledger................................................... 7-13
Reconciling Payables Activity................................................................................................ 7-14
Reconciling Payables Activity to General Ledger.............................................................. 7-15
How Payables Populates the GL Interface Table................................................................... 7-16
Transfer to General Ledger in Detail..................................................................................7-16
Transfer to General Ledger in Summary............................................................................7-17
Examples of Transfer to General Ledger and Journal Import................................................7-17
Transfer to General Ledger in Summary and Journal Import in Summary....................... 7-18
Transfer to General Ledger in Detail..................................................................................7-21
8
Resource Management
Purging Records........................................................................................................................ 8-1
Criteria for Purging Records................................................................................................ 8-2
Submitting Purges............................................................................................................... 8-5
Viewing the Status of a Purge.............................................................................................. 8-8
Aborting a Purge.................................................................................................................. 8-8
Restarting a Purge................................................................................................................ 8-9
Recreating Database Objects From Which You Purge......................................................... 8-9
Purge Reports.......................................................................................................................... 8-10
Preliminary Purged Listings.............................................................................................. 8-10
Final Purged Listings......................................................................................................... 8-12
Rejected Purged Listings.................................................................................................... 8-13
Final Purge Statistics Report.............................................................................................. 8-13
Tables Purged by the Payables Purge Process........................................................................ 8-14
9
Reports
Submitting Standard Reports, Programs, and Listings............................................................ 9-1
Request Sets......................................................................................................................... 9-2
Automatic Reports............................................................................................................... 9-3
Common Report Parameters................................................................................................ 9-4
Common Report Headings.................................................................................................. 9-6
Programs.................................................................................................................................... 9-7
Mass Additions Create Program.......................................................................................... 9-8
Concurrent Request Notification Program.......................................................................... 9-9
Unaccounted Transactions Sweep Program.......................................................................9-10
Update Income Tax Details Utility and Report ................................................................. 9-11
Workflow................................................................................................................................. 9-15
xi
Supplier Reports...................................................................................................................... 9-15
Supplier Mailing Labels .................................................................................................... 9-16
Supplier Paid Invoice History Report................................................................................ 9-18
Supplier Payment History Report...................................................................................... 9-19
Suppliers Report................................................................................................................ 9-20
Income Tax Forms and Reports............................................................................................... 9-25
1099 Reporting Overview.................................................................................................. 9-25
1096 Form.......................................................................................................................... 9-28
1099 Electronic Media ....................................................................................................... 9-30
1099 Forms ........................................................................................................................ 9-33
1099 Invoice Exceptions Report......................................................................................... 9-38
1099 Payments Report ....................................................................................................... 9-39
1099 Supplier Exceptions Report .......................................................................................9-41
Tax Information Verification Letter .................................................................................. 9-43
Withholding Tax By Invoice Report...................................................................................9-44
Withholding Tax By Payment Report................................................................................ 9-46
Withholding Tax By Supplier Report................................................................................. 9-47
Withholding Tax By Tax Authority Report ....................................................................... 9-49
Withholding Tax Certificate Listing................................................................................... 9-50
Withholding Tax Letter...................................................................................................... 9-51
Withholding Tax Report ................................................................................................... 9-52
Invoice Reports........................................................................................................................ 9-53
Batch Control Reports........................................................................................................ 9-54
Credit Memo Matching Report.......................................................................................... 9-55
Invoice Aging Report ........................................................................................................ 9-56
Invoice Approval Status Report......................................................................................... 9-58
Invoice Audit Listing by Voucher Number .......................................................................9-60
Invoice Audit Listing ........................................................................................................ 9-61
Invoice Audit Report .........................................................................................................9-62
Invoice History Report....................................................................................................... 9-63
Invoice on Hold Report...................................................................................................... 9-65
Invoice Register.................................................................................................................. 9-67
Invoice Validation Report.................................................................................................. 9-68
Matched and Modified Receipts Report............................................................................ 9-70
Matching Detail Report...................................................................................................... 9-72
Matching Hold Detail Report ............................................................................................ 9-76
Open Items Revaluation Report......................................................................................... 9-80
Prepayments Status Report ............................................................................................... 9-82
Recurring Invoices Report .................................................................................................9-85
Unrealized Gain/Loss Report............................................................................................. 9-86
Payment Reports...................................................................................................................... 9-87
xii
Cash Requirement Report ................................................................................................. 9-88
Discounts Available Report .............................................................................................. 9-90
Discounts Taken and Lost Report...................................................................................... 9-91
Payment Audit by Voucher Number Report .................................................................... 9-92
Payment Exceptions Report............................................................................................... 9-93
Payment Gain & Loss Report............................................................................................. 9-94
Payment Register............................................................................................................... 9-95
Stopped Payments Report..................................................................................................9-97
Unclaimed Property Report............................................................................................... 9-98
Void Payment Register...................................................................................................... 9-99
Receivables and Payables Netting Reports.......................................................................... 9-100
Proposed Netting Report................................................................................................. 9-100
Final Netting Report........................................................................................................ 9-102
Accounting and Reconciliation Reports............................................................................... 9-105
Accounts Payable Trial Balance Report ...........................................................................9-105
Accounts Payable Negative Supplier Balance Report...................................................... 9-106
Period Close Exceptions Report....................................................................................... 9-106
Posted Invoice Register.................................................................................................... 9-107
Posted Payment Register................................................................................................. 9-109
Unaccounted Transactions Report .................................................................................. 9-111
Key Indicators Report............................................................................................................9-113
Key Indicators Current Activity Report........................................................................... 9-115
Key Indicators Invoice Activity Report............................................................................ 9-118
Key Indicators State-of-the-System Report...................................................................... 9-120
Notices................................................................................................................................... 9-121
Invalid PO Supplier Notice.............................................................................................. 9-122
Matching Hold Agent Notice .......................................................................................... 9-123
Prepayment Remittance Notice .......................................................................................9-123
Print Invoice Notice......................................................................................................... 9-124
Receiving Hold Requestor Notice.................................................................................... 9-125
Supplier Open Balance Letter ......................................................................................... 9-126
Listings.................................................................................................................................. 9-127
Bank Account Listing ...................................................................................................... 9-127
Distribution Set Listing ................................................................................................... 9-129
Employee Listing ............................................................................................................ 9-130
Payment Terms Listing ................................................................................................... 9-131
Payables Lookups Listing ............................................................................................... 9-131
Tolerance Listing.............................................................................................................. 9-133
Country-Specific Reports...................................................................................................... 9-133
Subledger Accounting Reports............................................................................................. 9-136
xiii
10
Other Topics
AuditTrail................................................................................................................................ 10-1
Automatic Interest................................................................................................................... 10-2
Payment Batches and Quick Payments ............................................................................. 10-4
Manual Payments ............................................................................................................. 10-5
Void Payments and Stop Payments .................................................................................. 10-5
Automatic Offsets.................................................................................................................... 10-6
Automatic Offsets and Invoice Processing.........................................................................10-9
Automatic Offsets and Payment Processing.................................................................... 10-12
Withholding Tax Overview.................................................................................................. 10-15
AUTOMATIC WITHHOLDING TAX RESTRICTIONS.................................................. 10-16
Setting Up Withholding Tax............................................................................................ 10-17
Withholding Taxes........................................................................................................... 10-18
Withholding Tax Calculations......................................................................................... 10-19
Creating Withholding Tax Invoices................................................................................. 10-22
Paying a Tax Authority.................................................................................................... 10-23
Reviewing Withheld Amounts Online............................................................................. 10-23
Withholding Tax Reports................................................................................................. 10-23
Projected Withholding Tax ............................................................................................. 10-24
Projected Withholding Tax Window Reference............................................................... 10-24
View Period-To-Date Withheld Amounts ....................................................................... 10-25
View Period-To-Date Withheld Amounts Window Reference........................................ 10-26
Budgetary Control in Payables............................................................................................. 10-26
Checking Funds for Invoices............................................................................................10-27
Invoice Validation When You Use Budgetary Control ................................................... 10-28
Encumbrances in Payables.................................................................................................... 10-29
Intercompany Accounting..................................................................................................... 10-31
Petty Cash Funds................................................................................................................... 10-32
A
Navigation
Oracle Payables Character Mode Forms and Corresponding GUI Windows......................... A-1
B
Invoice, Payment, and Account Default Charts
Invoice and Invoice Batch Default Hierarchy Chart................................................................ B-1
Payment and Payment Batch Default Hierarchy Chart........................................................... B-6
Account Default Hierarchy Chart........................................................................................... B-10
xiv
C
Oracle Payables Holds
Summary of Invoice Hold Names............................................................................................ C-1
Account Holds..................................................................................................................... C-1
Funds Holds........................................................................................................................ C-2
Invoice Holds...................................................................................................................... C-4
Matching Holds................................................................................................................... C-9
Variance Holds.................................................................................................................. C-17
Miscellaneous Holds......................................................................................................... C-19
D
Text Descriptions
Introduction.............................................................................................................................. D-1
Text Description of the Payment Workbench Graphic........................................................... D-2
Text Description of the Using Sequential Numbering Graphic............................................. D-2
Text Description of the Payables Open Interface Import Graphic......................................... D-3
Text Description of the Quick Invoices Graphic..................................................................... D-3
Text Description of the Payables Open Interface Workflow Graphic.................................... D-4
Text Description of the Interest Formula................................................................................. D-4
Text Description of the Invoices on Price Hold Alert..............................................................D-4
Text Description of the Invoices on Quantity Received Hold Alert....................................... D-5
Text Description of the Invoices on Quantity Ordered Hold Alert........................................ D-5
Text Description of the Receipt Holds Alert............................................................................ D-6
Text Description of the Account Overlay Table...................................................................... D-6
Text Description of the Invoice Header Table ........................................................................ D-7
Text Description of the Invoice Charge Table ........................................................................ D-7
Text Description of the Invoice Line Table .............................................................................D-8
Text Description of the Invoice Tax Table .............................................................................. D-8
Text Description of the Payment Term Table ......................................................................... D-9
Index
xv
Send Us Your Comments
Oracle Payables User's Guide, Release 12.2
Part No. E48760-07
Oracle welcomes customers' comments and suggestions on the quality and usefulness of this document.
Your feedback is important, and helps us to best meet your needs as a user of our products. For example:
•
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•
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Are the implementation steps correct and complete?
Did you understand the context of the procedures?
Did you find any errors in the information?
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Do you need different information or graphics? If so, where, and in what format?
Are the examples correct? Do you need more examples?
If you find any errors or have any other suggestions for improvement, then please tell us your name, the
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Note: Before sending us your comments, you might like to check that you have the latest version of the
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xvii
Preface
Intended Audience
Welcome to Release 12.2 of the Oracle Payables User's Guide.
This guide assumes you have a working knowledge of the following:
•
The principles and customary practices of your business area.
•
Computer desktop application usage and terminology.
If you have never used Oracle E-Business Suite, we suggest you attend one or more of
the Oracle Applications training classes available through Oracle University.
See Related Information Sources on page xx for more Oracle E-Business Suite product
information.
Documentation Accessibility
For information about Oracle's commitment to accessibility, visit the Oracle
Accessibility Program website at
http://www.oracle.com/pls/topic/lookup?ctx=acc&id=docacc.
Access to Oracle Support
Oracle customers that have purchased support have access to electronic support
through My Oracle Support. For information, visit
http://www.oracle.com/pls/topic/lookup?ctx=acc&id=info or visit
http://www.oracle.com/pls/topic/lookup?ctx=acc&id=trsif you are hearing impaired.
Structure
1 Payables Overview
2 Suppliers
xix
3 Invoices
4 Expense Reports and Credit Cards
5 Payments
6 Foreign Currency
7 Accounting
8 Resource Management
9 Reports
10 Other Topics
A Navigation
B Invoice, Payment, and Account Default Charts
C Oracle Payables Holds
D Text Descriptions
Related Information Sources
This book is included in the Oracle E-Business Suite Documentation Library, which is
supplied in the Release 12.2 Media Pack. If this guide refers you to other Oracle
E-Business Suite documentation, use only the latest Release 12.2 versions of those
guides.
Online Documentation
All Oracle E-Business Suite documentation is available online (HTML or PDF).
•
Online Help - Online help patches (HTML) are available on My Oracle Support.
•
PDF Documentation - See the Oracle E-Business Suite Documentation Library for
current PDF documentation for your product with each release.
•
Release Notes - For information about changes in this release, including new
features, known issues, and other details, see the release notes for the relevant
product, available on My Oracle Support.
•
Oracle Electronic Technical Reference Manual - The Oracle Electronic Technical
Reference Manual (eTRM) contains database diagrams and a detailed description of
database tables, forms, reports, and programs for each Oracle E-Business Suite
product. This information helps you convert data from your existing applications
and integrate Oracle E-Business Suite data with non-Oracle applications, and write
custom reports for Oracle E-Business Suite products. The Oracle eTRM is available
on My Oracle Support.
Related Guides
You should have the following related books on hand. Depending on the requirements
of your particular installation, you may also need additional manuals or guides.
Oracle Alert User's Guide
This guide explains how to define periodic and event alerts to monitor the status of
your Oracle E-Business Suite data.
xx
Oracle Application Framework Developer's Guide
This guide contains the coding standards followed by the Oracle E-Business Suite
development staff to produce applications built with Oracle Application Framework.
This guide is available in PDF format on My Oracle Support and as online
documentation in JDeveloper 10g with Oracle Application Extension.
Oracle Application Framework Personalization Guide
This guide covers the design-time and run-time aspects of personalizing applications
built with Oracle Application Framework.
Oracle Fusion Middleware Adapter for Oracle Applications User's Guide (Oracle
Application Server Adapter for Oracle Applications User's Guide)
This guide covers the use of Adapter for Oracle Applications in developing integrations
between Oracle E-Business Suite and trading partners.
Please note that the user's guide can be found in the following documentation libraries:
•
As part of the Oracle Fusion Middleware and SOA Suite in 11g, Oracle Fusion
Middleware Adapter for Oracle Applications User's Guide is available in the Oracle
Fusion Middleware 11g Documentation Library.
•
As part of the Oracle Application Server in 10g, Oracle Application Server Adapter for
Oracle Applications User's Guide is available in the Oracle Application Server 10g
Documentation Library.
Oracle Diagnostics Framework User's Guide
This manual contains information on implementing and administering diagnostics tests
for Oracle E-Business Suite using the Oracle Diagnostics Framework.
Oracle E-Business Suite Concepts
This book is intended for all those planning to deploy Oracle E-Business Suite Release
12.2, or contemplating significant changes to a configuration. After describing the
Oracle E-Business Suite architecture and technology stack, it focuses on strategic topics,
giving a broad outline of the actions needed to achieve a particular goal, plus the
installation and configuration choices that may be available.
Oracle E-Business Suite CRM System Administrator's Guide
This manual describes how to implement the CRM Technology Foundation (JTT) and
use its System Administrator Console.
Oracle E-Business Suite Desktop Integration Framework Developer's Guide
Oracle E-Business Suite Desktop Integration Framework is a development tool that lets
you define custom integrators for use with Oracle Web Applications Desktop
Integrator. This guide describes how to define and manage integrators and all
associated supporting objects, as well as how to download and upload integrator
definitions.
Oracle E-Business Suite Developer's Guide
xxi
This guide contains the coding standards followed by the Oracle E-Business Suite
development staff. It describes the Oracle Application Object Library components
needed to implement the Oracle E-Business Suite user interface described in the Oracle
E-Business Suite User Interface Standards for Forms-Based Products. It provides information
to help you build your custom Oracle Forms Developer forms so that they integrate
with Oracle E-Business Suite. In addition, this guide has information for customizations
in features such as concurrent programs, flexfields, messages, and logging.
Oracle E-Business Suite Flexfields Guide
This guide provides flexfields planning, setup, and reference information for the Oracle
E-Business Suite implementation team, as well as for users responsible for the ongoing
maintenance of Oracle E-Business Suite product data. This guide also provides
information on creating custom reports on flexfields data.
Oracle E-Business Suite Installation Guide: Using Rapid Install
This book is intended for use by anyone who is responsible for installing or upgrading
Oracle E-Business Suite. It provides instructions for running Rapid Install either to carry
out a fresh installation of Oracle E-Business Suite Release 12.2, or as part of an upgrade
to Release 12.2.
Oracle E-Business Suite Maintenance Guide
This guide contains information about the strategies, tasks, and troubleshooting
activities that can be used to help ensure an Oracle E-Business Suite system keeps
running smoothly, together with a comprehensive description of the relevant tools and
utilities. It also describes how to patch a system, with recommendations for optimizing
typical patching operations and reducing downtime.
Oracle E-Business Suite Security Guide
This guide contains information on a comprehensive range of security-related topics,
including access control, user management, function security, data security, and
auditing. It also describes how Oracle E-Business Suite can be integrated into a single
sign-on environment.
Oracle E-Business Suite Setup Guide
This guide contains information on system configuration tasks that are carried out
either after installation or whenever there is a significant change to the system. The
activities described include defining concurrent programs and managers, enabling
Oracle Applications Manager features, and setting up printers and online help.
Oracle E-Business Suite User's Guide
This guide explains how to navigate, enter data, query, and run reports using the user
interface (UI) of Oracle E-Business Suite. This guide also includes information on setting
user profiles, as well as running and reviewing concurrent requests.
Oracle E-Business Suite User Interface Standards for Forms-Based Products
This guide contains the user interface (UI) standards followed by the Oracle E-Business
Suite development staff. It describes the UI for the Oracle E-Business Suite products and
xxii
how to apply this UI to the design of an application built by using Oracle Forms.
Oracle E-Business Suite Integrated SOA Gateway User's Guide
This guide describes the high level service enablement process, explaining how users
can browse and view the integration interface definitions and services residing in
Oracle Integration Repository.
Oracle E-Business Suite Integrated SOA Gateway Implementation Guide
This guide explains how integration repository administrators can manage and
administer the Web service activities for integration interfaces including native
packaged integration interfaces, composite services (BPEL type), and custom
integration interfaces. It also describes how to invoke Web services from Oracle
E-Business Suite by employing the Oracle Workflow Business Event System, and how
to manage Web service security, configure logs, and monitor SOAP messages.
Oracle E-Business Suite Integrated SOA Gateway Developer's Guide
This guide describes how system integration developers can perform end-to-end service
integration activities. These include orchestrating discrete Web services into meaningful
end-to-end business processes using business process execution language (BPEL), and
deploying BPEL processes at run time.
This guide also explains how to invoke Web services using the Service Invocation
Framework. This includes defining Web service invocation metadata, invoking Web
services, and testing the Web service invocation.
Oracle e-Commerce Gateway User's Guide
This guide describes the functionality of Oracle e-Commerce Gateway and the
necessary setup steps in order for Oracle E-Business Suite to conduct business with
trading partners through Electronic Data Interchange (EDI). It also describes how to run
extract programs for outbound transactions, import programs for inbound transactions,
and the relevant reports.
Oracle e-Commerce Gateway Implementation Guide
This guide describes implementation details, highlighting additional setup steps needed
for trading partners, code conversion, and Oracle E-Business Suite. It also provides
architecture guidelines for transaction interface files, troubleshooting information, and a
description of how to customize EDI transactions.
Oracle iSetup Developer's Guide
This manual describes how to build, test, and deploy Oracle iSetup Framework
interfaces.
Oracle iSetup User's Guide
This guide describes how to use Oracle iSetup to migrate data between different
instances of the Oracle E-Business Suite and generate reports. It also includes
configuration information, instance mapping, and seeded templates used for data
migration.
xxiii
Oracle Report Manager User's Guide
Oracle Report Manager is an online report distribution system that provides a secure
and centralized location to produce and manage point-in-time reports. Oracle Report
Manager users can be either report producers or report consumers. Use this guide for
information on setting up and using Oracle Report Manager.
Oracle Web Applications Desktop Integrator Implementation and Administration
Guide
Oracle Web Applications Desktop Integrator brings Oracle E-Business Suite
functionality to a spreadsheet, where familiar data entry and modeling techniques can
be used to complete Oracle E-Business Suite tasks. You can create formatted
spreadsheets on your desktop that allow you to download, view, edit, and create Oracle
E-Business Suite data, which you can then upload. This guide describes how to
implement Oracle Web Applications Desktop Integrator and how to define mappings,
layouts, style sheets, and other setup options.
Oracle Workflow Administrator's Guide
This guide explains how to complete the setup steps necessary for any product that
includes workflow-enabled processes. It also describes how to manage workflow
processes and business events using Oracle Applications Manager, how to monitor the
progress of runtime workflow processes, and how to administer notifications sent to
workflow users.
Oracle Workflow Developer's Guide
This guide explains how to define new workflow business processes and customize
existing Oracle E-Business Suite-embedded workflow processes. It also describes how
to define and customize business events and event subscriptions.
Oracle Workflow User's Guide
This guide describes how users can view and respond to workflow notifications and
monitor the progress of their workflow processes.
Oracle Workflow API Reference
This guide describes the APIs provided for developers and administrators to access
Oracle Workflow.
Oracle Workflow Client Installation Guide
This guide describes how to install the Oracle Workflow Builder and Oracle XML
Gateway Message Designer client components for Oracle E-Business Suite.
Oracle XML Gateway User's Guide
This guide describes Oracle XML Gateway functionality and each component of the
Oracle XML Gateway architecture, including Message Designer, Oracle XML Gateway
Setup, Execution Engine, Message Queues, and Oracle Transport Agent. It also explains
how to use Collaboration History that records all business transactions and messages
exchanged with trading partners.
xxiv
The integrations with Oracle Workflow Business Event System, and the
Business-to-Business transactions are also addressed in this guide.
Oracle XML Publisher Report Designer's Guide
Oracle XML Publisher is a template-based reporting solution that merges XML data
with templates in RTF or PDF format to produce a variety of outputs to meet a variety
of business needs. Using Microsoft Word or Adobe Acrobat as the design tool, you can
create pixel-perfect reports from the Oracle E-Business Suite. Use this guide to design
your report layouts.
This guide is available through the Oracle E-Business Suite online help.
Oracle XML Publisher Administration and Developer's Guide
Oracle XML Publisher is a template-based reporting solution that merges XML data
with templates in RTF or PDF format to produce a variety of outputs to meet a variety
of business needs. Outputs include: PDF, HTML, Excel, RTF, and eText (for EDI and
EFT transactions). Oracle XML Publisher can be used to generate reports based on
existing Oracle E-Business Suite report data, or you can use Oracle XML Publisher's
data extraction engine to build your own queries. Oracle XML Publisher also provides a
robust set of APIs to manage delivery of your reports via e-mail, fax, secure FTP,
printer, WebDav, and more. This guide describes how to set up and administer Oracle
XML Publisher as well as how to use the Application Programming Interface to build
custom solutions.
This guide is available through the Oracle E-Business Suite online help.
Oracle E-Business Suite Upgrade Guide: Release 12.0 and 12.1 to 12.2:
This guide provides information for DBAs and Applications Specialists who are
responsible for upgrading Release 12.0 and 12.1 Oracle E-Business Suite system
(techstack and products) to Release 12.2. In addition to information about applying the
upgrade driver, it outlines pre-upgrade steps and post-upgrade steps, and provides
descriptions of product-specific functional changes and suggestions for verifying the
upgrade and reducing downtime.
Oracle Advanced Global Intercompany System User's Guide:
This guide describes the self service application pages available for Intercompany users.
It includes information on setting up intercompany, entering intercompany
transactions, importing transactions from external sources and generating reports.
Oracle Advanced Collections User Guide:
This guide describes how to use the features of Oracle Advanced Collections to manage
your collections activities. It describes how collections agents and managers can use
Oracle Advanced Collections to identify delinquent customers, review payment history
and aging data, process payments, use strategies and dunning plans to automate the
collections process, manage work assignments, and handle later-stage delinquencies.
Oracle Advanced Collections Implementation Guide:
This guide describes how to configure Oracle Advanced Collections and its integrated
xxv
products. It contains the steps required to set up and verify your implementation of
Oracle Advanced Collections.
Oracle Assets User Guide:
This guide provides you with information on how to implement and use Oracle Assets.
Use this guide to understand the implementation steps required for application use,
including defining depreciation books, depreciation method, and asset categories. It
also contains information on setting up assets in the system, maintaining assets, retiring
and reinstating assets, depreciation, group depreciation, accounting and tax accounting,
budgeting, online inquiries, impairment processing, and Oracle Assets reporting. The
guide explains using Oracle Assets with Multiple Reporting Currencies (MRC). This
guide also includes a comprehensive list of profile options that you can set to customize
application behavior.
Oracle Bill Presentment Architecture User's Guide:
This guide provides you information on using Oracle Bill Presentment Architecture.
Consult this guide to create and customize billing templates, assign a template to a rule
and submit print requests. This guide also provides detailed information on page
references, seeded content items and template assignment attributes.
Oracle Cash Management User Guide:
This guide describes how to use Oracle Cash Management to clear your receipts, as well
as reconcile bank statements with your outstanding balances and transactions. This
manual also explains how to effectively manage and control your cash cycle. It provides
comprehensive bank reconciliation and flexible cash forecasting.
Oracle Credit Management User Guide:
This guide provides you with information on how to use Oracle Credit Management.
This guide includes implementation steps, such as how to set up credit policies, as well
as details on how to use the credit review process to derive credit recommendations
that comply with your credit policies. This guide also includes detailed information
about the public application programming interfaces (APIs) that you can use to extend
Oracle Credit Management functionality.
Oracle Customer Data Librarian User Guide:
This guide describes how to use Oracle Customer Data Librarian to establish and
maintain the quality of the Trading Community Architecture Registry, focusing on
consolidation, cleanliness, and completeness. Oracle Customer Data Librarian has all of
the features in Oracle Customers Online, and is also part of the Oracle Customer Data
Management product family.
Oracle Customer Data Librarian Implementation Guide:
This guide describes how to implement Oracle Customer Data Librarian. As part of
implementing Oracle Customer Data Librarian, you must also complete all the
implementation steps for Oracle Customers Online.
Oracle Customers Online User Guide:
xxvi
This guide describes how to use Oracle Customers Online to view, create, and maintain
your customer information. Oracle Customers Online is based on Oracle Trading
Community Architecture data model and functionality, and is also part of the Oracle
Customer Data Management product family.
Oracle Customers Online Implementation Guide:
This guide describes how to implement Oracle Customers Online.
Oracle E-Business Suite Multiple Organizations Implementation Guide:
This guide describes the multiple organizations concepts in Oracle E-Business Suite. It
describes in detail on setting up and working effectively with multiple organizations in
Oracle E-Business Suite.
Oracle E-Business Tax User Guide:
This guide describes the entire process of setting up and maintaining tax configuration
data, as well as applying tax data to the transaction line. It describes the entire
regime-to-rate setup flow of tax regimes, taxes, statuses, rates, recovery rates, tax
jurisdictions, and tax rules. It also describes setting up and maintaining tax reporting
codes, fiscal classifications, tax profiles, tax registrations, configuration options, and
third party service provider subscriptions. You also use this manual to maintain
migrated tax data for use with E-Business Tax.
Oracle E-Business Tax Implementation Guide:
This guide provides a conceptual overview of the E-Business Tax tax engine, and
describes the prerequisite implementation steps to complete in other applications in
order to set up and use E-Business Tax. The guide also includes extensive examples of
setting up country-specific tax requirements.
Oracle E-Business Tax Reporting Guide:
This guide explains how to run all tax reports that make use of the E-Business Tax data
extract. This includes the Tax Reporting Ledger and other core tax reports,
country-specific VAT reports, and Latin Tax Engine reports.
Oracle E-Business Tax: Vertex Q-Series and Taxware Sales/Use Tax System
Implementation Guide
This guide explains how to setup and use the services of third party tax service
providers for US Sales and Use tax. The tax service providers are Vertex Q-Series and
Taxware Sales/Use Tax System. When implemented, the Oracle E-Business Tax service
subscription calls one of these tax service providers to return a tax rate or amount
whenever US Sales and Use tax is calculated by the Oracle E-Business Tax tax engine.
This guide provides setup steps, information about day-to-day business processes, and
a technical reference section.
Oracle Embedded Data Warehouse User Guide:
This guide describes how to use Embedded Data Warehouse reports and workbooks to
analyze performance.
Oracle Embedded Data Warehouse Implementation Guide:
xxvii
This guide describes how to implement Embedded Data Warehouse, including how to
set up the intelligence areas.
Oracle Embedded Data Warehouse Install Guide:
This guide describes how to install Embedded Data Warehouse, including how to create
database links and create the end user layer (EUL).
Oracle Financial Accounting Hub Implementation Guide:
This guide provides detailed implementation information that leverages the features of
Oracle Subledger Accounting to generate accounting.
Oracle Financial Services Reference Guide:
This guide provides reference material for Oracle Financial Services applications in
Release 12, such as Oracle Transfer Pricing, and includes technical details about
application use as well as general concepts, equations, and calculations.
Oracle Financial Services Implementation Guide:
This guide describes how to set up Oracle Financial Services applications in Release 12.
Oracle Financial Services Reporting Administration Guide:
This guide describes the reporting architecture of Oracle Financial Services applications
in Release 12, and provides information on how to view these reports.
Oracle Financials and Oracle Procurement Functional Upgrade Guide: Release 11i to
Release 12:
This guides provides detailed information about the functional impacts of upgrading
Oracle Financials and Oracle Procurement products from Release 11i to Release 12. This
guide supplements the Oracle E-Business Suite Upgrade Guide: Release 12.0 and 12.1 to 12.2
.
Oracle Financials Concepts Guide:
This guide describes the fundamental concepts of Oracle Financials. The guide is
intended to introduce readers to the concepts used in the applications, and help them
compare their real world business, organization, and processes to those used in the
applications.
Oracle Financials Country-Specific Installation Supplement:
This guide provides general country information, such as responsibilities and report
security groups, as well as any post-install steps required by some countries.
Oracle Financials for the Americas User Guide:
This guide describes functionality developed to meet specific business practices in
countries belonging to the Americas region. Consult this user guide along with your
financial product user guides to effectively use Oracle Financials in your country.
Oracle Financials for Asia/Pacific User Guide:
This guide describes functionality developed to meet specific business practices in
xxviii
countries belonging to the Asia/Pacific region. Consult this user guide along with your
financial product user guides to effectively use Oracle Financials in your country.
Oracle Financials for Europe User Guide:
This guide describes functionality developed to meet specific business practices in
countries belonging to the European region. Consult this user guide along with your
financial product user guides to effectively use Oracle Financials in your country.
Oracle Financials for India User's Guide:
This guide provides information on how to use Oracle Financials for India. Use this
guide to learn how to create and maintain setup related to India taxes, defaulting and
calculation of taxes on transactions. This guide also includes information about
accounting and reporting of taxes related to India.
Oracle Financials for India Implementation Guide:
This guide provides information on how to implement Oracle Financials for India. Use
this guide to understand the implementation steps required for application use,
including how to set up taxes, tax defaulting hierarchies, set up different tax regimes,
organization and transactions.
Oracle Financials Glossary:
The glossary includes definitions of common terms that are shared by all Oracle
Financials products. In some cases, there may be different definitions of the same term
for different Financials products. If you are unsure of the meaning of a term you see in
an Oracle Financials guide, please refer to the glossary for clarification. You can find the
glossary in the online help or in the Oracle Financials Implementation Guide.
Oracle Financials Implementation Guide:
This guide provides information on how to implement the Oracle Financials E-Business
Suite. It guides you through setting up your organizations, including legal entities, and
their accounting, using the Accounting Setup Manager. It covers intercompany
accounting and sequencing of accounting entries, and it provides examples.
Oracle Financials RXi Reports Administration Tool User Guide:
This guide describes how to use the RXi reports administration tool to design the
content and layout of RXi reports. RXi reports let you order, edit, and present report
information to better meet your company's reporting needs.
Oracle General Ledger Implementation Guide:
This guide provides information on how to implement Oracle General Ledger. Use this
guide to understand the implementation steps required for application use, including
how to set up Accounting Flexfields, Accounts, and Calendars.
Oracle General Ledger Reference Guide
This guide provides detailed information about setting up General Ledger Profile
Options and Applications Desktop Integrator (ADI) Profile Options.
Oracle General Ledger User's Guide:
xxix
This guide provides information on how to use Oracle General Ledger. Use this guide
to learn how to create and maintain ledgers, ledger currencies, budgets, and journal
entries. This guide also includes information about running financial reports.
Oracle Incentive Compensation Implementation Guide:
This guide provides Compensation Administrators with guidance during
implementation of Oracle Incentive Compensation. The procedures are presented in the
recommended order that they should be performed for successful implementation.
Appendixes are included that describe system profiles, lookups, and other useful
information.
Oracle Incentive Compensation User Guide:
This guide helps Compensation Managers, Compensation Analysts, and Plan
administrators to manage Oracle Incentive Compensation on a day-to-day basis. Learn
how to create and manage rules hierarchies, create compensation plans, collect
transactions, calculate and pay commission, and use Sales Credit Allocation.
Oracle Internet Expenses Implementation and Administration Guide:
This book explains in detail how to configure Oracle Internet Expenses and describes its
integration with other applications in the E-Business Suite, such as Oracle Payables and
Oracle Projects. Use this guide to understand the implementation steps required for
application use, including how to set up policy and rate schedules, credit card policies,
audit automation, and the expenses spreadsheet. This guide also includes detailed
information about the client extensions that you can use to extend Oracle Internet
Expenses functionality.
Oracle iAssets User Guide
This guide provides information on how to implement and use Oracle iAssets. Use this
guide to understand the implementation steps required for application use, including
setting up Oracle iAssets rules and related product setup steps. It explains how to
define approval rules to facilitate the approval process. It also includes information on
using the Oracle iAssets user interface to search for assets, create self-service transfer
requests and view notifications.
Oracle iProcurement Implementation and Administration Guide:
This manual describes how to set up and administer Oracle iProcurement. Oracle
iProcurement enables employees to requisition items through a self–service, Web
interface.
Oracle iReceivables Implementation Guide:
This guide provides information on how to implement Oracle iReceivables. Use this
guide to understand the implementation steps required for application use, including
how to set up and configure iReceivables, and how to set up the Credit Memo Request
workflow. There is also a chapter that provides an overview of major features available
in iReceivables.
Oracle iSupplier Portal User Guide:
xxx
This guide contains information on how to use Oracle iSupplier Portal to enable secure
transactions between buyers and suppliers using the Internet. Using Oracle iSupplier
Portal, suppliers can monitor and respond to events in the procure-to-pay cycle.
Oracle iSupplier Portal Implementation Guide:
This guide contains information on how to implement Oracle iSupplier Portal and
enable secure transactions between buyers and suppliers using the Internet.
Oracle Loans User Guide:
This guide describes how to set up and use Oracle Loans. It includes information on
how to create, approve, fund, amortize, bill, and service extended repayment plan and
direct loans.
Oracle Partner Management Implementation and Administration Guide:
This guide helps Vendor administrators to set up and maintain relationships and
programs in the Partner Management application. The main areas include setting up
the partner and channel manager dashboards, partner setup, partner programs and
enrollment, opportunity and referral management, deal registration, special pricing
management, and partner fund management.
Oracle Partner Management Vendor User Guide:
This guide assists vendor users in using Partner Management on a daily basis. This
includes interaction with the partner and channel manager dashboards, working with
partners and partner programs, managing opportunities and referrals, registering deals,
and working with special pricing and partner funds.
Oracle Payables User's Guide:
This guide describes how to use Oracle Payables to create invoices and make payments.
In addition, it describes how to enter and manage suppliers, import invoices using the
Payables open interface, manage purchase order and receipt matching, apply holds to
invoices, and validate invoices. It contains information on managing expense reporting,
procurement cards, and credit cards. This guide also explains the accounting for
Payables transactions.
Oracle Payables Implementation Guide:
This guide provides you with information on how to implement Oracle Payables. Use
this guide to understand the implementation steps required for how to set up suppliers,
payments, accounting, and tax.
Oracle Payables Reference Guide:
This guide provides you with detailed information about the Oracle Payables open
interfaces, such as the Invoice open interface, which lets you import invoices. It also
includes reference information on purchase order matching and purging purchasing
information.
Oracle Payments Implementation Guide:
This guide describes how Oracle Payments, as the central payment engine for the
xxxi
Oracle E-Business Suite, processes transactions, such as invoice payments from Oracle
Payables, bank account transfers from Oracle Cash Management, and settlements
against credit cards and bank accounts from Oracle Receivables. This guide also
describes how Oracle Payments is integrated with financial institutions and payment
systems for receipt and payment processing, known as funds capture and funds
disbursement, respectively. Additionally, the guide explains to the implementer how to
plan the implementation of Oracle Payments, how to configure it, set it up, test
transactions, and how use it with external payment systems.
Oracle Payments User's Guide:
This guide describes how Oracle Payments, as the central payment engine for the
Oracle E-Business Suite, processes transactions, such as invoice payments from Oracle
Payables, bank account transfers from Oracle Cash Management, and settlements
against credit cards and bank accounts from Oracle Receivables. This guide also
describes to the Payment Administrator how to monitor the funds capture and funds
disbursement processes, as well as how to remedy any errors that may arise.
Oracle Procurement Buyer's Guide to Punchout and Transparent Punchout:
This guide contains necessary information for customers implementing remote catalog
content on a supplier's Web site or on Oracle Exchange.
Oracle Procurement Contracts Online Help:
This guide is provided as online help only from the Oracle Procurement Contracts
application and includes information about creating and managing your contract terms
library.
Oracle Procurement Contracts Implementation and Administration Guide:
This guide describes how to set up and administer Oracle Procurement Contracts.
Oracle Procurement Contracts enables employees to author and maintain complex
contracts through a self–service, Web interface.
Oracle Public Sector Financials User Guide:
This guide describes how to set up and administer Oracle Public Sector Advanced
Features. It describes Encumbrance Reconciliation Reports, GASB 34/35 Asset
Accounting, and Funds Available Enhancements.
Oracle Purchasing User's Guide:
This guide describes how to create and approve purchasing documents, including
requisitions, different types of purchase orders, quotations, RFQs, and receipts. This
guide also describes how to manage your supply base through agreements, sourcing
rules, and approved supplier lists. In addition, this guide explains how you can
automatically create purchasing documents based on business rules through integration
with Oracle Workflow technology, which automates many of the key procurement
processes.
Oracle Receivables User Guide:
This guide provides you with information on how to use Oracle Receivables. Use this
xxxii
guide to learn how to create and maintain transactions and bills receivable, enter and
apply receipts, enter customer information, and manage revenue. This guide also
includes information about accounting in Receivables. Use the Standard Navigation
Paths appendix to find out how to access each Receivables window.
Oracle Receivables Implementation Guide:
This guide provides you with information on how to implement Oracle Receivables.
Use this guide to understand the implementation steps required for application use,
including how to set up customers, transactions, receipts, accounting, tax, and
collections. This guide also includes a comprehensive list of profile options that you can
set to customize application behavior.
Oracle Receivables Reference Guide:
This guide provides you with detailed information about all public application
programming interfaces (APIs) that you can use to extend Oracle Receivables
functionality. This guide also describes the Oracle Receivables open interfaces, such as
AutoLockbox which lets you create and apply receipts and AutoInvoice which you can
use to import and validate transactions from other systems. Archiving and purging
Receivables data is also discussed in this guide.
Oracle Sourcing Implementation and Administration Guide:
This guide contains information on how to implement Oracle Sourcing to enable
participants from multiple organizations to exchange information, conduct bid and
auction processes, and create and implement buying agreements. This allows
professional buyers, business experts, and suppliers to participate in a more agile and
accurate sourcing process.
Oracle Subledger Accounting Implementation Guide:
This guide provides setup information for Oracle Subledger Accounting features,
including the Accounting Methods Builder. You can use the Accounting Methods
Builder to create and modify the setup for subledger journal lines and application
accounting definitions for Oracle subledger applications. This guide also discusses the
reports available in Oracle Subledger Accounting and describes how to inquire on
subledger journal entries.
Oracle Supplier Scheduling User's Guide:
This guide describes how you can use Oracle Supplier Scheduling to calculate and
maintain planning and shipping schedules and communicate them to your suppliers.
Oracle iProcurement Implementation and Administration Guide:
This manual describes how to set up and administer Oracle iProcurement. Oracle
iProcurement enables employees to requisition items through a self–service, Web
interface.
Oracle Procurement Contracts Implementation and Administration Guide:
This manual describes how to set up and administer Oracle Procurement Contracts.
Oracle Procurement Contracts enables employees to author and maintain complex
xxxiii
contracts through a self–service, Web interface.
Oracle Trading Community Architecture User Guide:
This guide describes the Oracle Trading Community Architecture (TCA) and how to
use features from the Trading Community Manager responsibility to create, update,
enrich, and cleanse the data in the TCA Registry. It also describes how to use Resource
Manager to define and manage resources.
Oracle Trading Community Architecture Administration Guide:
This guide describes how to administer and implement Oracle Trading Community
Architecture (TCA). You set up, control, and manage functionality that affects data in
the TCA Registry. It also describes how to set up and use Resource Manager to manage
resources.
Oracle Trading Community Architecture Reference Guide:
This guide contains seeded relationship types, seeded Data Quality Management data,
D&B data elements, Bulk Import interface table fields and validations, and a
comprehensive glossary. This guide supplements the documentation for Oracle Trading
Community Architecture and all products in the Oracle Customer Data Management
family.
Oracle Trading Community Architecture Technical Implementation Guide:
This guide explains how to use the public Oracle Trading Community Architecture
application programming interfaces (APIs) and develop callouts based on Oracle
Workflow Business Events System (BES). For each API, this guide provides a
description of the API, the PL/SQL procedure, and the Java method, as well as a table of
the parameter descriptions and validations. For each BES callout, this guide provides
the name of the logical entity, its description, and the ID parameter name. Also
included are setup instructions and sample code.
Oracle U.S. Federal Financials User's Guide:
This guide describes the common concepts for an integrated financial management
solution for federal agencies to comply with the requirements of the U.S. Federal
government. It describes the product architecture and provides information on Budget
Execution, Prompt Payment, Treasury payments, Third party payments, Interagency
transactions, Receivables management, Federal reports, CCR Integration, and Year End
Closing.
Oracle U.S. Federal Financials Implementation Guide:
This guide describes the common concepts for an integrated financial management
solution for federal agencies. It includes a consolidated setup checklist by page and
provides detailed information on how to set up, maintain, and troubleshoot the Federal
Financial application for the following functional areas: Sub Ledger Accounting, Budget
Execution, Prompt Payment, Treasury payments, Third party payments, Interagency
transactions, Receivables management, Federal reports, CCR Integration, and Year End
Closing.
xxxiv
Oracle Projects Documentation Set
Oracle Projects Implementation Guide:
Use this guide to implement Oracle Projects. This guide also includes appendixes
covering function security, menus and responsibilities, and profile options.
Oracle Project Costing User Guide:
Use this guide to learn detailed information about Oracle Project Costing. Oracle Project
Costing provides the tools for processing project expenditures, including calculating
their cost to each project and determining the General Ledger accounts to which the
costs are posted.
Oracle Project Billing User Guide:
This guide shows you how to use Oracle Project Billing to define revenue and invoicing
rules for your projects, generate revenue, create invoices, and integrate with other
Oracle Applications to process revenue and invoices, process client invoicing, and
measure the profitability of your contract projects.
Oracle Project Management User Guide:
This guide shows you how to use Oracle Project Management to manage projects
through their lifecycles - from planning, through execution, to completion.
Oracle Project Portfolio Analysis User Guide:
This guide contains the information you need to understand and use Oracle Project
Portfolio Analysis. It includes information about project portfolios, planning cycles, and
metrics for ranking and selecting projects for a project portfolio.
Oracle Project Resource Management User Guide:
This guide provides you with information on how to use Oracle Project Resource
Management. It includes information about staffing, scheduling, and reporting on
project resources.
Oracle Grants Accounting Documentation
Oracle Grants Accounting User Guide:
This guide provides you with information about how to implement and use Oracle
Grants Accounting. Use this guide to understand the implementation steps required for
application use, including defining award types, award templates, allowed cost
schedules, and burden set up. This guide also explains how to use Oracle Grants
Accounting to track grants and funded projects from inception to final reporting.
Oracle Property Manager Documentation
Oracle Property Manager User Guide:
Use this guide to learn how to use Oracle Property Manager to create and administer
properties, space assignments, and lease agreements.
Oracle Property Manager Implementation Guide:
xxxv
Use this guide to learn how to implement Oracle Property Manager and perform basic
setup steps such as setting system options and creating lookup codes, contacts,
milestones, grouping rules, term templates, and a location hierarchy. This guide also
describes the setup steps that you must complete in other Oracle applications before
you can use Oracle Property Manager.
Integration Repository
The Oracle Integration Repository is a compilation of information about the service
endpoints exposed by the Oracle E-Business Suite of applications. It provides a
complete catalog of Oracle E-Business Suite's business service interfaces. The tool lets
users easily discover and deploy the appropriate business service interface for
integration with any system, application, or business partner.
The Oracle Integration Repository is shipped as part of the Oracle E-Business Suite. As
your instance is patched, the repository is automatically updated with content
appropriate for the precise revisions of interfaces in your environment.
Do Not Use Database Tools to Modify Oracle E-Business Suite Data
Oracle STRONGLY RECOMMENDS that you never use SQL*Plus, Oracle Data
Browser, database triggers, or any other tool to modify Oracle E-Business Suite data
unless otherwise instructed.
Oracle provides powerful tools you can use to create, store, change, retrieve, and
maintain information in an Oracle database. But if you use Oracle tools such as
SQL*Plus to modify Oracle E-Business Suite data, you risk destroying the integrity of
your data and you lose the ability to audit changes to your data.
Because Oracle E-Business Suite tables are interrelated, any change you make using an
Oracle E-Business Suite form can update many tables at once. But when you modify
Oracle E-Business Suite data using anything other than Oracle E-Business Suite, you
may change a row in one table without making corresponding changes in related tables.
If your tables get out of synchronization with each other, you risk retrieving erroneous
information and you risk unpredictable results throughout Oracle E-Business Suite.
When you use Oracle E-Business Suite to modify your data, Oracle E-Business Suite
automatically checks that your changes are valid. Oracle E-Business Suite also keeps
track of who changes information. If you enter information into database tables using
database tools, you may store invalid information. You also lose the ability to track who
has changed your information because SQL*Plus and other database tools do not keep a
record of changes.
xxxvi
1
Payables Overview
This chapter covers the following topics:
•
Payables Overview
•
Multiple Organization Access Control
Payables Overview
Oracle Payables has a highly responsive, multi-window graphical user interface (GUI)
with full point-and-click capability. You can use your mouse or keyboard to operate
graphical controls such as pull-down menus, buttons, poplists, check boxes, or tabbed
regions.
You can read more about the basic characteristics of this GUI user interface in the Oracle
E-Business Suite User Guide.
This discussion includes the following topics:
•
Payables Workbenches, page 1-1
•
The Invoice Workbench, page 1-2
•
The Payment Workbench, page 1-3
Payables Workbenches
Payables includes two fully integrated workbenches, the Invoice Workbench and the
Payment Manager. You can perform most of your transactions in Payables using the
Invoice Workbench or the Payment Manager. You enter, adjust, and review invoices
and invoice batches in the Invoice Workbench. You create, adjust, and review payments
and payment batches in the Payments Manager.
You may be restricted in the windows, buttons, and actions you can access based on the
Function Security implemented by your System Administrator. See: Function Security
in Payables, Oracle Payables Implementation Guide.
Payables Overview 1-1
Use the Invoice Overview and the Payment Manager windows to review information.
Some Payables windows have a customizable folder that allows you to move, resize,
and hide fields in the window. See: Customizing the Presentation of Data in a Folder,
Oracle Applications User Guide.
Payables workbenches let you find critical information in a flexible way. For example,
in the Invoice Workbench, you can find an invoice based on supplier, purchase order
number, status, or other criteria. Then, for that invoice, you can review distributions,
scheduled payments, payments, holds, and other detailed invoice information. You can
also perform matching, submit invoice validation, apply and release holds, or initiate
payment. You can query an invoice then perform several transactions without having to
find the invoice again. You can also keep multiple windows open at one time.
In Payables, the Invoice Workbench, Payments window, and Payment Batches window
each has an associated Actions window you can use to perform available actions on one
or more records.
You can use Find windows to query records by field, record status, or by a range of
values. You can access most Find windows from the Invoice Workbench's View menu,
or directly in the Payment Manager. For example, from the Invoices window you can
use the Find Invoices window to query all validated invoices with a range of invoice
dates.
Payables opens other Find windows automatically when you are navigating to a
window, so it can display in the window records that match criteria you specify. For
example, when you select a credit memo in the Invoice Workbench and choose the
Match button, Payables automatically opens the Find Invoices for Matching window.
You enter criteria in the window, and choose the Find button. Payables then opens the
Match to Invoices window and displays invoices that match your criteria.
To see how to navigate to or open a window in Payables, see: Navigation, page A-1.
The Invoice Workbench
The Invoice Workbench is a group of windows that you use to enter, adjust, and review
your invoices and invoice batches. The following is the window hierarchy in the Invoice
Workbench:
•
Invoice Batches
•
•
Find Invoice Batches
Invoices
•
Invoice Actions
•
•
Apply/Unapply Prepayments
Calculate Tax
1-2 Oracle Payables User's Guide
•
Tax Details
•
Tax Lines Summary
•
•
•
Allocate
Detail Tax Lines
Corrections
•
Find Documents for Correction
•
Quick Match
•
Match
•
•
Find Purchase Order for Matching
•
Find Receipt for Matching
All Distributions
•
•
Distributions
Invoice Overview
The Payments Manager
The Payments Manager module enables you to complete a pay run from start to finish
by seamlessly navigating between Oracle Payables and Oracle Payments. A pay run is
the process by which a group of invoices is selected and processed for payment.
The Payments Manager in Oracle Payables is a module comprised of the following
components:
•
Payments Dashboard
•
Templates
•
Payment Process Requests
•
Payment Instructions
•
Payments
The Payments Manager enables you to perform the following payment actions:
•
Create payment process request templates by specifying invoice selection criteria.
Payables Overview 1-3
•
Use templates to select invoices to pay that meet the payment criteria.
•
Schedule pay runs.
•
Automatically submit invoices via payment process requests to Oracle Payments
for processing and payment.
•
Initiate payment instructions.
•
View the status of payments.
•
Void or record stop payments.
Multiple Organization Access Control
Oracle Payables leverages Oracle Applications' multiple organization access control
feature. Multiple organization access control(MOAC) lets you define multiple
organizations and the relationships among them in a single installation of Oracle
Applications. These organizations can be ledgers, business groups, legal entities,
operating units, or inventory organizations.
Setting Up Multiple Organization Access Control
You can assign operating units to a security profile and then assign the security profile
to responsibilities or users. If multiple operating units are assigned to the security
profile, then a user can access data for multiple operating units from a single
responsibility. This ensures that users can only access, process, and report on data for
the operating units they have access to. You can limit users to information relevant to
their organization. For example, you can limit accounts payables clerks to enter invoices
associated exclusively with their operating unit.
Your responsibility determines which operating units you can access when you use
Oracle Applications. If you only want a responsibility to access only one operating unit,
then set the MO: Operating Unit profile option. If you want a responsibility to access
multiple operating units, then set the MO: Security Profile option and assign multiple
operating units to it. You can also set the MO: Default Operating Unit profile option to
specify a default operating unit that will default in transaction entry pages.
You can run your reports at the ledger level, or operating unit level. If you run reports
at the ledger level, then the report will submit data for all operating units assigned to
that ledger that you have access to as defined by the MO: Security Profile option.
See: Using the Multiple Organization Support Feature, Oracle Payables Implementation
Guide, and the Oracle E-Business Suite Multiple Organizations Implementation Guide
1-4 Oracle Payables User's Guide
Payables Features
The following Payables features leverage multiple organization access control:
•
Supplier sites (supplier sites are at the operating unit level)
•
Withholding tax certificates and exceptions
•
Financial options
•
Payables options
•
Reporting entities
•
Expense report templates
•
Signing limits
•
Procurement and credit cards:
•
Card programs
•
Card profiles
•
GL account sets
•
Code sets
For more information on these features, see the appropriate section in this guide.
Document Sequencing
You can set up document sequencing for multiple organization access control. Sequence
assignments are controlled at the ledger level. See: Document Sequencing, Oracle
Payables Implementation Guide, and Defining a Document Sequence, Oracle Applications
System Administrator's Guide - Configuration
Payables Reporting
All standard Payables reports can be run for an operating unit. The following Payables
reports can also be run for a ledger or ledger set to report on balances across all
operating units assigned to a given ledger or ledger set:
•
Payables Posted Invoice Register, page 9-107
•
Payables Posted Payment Register, page 9-109
•
Accounts Payable Trial Balance, page 9-105
Payables Overview 1-5
2
Suppliers
This chapter covers the following topics:
•
Suppliers
•
Suppliers Pages Reference
•
Reviewing and Adjusting Suppliers
•
Identifying Duplicate Suppliers
•
Supplier Merge Program
•
Employee Information
•
Employee Update Program
•
Supplier Audit Report
•
Supplier Merge Report
•
Purchase Order Header Updates Report
Suppliers
Set up and maintain suppliers in the Suppliers pages to record information about
individuals and companies from whom you purchase goods and services. You can also
enter employees whom you reimburse for expense reports. When you enter a supplier
that does business from multiple locations, you store supplier information only once,
and enter supplier addresses for each location. You can designate supplier addresses as
payment, purchasing, RFQ only, or procurement card locations. For example, for a
single supplier, you can buy from several different addresses and send payments to
several different addresses. Most supplier information automatically defaults to all
supplier sites to facilitate supplier site entry. However, you can override these defaults
and have unique information for each site.
Note: Suppliers can have can have multiple addresses and each address
can be used by an operating unit through a supplier site record.
Suppliers 2-1
The system uses information you enter for suppliers and supplier sites to enter default
values when you later enter transactions for a supplier site. Most information you enter
in the Suppliers pages is used only to enter defaults in the Supplier Sites regions. When
the system enters that information in a later transaction, it only uses supplier site
information as a default, even if the supplier site value is null and the supplier has a
value. If you update information at the supplier level, existing supplier sites are not
updated.
When you enter a supplier, you can also record information for your own reference,
such as names of contacts or the customer number your supplier has assigned to you.
This chapter includes the following topics:
•
How Your Oracle Product Uses Supplier Information, page 2-3
•
Multiple Organization Support, page 2-5
•
Controlling Supplier Information Entry, page 2-5
•
Setting Up Supplier Tax Information, page 2-6
•
Suppliers Subject to Income Tax Requirements, page 2-7
•
Setting Up Supplier Hierarchies, page 2-8
•
Entering Employees as Suppliers, page 2-8
•
Factoring Arrangements, page 2-9
•
Entering Suppliers Manually, page 2-11
•
Suppliers Pages Reference, page 2-13
•
Finding Suppliers, page 2-36
•
Reviewing Suppliers, page 2-37
•
Adjusting Suppliers, page 2-38
•
Adding a New Supplier Site, page 2-38
•
Updating a Supplier's Tax Status, page 2-39
•
Identifying Duplicate Suppliers, page 2-39
•
Supplier Merge Program, page 2-40
•
Supplier Audit Report, page 2-46
2-2 Oracle Payables User's Guide
•
Supplier Merge Report, page 2-47
•
Purchase Order Header Update Report, page 2-48
How Oracle Stores Supplier and other Trading Partner Details
The Oracle eBusiness Suite has a single repository called the Trading Community
Architecture (TCA) to store information about your trading partners. TCA provides a
single common definition that can be used to identify customers, suppliers, and
organizations that provide you with goods or services, and are in turn, a customer of
your own products or services. The TCA repository stores the key elements that define
an organization, identity, business locations, and key contacts, so that different Oracle
products use a common trading partner definition.
A range of information that can viewed through the Suppliers pages is also available
through the Customers Online pages.
How Your Oracle Product Uses Supplier Information
Oracle's eBusiness Suite maintains a single definition for supplier records that can be
used by a range of applications within the suite. Five Oracle financial applications use
the Suppliers pages: Payables, Purchasing, Assets, Property Manager, and iSupplier
Portal. If you use more than one of these products, supplier information is shared with
the other product(s). In addition to the supplier name and address, Payables and
Purchasing require you to enter additional information about the supplier. Assets and
Property Manager require no additional information. However, for any product, you
can record a variety of other supplier information in the many optional fields.
iSupplier Portal allows deploying organization to grant suppliers access to order,
receipt, invoice, and payment details stored in Purchasing and Payables products for
that supplier. In addition, you can grant the supplier the privilege to view their profile
information and provide online updates that need to be reviewed before they can be
used to update the master supplier profile.
Oracle Payables
Before entering invoices for a supplier, you must enter at least one pay site for the
supplier.
The following examples show how entering additional supplier information in the
Suppliers pages can help you manage your Payables system:
•
Record bank account information that Payables uses to generate an electronic
payment for the supplier site.
•
Assign a default Pay Group or Payment Priority to a supplier or supplier site so that
Payables defaults that Pay Group or Payment Priority to all invoices you enter for
that supplier site. You can initiate a payment batch for a specific Pay Group or a
Suppliers 2-3
range of Payment Priorities.
•
Select the Hold Unmatched Invoices option for a supplier or supplier site to have
Payables automatically apply a hold to any invoice you enter that is not matched to
a purchase order or receipt.
•
Create a supplier and link it to an employee so you can pay the employee's expense
reports.
Oracle Purchasing
Before entering purchase orders for a supplier, you must enter at least one purchasing
site for the supplier.
The following are examples of how entering additional supplier information can help
you manage your Purchasing system:
•
Purchasing uses supplier and supplier site information to enter default values, such
as Freight Terms and Shipment Method for all of the supplier's purchase orders.
See: Entering Purchase Order Headers, Oracle Purchasing User's Guide.
•
Define receiving control options to ensure that products you receive are within the
tolerances you specify and the guidelines you choose. For example, you can specify
a Quantity Received Tolerance, and a range of days in which you will allow receipt
of shipments. See: Define Receiving Options, Oracle Purchasing User's Guide.
Oracle Assets
Oracle Assets uses only the Supplier Name, Supplier Number, and Inactive On date.
Record additional supplier information for your own reference.
Oracle Property Manager
Payables imports lease invoices from Oracle Property Manager. You must enter at least
one pay site for a supplier before importing invoices from Oracle Property Manager.
Oracle iSupplier Portal
Oracle iSupplier Portal allows deploying organization to grant suppliers access to
order, receipt, and payment details stored in purchasing and payables products for that
supplier. The supplier can provide order acknowledgements and then confirm shipping
details using an Advanced Shipping Notice. Following receipt, the supplier can use the
PO details stored in the system to create invoices, greatly reducing any clerical errors.
You can grant suppliers the privilege to view their profile information and provide
online updates. These updates need to be reviewed before they can be used to update
the master supplier record.
2-4 Oracle Payables User's Guide
Multiple Organization Support
If you use the Multiple Organization Support feature, you cannot enter the following
fields at the Supplier level: Liability account, Prepayment account, Distribution Set,
Invoice Tax Code, and Future Dated Payment account. You can enter these fields only
at the supplier site level. See: Oracle E-Business Suite Multiple Organizations
Implementation Guide.
Controlling Supplier Information Entry
Access Security
The Supplier pages provide you with complete access to all of the supplier attributes,
allowing you to do things, such as create new suppliers, update location information for
the supplier, and add new payment bank account information. Function security can be
used to enable or disable user access to each of the Supplier pages to allow you to
control which elements of the supplier attributes can be accessed or updated by each
user. This allows you to segregate the duties that users can perform by setting up a
range of responsibilities that provide access to different sets of the Supplier pages which
assist you in conforming to separation of duties requirements. For example, by default,
you could prevent most users from accessing the banking details for suppliers, and
grant a limited set of users a responsibility that includes access to a supplier's banking
information.
You can either grant full update access to your users or grant them read-only access to
the Supplier pages. You can also grant access to users to view all supplier records or
only to view Standard Suppliers or Employee-Suppliers. This allows you to restrict the
users that can access employee-supplier records that contain sensitive personal
information for the employee that is used to pay their expenses.
Supplier numbering
A single global setting is used to control the supplier numbering method for the entire
eBusiness Suite instance. You can set this to Manual so that you can assign your own
supplier numbers when you enter suppliers, or, if you enable the Automatic Supplier
Number Entry Payables System Setup option, the system automatically assigns supplier
numbers for you.
Controlling duplicate supplier entry
You cannot enter a new supplier with exactly the same name as an existing supplier.
However, if you do get duplicate suppliers in your system, you can merge them. For
example, you may inadvertently enter both Orion Corporation and Orion, which the
system accepts as two separate suppliers. You can merge both into a single supplier
record. When you submit Supplier Merge, you can choose to update the associated
Suppliers 2-5
purchase orders and invoices to refer to the merged supplier. See also: Supplier Merge
Program, page 2-40.
Tip: Use a naming convention that minimizes risk of separate entries of
the same supplier under different names. For example, if you
consistently spell the full name of a company, do not enter both Orion
Corp. and Orion Corporation.
Financials, Payables, and Payables System Setup options - defaults to suppliers
You can define Financials, Payables, and Payables System Setup options to speed both
supplier and invoice entry. The system defaults the values you enter for certain
Financials, Payables, and Payables System Setup options to each supplier you enter.
That is, the values for these options become the defaults for the corresponding options
in the Suppliers pages. From the supplier, the system defaults values to corresponding
fields for each new supplier site you enter. Payables defaults the values you enter at the
supplier site to each invoice you enter for the supplier site. Payables enters defaults for
your convenience and you can override most defaults during supplier entry and during
invoice entry. See also Invoice and Invoice Batch Default Chart, page B-1.
Note: Updating default information at the supplier level does not
update existing supplier sites. To update existing supplier site values,
do so at the supplier site level.
Financials and Purchasing options - defaults to suppliers
You can define Financials and Purchasing options to speed both supplier and purchase
order entry. The system defaults the values you enter for certain Financials and
Purchasing options to each supplier you enter. That is, the values for these Financials
and Purchasing options become the defaults for the corresponding options in the
Suppliers pages. From the supplier, the system defaults values to corresponding fields
for each new supplier site you enter. Payables defaults the values you enter at the
supplier site to each purchase order you enter for the supplier site. Payables enters
defaults for your convenience and you can override most defaults during supplier entry
and during invoice entry. See also: Purchase Order Defaulting Rules, Oracle Purchasing
User's Guide.
Setting Up Supplier Tax Information
Oracle Payables integrates with Oracle E-Business Tax to provide tax services for
invoices. For information on levels at which you can default tax information based on
supplier, see: Taxes on Invoices, page 3-190.
2-6 Oracle Payables User's Guide
Paying VAT and Sales tax for suppliers
You can set up the default transaction tax information for a supplier and supplier site in
the Tax Details and Tax and Reporting regions of the Suppliers page.
Entering intra-EU suppliers and recording VAT for reporting purposes
If you enter a supplier that is in the European Union (EU), you must first specify its
country as an EU member state. See: Countries and Territories, Oracle Payables
Implementation Guide. When you enter an EU supplier that is registered to pay
Value-Added Tax (VAT) charges, enter the VAT registration number as the Tax
Registration Number for the supplier. When you are doing business in the EU with an
EU supplier, you record VAT taxes for reporting purposes; however, you do not pay
them to the supplier if you use offset taxes. To use offset taxes, you must enable the
Allow Offset Taxes option in the Suppliers: Tax and Reporting page. When you use
Offset taxes, Payables eliminates your VAT tax liability while maintaining a record of
all VAT taxes you need to report.
Suppliers subject to income tax reporting requirements
Define a supplier as federally reportable by enabling the Federal option and entering a
value for Income Tax Type (1099 MISC Type) in the Suppliers page.
If you enter a purchase order for a 1099 supplier, then Oracle Purchasing retains the
Income Tax Type information at the purchase order line level. The purchase order value
always defaults to invoices matched to a purchase order, (even if the purchase order
value is null and the Supplier has a value).
For unmatched invoices, if you do not use a Distribution Set to create invoice
distributions, Payables uses the supplier's income tax type as the default value. If you
use a Distributions Set to create invoice distributions, Payables uses the default income
tax type from the Distributions Set as the default value.
Also, to set up a federally reportable supplier, select a site to be the income tax
reporting site by enabling the Income Tax Reporting Site option in the Suppliers: Tax
and Reporting page. See also: Entering Invoices for Suppliers Subject to Income Tax
Reporting Requirements, page 3-100.
If you participate in the United States Internal Revenue Service (IRS) Combined Filing
Program, you can also define a supplier as state reportable by enabling the State
reporting type code in the Tax and Reporting page. Payables uses the state reportable
status of a supplier for reporting purposes only. You can create custom reports to satisfy
a tax authority's reporting requirements.
If the tax reporting name is different from the supplier name, enter it in the Reporting
Name field in the Tax and Reporting page. Payables uses the Reporting Name to
produce documents for the IRS. If you report electronically, select an Organization Type
in the Tax and Reporting page. For more information, see Tax Reporting Information,
Suppliers 2-7
page 2-33.
If you enter nine zeros, 000000000, as the value for the Tax Identification Number (TIN)
for a supplier, then the TIN will appear as null on the following reports: 1099 Electronic
Media Report, 1099 Forms, or the Tax Information Verification Letter. You can enter this
value (000000000) for suppliers that are waiting for their TINs and for whom you need
to record 1099 payments.
You can enter up to three address lines when you enter a supplier, but the 1099 Form
only provides space for one address line. Payables uses the first supplier address line
from the Suppliers: Address Book page and adds as much as possible of the second and
third address lines if there is available space in the 1099 Form. Payables prints a
maximum of thirty characters in the address field of the 1099 Form. Similarly, Payables
prints up to 33 characters for the combination of the City, State, and Postal Code.
Because of the space constraints, you may want to implement a standard for entering
addresses to ensure that the 1099 has a complete mailing address when it is printed.
You can use the Tax Information Verification Letter to request that your suppliers
provide or verify their tax information. See: Tax Information Verification Letter, page 943.
Withholding Taxes for Suppliers
Enter withholding tax information for a supplier in the Suppliers: Tax Details page.
Select Allow Withholding Tax if you want to enable withholding for a supplier or
supplier site, and select a default Withholding Tax Group that Payables will default to
all invoices you enter for the supplier site. For more information, see: Withholding Tax
Overview, page 10-15.
Setting Up Supplier Hierarchies
You can record the relationship between a franchise or subsidiary and its parent
company by recording a value for the Parent Supplier field in the Suppliers:
Organization page. Information will not automatically default from parent to subsidiary
suppliers unless the subsidiary is a supplier site of the parent.
Entering Employees as Suppliers
You must enter an employee as a supplier before you can pay the employee's expense
reports. Either enable the Automatically Create Employee as Supplier Payables option
to have Payables do this automatically during Expense Report Export, or manually
enter the employee as a supplier in the Create Suppliers page.
•
To have Payables automatically create supplier information for employees during
Expense Report Export, enable the Automatically Create Employee as Supplier
Payables option in the Expense Report region of the Payables Options window. If
this option is enabled, then when you import employee expense reports, Payables
uses information from the employee record to create supplier for the employees.
2-8 Oracle Payables User's Guide
For example, if you import an expense report with HOME as the payment address
and if the employee is not entered as a supplier, then Payables automatically enters
a supplier record for the employee with a payment supplier address called HOME.
The system creates a site that uses the HOME address in the Human Resource
default operating unit for the employee. The Supplier Type will be Employee, and
the Employee Name and Number fields are automatically populated. See: Enter a
New Person, Oracle Human Resources Management Systems Workforce Sourcing,
Deployment, and Talent Management Guide.
•
When migrating from 11i to Release 12, Payables does not store any address related
information for an Employee. Even for the supplier sites HOME, OFFICE and
PROVISIONAL, the address specified in the Human Resource Application is
directly referred, through Employee ID from HR tables. Supplier sites other than
HOME, OFFICE and PROVISIONAL are not valid in and are not be supported in
Release 12. The system does not allow creation of any other supplier site. The
system does not allow you to create new Address for Employee type of Suppliers in
the Supplier window in Payables. Address is specified only in HR and the same is
be used for Payment purpose.
•
To enter an employee as a supplier manually, in the Create Supplier page select
Supplier used to process expense payments to internal employees for the Supplier
Type and then enter the Employee Name and Number.
Note: If you create a supplier for an employee, you cannot change
the Supplier Type from an Employee. The TCA Person Party that
represents the employee is also used to represent the supplier. TCA
does not allow you to change a Person Party into an Organization
party. For standard suppliers, you can update the Supplier Type
after the supplier has been created. However, you cannot change it
to Employee.
Note that if you update employee information in the Enter Person or People window,
Payables automatically updates the supplier name during Expense Report Export or
when you submit the Employee Update Program. For information, see: Employee
Information, page 2-42.
Related Topics
Entering Expense Reports, Oracle Internet Expenses Implementation and Administration
Guide
Factoring Arrangements
If a supplier sells receivables to a factor, you can enter invoices for the supplier and
make payments to the factor by creating a pay site defined for the factor. Factor is a
person to whom a Buyer makes a payment instead of a Supplier. This is performed by
Suppliers 2-9
creating a Factor Bank Account from the Banking Details tab on the Create Supplier
window. As a result when an invoice is entered for the Supplier in the Remit to Bank
Account the Account of the Factor is shown. When an invoice is entered for the supplier
in the Remit to Bank Account, then the Account of the Factor defaults and at the time of
payment the actual payment is remitted to the Factor Bank Account. On the first
address line enter the name of the factor preceded by the word "and" or "or." On the
remaining two address lines, enter the address of the factor. Payables then addresses
the payment to the supplier and/or the factor, since Payables prints the supplier name
and the three address lines on each payment.
Example 1:
Supplier ABC has sold their receivables to Factor B, and you want to send payments
directly to Factor B. You want your payment document to be made out to "ABC Or
Factor B." Define a pay site for supplier ABC called "Factor B." On the first address line
enter "OR Factor B." On the remaining two address lines enter Factor B's address.
If you select the Factor B supplier site when you enter and pay an invoice for ABC, the
first two lines of the payment will read "Payable to: ABC OR Factor B" and the factor
can endorse and cash the payment.
Example 2:
Supplier ABC has sold their receivables to Factor B, and you want to send payments
directly to Factor B. You want your payment document to be made out to "ABC AND
Factor B." Define a pay site for supplier ABC called "Factor B." On the first address line
enter "AND Factor B." On the remaining two address lines enter Factor B's address.
If you select the Factor B supplier site when you enter and pay an invoice for ABC, the
first two lines of the payment will read "Payable to: ABC AND Factor B." Both the
supplier and the factor will have to endorse the payment before it can be cashed by the
factor.
Supplier Management
To help you with the process of supplier enablement, the eBusiness Suite supports two
business flows that can be used to manage the creation of new supplier records. Each
flow allows you to create a supplier request that you can add information before
submitting it to an approval hierarchy for review. These flows allow a range of
information to be gathered about a potential supplier and for these details to be used to
determine how the system routes the supplier request for approval. The Approval
Management Engine (AME) is used for coordinating the approval hierarchy.
In addition to the flows, there is a Create Supplier page that you can use to manually
create new supplier records.
Flexible Self-Service Supplier Registration
The prospective supplier registration feature allows you to accept unsolicited
registration requests through your own Web site from suppliers with whom the
2-10 Oracle Payables User's Guide
company has not previously conducted business. This self-service registration process
provides prospective suppliers access to a public web page where they can complete a
registration form and then submit it for approval by administrators at the buying
company. The information that you want to gather during registration is configurable
so that you can decide how much or how little information you need from each
potential supplier. After administrator approval of the request, the system adds the new
supplier to the master supplier details. Full details of this process are available in the
Oracle iSupplier Portal Implementation Guide.
Sourcing
During the Sourcing event creation process, the administrator can add potential new
suppliers directly as invitees to the event. By providing a contact email address for the
prospective supplier, the system sends an invitation to register to the supplier. The
supplier has to register their details and be approved before they can participate in the
bidding process. Again, the level of information captured from the invitee is
configurable. Full details of this process are available in the Oracle Sourcing
Implementation and Administration Guide.
Entering Suppliers Manually
You can create supplier records manually using the Create Supplier page.
Prerequisites
•
Verify that the supplier has not already been entered in the system. Use the search
tool on the main Suppliers page, the Suppliers Report, page 9-20, and the Supplier
Audit Report, page 2-46.
•
Define the following lookups in the Oracle Purchasing Lookups window: Pay
Group, Supplier Type, Minority Group. See: Defining Lookup Codes, Oracle
Purchasing User's Guide.
•
If you have installed Purchasing, complete Purchasing setup. See: Setting Up
Purchasing, Oracle Purchasing User's Guide
•
Define Financials Options. See: Financials Options, Oracle Payables Implementation
Guide.
•
Define Payables System Setup options. See: Payables System Setup, Oracle Payables
Implementation Guide.
•
Define payment terms. See: Payment Terms, Oracle Payables Implementation Guide.
(optional)
•
Define Distribution Sets. See: Distribution Sets, Oracle Payables Implementation Guide.
(optional)
Suppliers 2-11
Purchasing Prerequisites
•
If you use Oracle Purchasing, define Supplier Types in the Oracle Payables Lookups
window.
•
If you use Oracle Purchasing, define Ship Via codes in the Defining Freight Carriers
window. See: Defining Freight Carriers, Oracle Order Management Implementation
Guide.
•
If you use Oracle Purchasing, define FOB codes, Minority Groups and Freight
Terms codes in the Oracle Purchasing Lookups window. See: Defining Lookup
Codes, Oracle Purchasing User's Guide .
To enter basic supplier information:
1.
From the main Suppliers page, click the Create Supplier button.
2.
In the Create Suppliers page, enter a unique Supplier Name.
Tip: Use a naming convention that minimizes risk of separate
entries for the same supplier under different names. For example, if
you consistently spell the full name of a supplier, do not enter both
Orion Corp. and Orion Corporation.
3.
If the Supplier Number Entry option in the Payables System Setup window is set to
Automatic, Payables automatically enters a Supplier Number for you. If this option
is set to Manual, you must enter a unique Supplier Number.
4.
Optionally enter Alias, Name Pronunciation, and D-U-N-S number.
5.
Optionally enter the supplier's tax identification number in the Taxpayer ID field;
for example, an individual's social security number, or a corporation or
partnership's federal identification number/federal tax ID.
6.
Optionally enter the value-added tax (VAT) registration number in the Tax
Registration Number field if you are entering a VAT supplier.
7.
Click Apply. The system creates the supplier record and accesses the Suppliers:
Quick Update page.
8.
If you want to prevent invoice or purchase order entry for this supplier after a
certain date, access the Suppliers: Organization page and then enter the date in the
Inactive Date field.
9.
To create locations for the supplier, go to the Suppliers: Address Book page and
click the Create button.
2-12 Oracle Payables User's Guide
10. Enter supplier and site information in the appropriate Supplier pages. See the
following page reference sections for detailed information.
•
Quick Update.
•
Organization.
•
Tax Details.
•
Address Book.
•
Contact Directory.
•
Business Classification.
•
Products and Services.
•
Banking Details.
•
Surveys.
•
Accounting.
•
Tax and Reporting.
•
Purchasing.
•
Receiving.
•
Payment Details.
•
Relationship
•
Invoice Management.
Note: Save your updates for each page before navigating to a new
section.
Related Topics
Entering Flexible Addresses, Oracle Receivables User Guide
Suppliers Pages Reference
The information for each supplier record is organized into two main sections:
•
Company Profile: These pages contains all of the personal information about the
Suppliers 2-13
supplier, their identity and their type of business. A significant portion of this
information needs to be elicited directly from your contacts at the supplier. For
those customers that have implemented Oracle iSupplier Portal, you can give
suppliers access to most of the profile details so that they can maintain the
information for you. Any updates that the supplier provides are handled as change
requests that require approval by an internal administrator.
•
Terms and Controls: These pages provide access to all of the attributes that are
used to control the business relationship you have with the supplier. This includes
account code references, internal tax setups, purchasing, receiving, invoicing, and
payment options. In addition, there is a Quick Update page that can be
personalized to provide access to the most commonly used setup attributes for
individual users or groups of users.
The Suppliers pages consist of:
•
Quick Update.
•
Company Profile.
•
•
Organization.
•
Tax Details.
•
Address Book.
•
Contact Directory.
•
Business Classification.
•
Products and Services.
•
Banking Details.
•
Surveys.
Terms and Controls.
•
Accounting.
•
Tax and Reporting.
•
Purchasing.
•
Receiving.
•
Payment Details.
2-14 Oracle Payables User's Guide
•
Relationship
•
Invoice Management.
Information is shown for supplier and all sites on the same page. In the Site region, you
can filter the display to show either Active or Inactive site records, or use the search
tools to look for sites that have names that contain a specific text string or are in
operating units that contain a specific text string. Most site-level details are available on
each main profile page, but for some parts of the supplier profile, the site-level
attributes are accessed in a drilldown page.
Note: If you make updates to a supplier's details on any of the pages,
you need to save the changes before navigating to a different page.
Main Suppliers Page
The main Suppliers page allows you to search for existing supplier records in order to
maintain the supplier's details, access the Create Supplier page, or review change
requests that suppliers have submitted through the Oracle iSupplier Portal for their
profile details.
Quick Update Page
The Quick Update page is the default page that the system displays when you initially
access the profile details for a supplier. The page provides access to the main Hold flags
for the supplier, along with site-level key purchasing and payment setup attributes.
These attributes are also found in the more detailed Terms and Controls pages. The
Quick Update page is intended to be the primary page you use for routine maintenance
of supplier profile information. You can personalize the fields that are displayed on the
page so that different types of users are given access to appropriate sets of key
purchasing and payment attributes in the Supplier Sites regions.
Organization Page
Use the Organization page to document high-level company information such as
structural, operational, personnel, and financial details about a supplier. These details
are common and apply to the organization whether it is a supplier, a customer, or both.
Therefore, you can enter the information either in the Suppliers pages or through the
Customers Online pages.
In addition, you can import details from third-party directory services, such as Dun and
Bradstreet, or if you have implemented iSupplier Portal or Sourcing, you can enable the
supplier so that they can make direct updates to the organization details. Unlike other
supplier profile information, there is no approval process for updates made to the
organization details by the supplier since the information is not used for any
Suppliers 2-15
transactional processing of business documents by the system.
Tax Details Page
Oracle Payables integrates with Oracle E-Business Tax to provide tax services for
invoices. For information on levels at which you can default tax information based on
supplier, see: Taxes on Invoices, page 3-190.
You can record tax default options, tax registrations, and withholding applicability for
supplier sites using this page.
Address Book Page
The Address Book page displays each of the locations that you define for the supplier. It
also includes a region displaying inactive addresses. You can create new addresses and
update existing ones. Using the Hide/Show, you can review which operating units use
the address by the list of sites that exist for the address. The system only displays sites
that are in your MOAC profile. The address table also displays the usages for the
address.
The address status indicates whether the supplier has provided any updates for the
address. Using iSupplier Portal's Supplier Profile Management tools, suppliers can
enter address book information online, creating any number of new addresses,
modifying the details for existing addresses, and indicating how each address is used.
Suppliers can also inactivate addresses that are obsolete. Buyer administrators need to
approve any changes in order to update the master supplier details.
Address statuses include:
•
New. A supplier has created a new address. Click the Update button to review the
details for the new address which are broken into two stages, first look at the
address details, and then indicate which sites will be created for the address.
•
Change Pending. A supplier has changed the address details. Click the Update icon
to review the changes that have been made. The page displays the original address
details and the changes, indicated by a blue dot. Buyer administrators can approve
or make additional modifications to the changes before approving or rejecting the
change. If the supplier has indicated that the address should be removed, there is a
status change from Active to Inactive.
•
Current. There are no pending updates for the address.
Buyer administrators can also check the details for the sites that are using the Address.
Click the Manage Sites button to view a list of sites and review the Communication and
Identification used for each site. Buyer administrators can use the Create button to set
up new sites to use the address.
For those buyer administrators with access to employee-supplier records, the Address
Book page displays differently. The system displays the Expense Payment Sites region
2-16 Oracle Payables User's Guide
at the top of the page which includes the HOME or OFFICE site details that are used to
process expense payments. These are sites that are not associated to an Address. For the
Sites, users can access the Uses, Communication, and Identification details using the
horizontal tabs.
Since suppliers are stored in TCA, the address details for the supplier may be used by
other Oracle products so great care must be taken when removing supplier addresses. If
the address is inactivated, the system no longer associates it to any contacts, and any
bank account assignments to the address are inactivated. Methods to inactivate
addresses include:
•
You can click the Remove button on the Address Book page. This sets the address
status to inactive and sets the Inactive Date for every site that is associated with the
address in all operating units to today's date.
•
You can update the address and set its status to Inactive. This changes the address
status and does not inactivate any of the sites that are using the address.
•
You can use the Manage Sites page to manually update the Inactive Date for each
site.
Contact Directory Page
The Contact Directory page lists all the contacts that have been created for the supplier.
Click the Update button to review contact details and to view the addresses to which
the contact is associated. If you implemented iSupplier Portal or Sourcing, the table
indicates which contacts the supplier have been given a user account to access the
system. The supplier can enter details for new contacts and update existing contact
information which alters the contact status.
Rather than manage user accounts on behalf of suppliers, you can delegate the
authority to create user accounts to administrators at each supplier. For full details on
setting up supplier's users, see: Oracle iSupplier Portal Implementation Guide.
Contact statuses include:
•
New. A supplier has created a new contact. Click the Update button to review the
details for the new contact, make any format updates, and then approve. If the
supplier requested a user account for the contact, the Create User Account for the
Contact check box displays as checked. Using the Hide/Show, you can review the
default responsibilities that will be assigned to the new user and make any changes.
Also, the page displays the addresses that are associated with the Contact. If any of
these addresses are in a non-Current status then you need to review the address
changes before you can approve the contact details.
•
Change Pending. A supplier has changed the address details. Click the Update
button to review the changes that have been made. The page displays the original
address details and the changes, indicated by a blue dot. Buyer administrators can
Suppliers 2-17
approve or make additional modifications to the changes before approving or
rejecting the change. If the supplier has indicated that the address should be
removed, there is a status change from Active to Inactive.
•
Current. There are no pending updates for the address.
Business Classifications Page
Use the Business Classifications page to assign to each supplier the classifications that
apply to their business. Alternatively, through the iSupplier Portal you can allow the
supplier to access the list and claim the classifications themselves. After a supplier
submits its classification details, the buyer administrator is notified, and the
classification status is set to Pending. A buyer administrator can review the
classification claims made by suppliers, research the details, if necessary, and then
approve or reject the claim. The status is blank if a supplier removes the classification. If
a buyer administrator claims a classification on behalf of a supplier, the system sets the
status to Approved.
In some regions, business classifications are required by government regulations on
purchasing activities for an industry. Alternately, buying organizations may use
classification information for reports used to analyze purchasing activity. For more
information on setting up the list of business classifications, see: Oracle iSupplier Portal
Implementation Guide.
Products and Services Page
The Products and Services page allows you to categorize the types of goods and
services that each supplier can provide. Typically, this categorization is something that
you would ask the supplier to do themselves through iSupplier Portal. Buying
organizations can use the category details provided by suppliers to help generate
invitation lists for RFQs and for reporting. For more information on setting up product
and service hierarchies, see the Oracle iSupplier Portal Implementation Guide.
The system indicates newly claimed categories by a Pending status and need to be
reviewed by a buying administrator. The supplier cannot see the status and does not
receive any notifications. Buyer administrators also can add new product and service
categories on behalf of a supplier.
If the product and service categories have been set up in a hierarchy, users can select a
parent category or child categories. If a parent category is selected, the system
automatically selects all of the child categories for that product or service. Once a
supplier selects a product and service category or categories, buyer administrators are
notified so they can review the details.
Banking Details Page
Use the Banking Details page to create bank accounts for making payments to suppliers.
2-18 Oracle Payables User's Guide
Using iSupplier Portal, suppliers can access their banking information and, if given the
appropriate security privilege, make changes to the details. Suppliers can create new
accounts that use existing bank and branch details or create new banks and branches
when they create the account. Changes to accounts are shown in the Account Change
Requests and Assignment Change Requests tables. New account requests must be
approved before assignment requests for the new account can be approved. During
approval of a new account, the buyer administrator can either approve the account or
set the status to Verify. You can use the Verify status while you prenote the account or
perform other activities for verifying an account with your bank.
Surveys Page
As part of the supplier profile, you can create custom questionnaires that can be used to
gather feedback from suppliers' surveys. For more information, see: Oracle iSupplier
Portal Implementation Guide.
Suppliers and Supplier Sites Header Information
Access the Suppliers: Quick Update page to enter supplier header information and
supplier site Key Purchasing Setups and Key Payment Setups.
Alternate Supplier Name. You can enter an alternate name for your supplier or
supplier site. This is particularly useful if you do business in Japan so you can enter
both Kanji and Kana values for the supplier or site name. Alternate names are not used
unless you enable the Sort by Alternate Fields Payables option. If you enable that option
then Payables uses alternate names when it sorts reports by supplier or supplier site
name. See: Sort by Alternate Fields Payables option, Oracle Payables Implementation Guide
.
Inactive On. Date on which a supplier or supplier site will no longer appear on a
supplier list of values.
Site Name. Unique supplier site name that distinguishes the site from a supplier's other
sites. For example, city name or branch name. This name is for your reference when
selecting sites from a list of values during purchase order or invoice entry, and will not
appear on any correspondence with the supplier. For employees, site names are
typically Home, Office, or Provisional.
Supplier Number. If the Supplier Number Entry option in the Financials Options
window is set to Automatic, Payables automatically enters a supplier number for you. If
the option is set to Manual, you can enter a unique supplier number.
Supplier Name. Unique supplier name. You can update a supplier name at any time.
For example, the Employee Update Program updates the supplier name when an
employee's name changes in the employee record. Note that you can always use the
supplier number as a unique identifier for a supplier.
If you enable the Allow Remit-To Supplier Override on the Payments Tab in the Setup >
Payables menu, then you can override the Remit-To Supplier Name and Site at the
Suppliers 2-19
Invoices window.
Accounting Information
Access the Suppliers: Accounting page to specify accounting default values.
Supplier accounting values default to all new supplier sites you enter for the supplier.
Supplier site accounting values default to all new invoices for the supplier site. You can
override any accounting defaults during supplier site entry and invoice entry.
Distribution Set. Default Distribution Set for all invoices entered for the supplier site.
Define additional Distribution Sets for the list of values in the Distribution Set window.
If you use the Multiple Organization Support feature, you can enter a value in this field
only at the supplier site level.
Liability. The Liability Account and description for a supplier site's invoices. The
supplier default is the Financials option for the Liability Account. When you create the
default Liability Account, Payables defaults this Liability Account to each supplier you
enter. You can override this default. When you enter an invoice, Payables automatically
defaults the supplier site's Liability Account to the invoice. You can also override this
default.
If you use the Multiple Organization Support feature, you can enter a value in this field
only at the supplier site level.
Prepayment. The supplier default for this field is the Financials option for the
Prepayment account.
If you use the Multiple Organization Support feature, you can enter a value in this field
only at the supplier site level.
Payables uses the supplier site's prepayment account as the default GL account for all
prepayment Item distributions, unless the Build Prepayment Accounts When Matching
Payables option is enabled.
For details on how that option works, see: Build Prepayment Accounts When Matching,
Oracle Payables Implementation Guide.
Bills Payable. If you use Bills Payable (future dated payments), enter the future dated
payment account you want to use. The Financials option value defaults to new
suppliers, and the supplier value defaults to new supplier sites. You can override these
defaults.
When Payables creates a future dated payment, it uses the future dated payment
account from either the supplier site or the payment document, depending on which
option you select in the Payment Accounting region of the Payables Options window.
If you relieve liability for future dated payments when the payment is issued, then use
an asset account. If you relieve liability at clearing time, then use a liability account.
If you use the Multiple Organization Support feature, you can enter a value in this field
only at the supplier site level.
2-20 Oracle Payables User's Guide
Bank Information
Access the Suppliers: Banking Details page to record the supplier bank accounts that
your suppliers and supplier sites use for payment transactions
Define supplier bank accounts in the Bank Accounts window. Bank accounts you have
already assigned to the supplier or supplier site in the Bank Accounts window appear
in the Suppliers: Banking Details page. See: Banks, Oracle Payables Implementation Guide.
The Banking Details page appears for new supplier sites after you save the supplier site.
When you enter bank accounts for a supplier site, Payables defaults all of the supplier's
active bank accounts. At any time you can add bank accounts for a supplier or supplier
site. You can also change the effective dates at any time to make a bank assignment
inactive. Updating bank accounts for a supplier will not affect bank accounts for
existing supplier sites.
If the bank account is added to a supplier site, then the bank account is defaulted on
any invoice entered to the supplier site after the bank account was added. You must
manually update any invoice or supplier site already created.
If you want to view detailed information or update a bank account listed in this page,
you can click on the Update button to access the Bank Account page.
Account Name. Name of the bank account that this supplier or supplier site uses. The
list of values includes only active supplier bank accounts that are either not yet assigned
to a different supplier or site within a different supplier, or have the Allow Assignment
to Multiple Suppliers option enabled on the account, such as factor company accounts.
Account Number. Bank account number of the supplier's remittance account.
Primary. Enable this check box to have Payables use this bank account as a default
when you pay this supplier electronically. For each supplier and supplier site that has
bank account assignments, you must designate as the primary bank account exactly one
bank account per currency. For all periods during which a supplier or site has active
bank accounts, you must specify a primary bank account. When you enter an invoice,
the supplier site primary bank account for the invoice currency defaults to each
scheduled payment. If no primary bank account is selected for the supplier site, then the
system uses the supplier's primary bank account. The Remit-To Bank Account for the
scheduled payment then defaults to the payment.
If you enable the Allow Remit-To Account Override Payables option, you can override
the Remit-To Bank Account value in the Scheduled Payments tab, the Payments tab,
and the Modify Payment Batch window with any other remit-to bank with the same
currency and for the same supplier.
Currency. Payables displays the currency you defined for the bank account.
Start Date and End Date. Enter dates if you want to limit the time during which a
supplier site uses this bank account as the primary bank account for receiving electronic
payments in the bank account currency.
Suppliers 2-21
Importing Supplier Bank Accounts
After the Supplier or Supplier Site is validated and a rows entered in the various tables,
a Payee is created for the Supplier or Supplier Site. If the Payee is successfully created,
then it is checked if there are any corresponding rows in
IBY_TEMP_EXT_BANK_ACCTS. If there are, then the Payment's API is run to create
the Bank Account and associate it with the Payee. A row in
IBY_TEMP_EXT_BANK_ACCTS is associated with the Supplier or Supplier Site if the
column IBY_TEMP_EXT_BANK_ACCTS.calling_app_unique_ref2 is equal to either
vendor_interface_id for Suppliers or vendor_site_interface_id for Supplier Sites.
Supporting Search Supplier Bank Account Assignment in Oracle Payables
A new search window, Search Supplier Bank Account Assignment, is added to search
bank accounts associated to suppliers. You can search using the bank account
associated with suppliers and supplier linked with bank accounts. In addition to bank
account, you can also search based on bank and branch.
Bank account assignment to a supplier can be made through banking details section in
the supplier setup. There are four levels to associate a bank account to a supplier:
•
Supplier
•
Address
•
Address - Operating Unit
•
Site
The search page provides details of bank accounts associated with each level. It also
provides various other details related to bank account and its association with supplier.
The search page also provides facility to navigate supplier bank account page for the
purpose of updating. However the access of update feature is restricted through
function security.
Note: The search page lets you search bank accounts associated with
suppliers. You cannot search for bank accounts associated with
customers and internal bank accounts.
Search Supplier Bank Account Assignment Window Reference
The new window, Search Supplier Bank Account Assignment, contains following fields:
Bank Account Number Enter or search the bank account number based on account
number, account name, currency and bank name.
Bank Account Name Enter or search the bank account name based on account name,
account number, currency and bank name.
2-22 Oracle Payables User's Guide
Bank Name Enter or search the bank name based on bank name, bank number, bank
institution type and country.
Branch Name Enter or search bank branch name based on branch name, branch
number, BIC, branch type, bank name and bank number.
Supplier Name Enter or search supplier name based on supplier name, supplier
number and alternate supplier name.
Supplier Number Enter or search the supplier number based on supplier number,
supplier name and alternate supplier name.
Include End Date Assignment Records Check this field to search and include the
results of supplier bank accounts for which assignment is end-dated. The default value
is not checked.
Result Region The Results region has the following button:
Export This exports the bank accounts and assignment details in the results table to
Microsoft excel spreadsheet.
Classification Information
Access the Suppliers: Organization page to enter general information on the supplier.
Employee Name. Select the name of an active employee to link an employee to the
supplier. You cannot select an employee name unless you create the supplier as an
employee.
Type. Type of supplier. Use Type to group suppliers for reporting purposes. Several
supplier reports use Type as a report parameter. You define supplier types in the Oracle
Payables Lookups window. This value cannot exceed 25 characters. If you are entering
an employee as a supplier, you must select Employee in this field. Select Tax Authority
for suppliers to whom you remit withholding taxes.
Number. Employee number of the employee you have associated with the supplier
record.
One Time. Enable to designate a supplier with whom you do not expect to do repeat
business. You can find all one-time suppliers by using the Suppliers Find window.
SIC. Standard Industry Code.
Small Business. You can use this designation for tracking business with small
enterprises.
Tip: Assign a variety of codes to distinguish among suppliers. For
example, assign codes to distinguish between more reliable suppliers
and less reliable suppliers. You can also assign codes to distinguish
types of suppliers, such as original equipment manufacturers and
suppliers of office products.
Suppliers 2-23
Woman Owned. You can use this designation for tracking business with companies
owned by women.
Contacts Information
Access the Suppliers: Contact Directory page to enter contact information.
Contact information is for your reference only and is not used by the system.
Contact Title. Enter the appropriate title for your contact (Mr., Ms., Dr., etc.).
Inactive Date. Date on which this contact will no longer appear on the contact list for
this supplier site.
Create User Account for this Contact. Select the check box to create a user so the
supplier can access the iSupplier Portal.
Control Information
Access the Suppliers: Invoice Management page and select the Invoice tab in the
Suppliers Sites region.
Prevent payment of multiple supplier invoices by applying a hold to the supplier site
rather than to each individual invoice. You can enable several types of supplier related
holds for a supplier site. Payables also provides these options at the supplier level, but
only uses these values to provide defaults for new supplier sites that you enter. The
options you enable at the supplier site level control Payables processing.
Hold All Invoices. The most restrictive supplier site hold. By selecting Hold All
Invoices for a supplier site, you prevent any invoices for the supplier site from being
selected for payment during a payment batch or for a Quick payment. You cannot pay
invoices for the supplier site until you deselect the Hold All Invoices option at the
supplier site.
Important: If the Hold All Invoices option is enabled at the supplier
site, the Hold field in the Invoices window does not reflect this, because
it is a supplier hold, not an invoice hold.
Hold Unmatched Invoices. If you enable this option for a site, then Payables applies a
Matching Required hold to an invoice if it has Item type distributions that are not
matched to either a purchase order or receipt. Payables applies the hold to the invoice
during Invoice Validation. You cannot pay the invoice until you release the hold. You
can release this hold by matching the invoice to a purchase order or receipt and
resubmitting Invoice Validation, or you can manually release the hold in the Holds tab
of the Invoice Workbench. Payables will not apply a hold if the sum of the invoice
distributions by accounting code combination is zero.
The default is the Hold Unmatched Invoices option you chose in the Payables System
Setup window. However, if this is a supplier that the system automatically created
during import, the default is the Hold Unmatched Expense Reports option you defined
2-24 Oracle Payables User's Guide
in the Expense Report region of the Payables Options window.
Hold Unvalidated Invoices. If enabled, Payables automatically applies a Supplier hold
to all unvalidated invoices entered for that site, including any invoices you import.
Payables applies this hold when you submit Invoice Validation. You can still pay
invoices that were entered for the supplier site. You can manually release the Supplier
hold in the Holds tab of the Invoice Workbench. Deselect this supplier site option when
you no longer want to hold unvalidated invoices for a supplier site.
Payment Hold Reason. The reason you are applying an invoice hold to an invoice.
Invoice Tolerances. The default invoice tolerance template used for all invoices entered
for the supplier site. Define additional invoice tolerance templates for the list of values
in the Invoice Tolerances window.
Invoice Amount Limit. If you enter an invoice for a supplier site that exceeds the
invoice amount limit you specify, Payables applies an Amount hold to the invoice
during Invoice Validation. You cannot pay the invoice until you release the hold. You
can release the hold by adjusting the invoice amount, changing the Invoice Amount
Limit for the supplier site, or you can manually release the hold in the Holds tab of the
Invoice Workbench.
Invoice Match Option. For purchase order shipments, indicate whether you want to
match invoices to purchase orders or to purchase order receipts. This option defaults in
the following order and can be overridden at any level: Payables System Setup ->
Supplier -> Supplier Site -> Purchase Order Shipment. If the supplier was created
automatically during Expense Report Export, the default value is Purchase Order, and
you can change it to Receipts as appropriate.
For suppliers that enter invoices on iSupplier Portal, set this option to Purchase Order.
See: Self Service Invoices, page 3-167.
•
Purchase Order. Match invoices to purchase order shipments and/or distributions.
•
Receipt. Match invoices to purchase order receipts.
Related Topics
Applying Holds, page 3-210
EDI (Electronic Data Interchange) Information
If you pay this supplier with electronic payments, use the Payment Terms page to
specify your delivery channel. For more information on EDI and electronic payments,
see: Oracle eCommerce Gateway Implementation Guide.
Key Setup Information
Access the Suppliers: Quick Update page to enter hold defaults for the supplier and key
purchasing and payment setup information for your supplier sites. Specify the
Suppliers 2-25
purchasing and payment options for supplier sites. These options default on the
Supplies Terms and Controls pages which you can override, if necessary.
Customer Number. The number your supplier uses to identify your enterprise. This
number appears on the Oracle Purchasing Printed Purchasing Order Report.
Organization Information
Access the Suppliers: Organization page to enter general information on your supplier's
organization and add attachments relating to your supplier.
Customer Number. The number your supplier uses to identify your enterprise. This
number appears on the Oracle Purchasing standard purchase order.
Parent Supplier Number. Parent supplier number.
Parent Supplier Name. Name of supplier's parent enterprise if supplier is a franchise or
subsidiary. The parent enterprise must also be defined as a supplier in the system.
Payment Information
Access the Suppliers: Invoice Management page and select the Payment and Terms
tabs. The fields displayed on the supplier header region are dependant on the tabs you
select in the Suppliers Site region.
All supplier payment values default to new supplier sites you enter. Supplier site
values default to invoices. You can override any payment defaults during supplier site
entry, except Allow Interest Invoices, which does not display in the Supplier Sites
regions in the Suppliers pages.
The defaults in the Payment Details page come from the defaults you enter in the
Payables System Setup window, and the default for Exclude Freight From Discount,
which is always No. The Allow Interest Invoices option is defaulted for new supplier
only when its checked at Payables System Options. Payables automatically enables this
option in this window if you enabled this option in the Payables System Options
window.
Create Interest Invoices. If this option is enabled, Payables calculates interest for the
supplier's overdue invoices and creates corresponding interest invoices when you pay
the overdue invoices. Payables calculates interest only for invoices that are overdue 365
days or less. If you enable this option, it is automatically enforced for all of a supplier's
sites.
Payables automatically enables this option in this window if you enabled this option in
the Payables System Options window. If this option is not enabled in the Payables
Options window, you can still enable it here but Payables calculate interest only when it
is checked at Payables Options as well. See: Automatic Interest, page 10-2.
Always Take Discount. Enable this option to have Payables always take an available
discount for a supplier, regardless of when you pay the invoice.
For more information, see: Discounts, page 3-31.
2-26 Oracle Payables User's Guide
Exclude Freight From Discount. If this option is enabled for an invoice, Payables
automatically subtracts the freight amount entered on the invoice header from the
invoice amount when calculating the invoice amount subject to discount. Payables uses
the Discountable Amount on an invoice to calculate the discount amounts when
creating a scheduled payment for an invoice.
Invoice Currency. The supplier invoice currency is used as a default for new supplier
sites you enter. The supplier site invoice currency is used as a default for the Purchasing
documents and Payables transactions you enter for a supplier. Tax authority type
suppliers must use your functional currency as the default currency.
Pay Group. Pay Group assigned to a supplier. The default for this field is the Payables
System Setup option you define for Pay Group. You can override this default during
supplier site entry or invoice entry.
Tip: When you create a payment batch, you can choose a Pay Group to
pay a category of suppliers or invoices in the same payment batch. You
define Pay Groups for suppliers and supplier sites in the Oracle
Purchasing Lookups window. Examples of Pay Groups you can define
are employees, merchandise, non-merchandise, government, domestic,
and international.
Pay Date Basis. The Pay Date Basis for a supplier determines the pay date for a
supplier's invoices.
•
Due
•
Discount
Payment Currency. The default for Payment Currency in the Suppliers window is the
value you enter for supplier Invoice Currency. You can change the Payment Currency
value only if the Invoice Currency has associated fixed-rate currencies (for example,
euro). If the Invoice Currency is a fixed-rate currency, you can change the Payment
Currency value to an associated fixed-rate currency. The supplier Payment Currency is
used as a default for all new supplier sites you enter.
The supplier site Payment Currency is the default for the Payment Currency field in the
Invoices window. It is also the default currency for invoices you create for this supplier
site by using Payment on Receipt, Payables Open Interface Import, and Recurring
Invoices.
Payment Priority. A number, between 1 (high) and 99 (low), which represents the
priority of payment. The system uses the Supplier Site value to automatically assign a
Payment Priority to an invoice's scheduled payment(s) during invoice entry.
Terms. Payment terms used to schedule payments for an invoice. The system uses
payment terms to automatically calculate due dates, discount dates, and discount
amounts for each invoice you enter. If the terms you want to use are not on the list of
values, you can define additional terms in the Payment Terms window. See also:
Suppliers 2-27
Payment Schedules, page 3-30.
The payment terms for a supplier site default to the invoices you enter for the site
except in the following circumstances:
•
You enter a PO Default or QuickMatch invoice in the Invoice Workbench, in which
case the terms default from the purchase order.
•
You import an invoice record that has payment terms specified on the record, or the
import process can derive terms from purchase order matching.
See also: Payment Terms, Oracle Payables Implementation Guide
Terms Date Basis. Date from which Payables calculates a scheduled payment for a
supplier. The default is one of the following Payables System Setup option you defined
for Terms Date Basis.
•
System. When you enter invoices, Payables defaults the system date as the terms
date.
•
Goods Received. When you enter invoices, Payables prompts you to enter the date
you received the goods that are included on the invoice as the terms date.
•
Invoice. When you enter invoices, Payables defaults the invoice date as the terms
date.
•
Invoice Received. When you enter invoices, Payables prompts you to enter the date
you received an invoice as the terms date.
Bank Charge Bearer. Indicate whether you or your supplier pays bank charges for
electronic payments. If your supplier pays, indicate whether your supplier uses the
standard or negotiated rate. This information is used in the Define Bank Charges
window. See: Bank Charges, Oracle Payables Implementation Guide. This field is not
visible if you do not enable the Use Bank Charges Payables option.
•
No. You pay bank charges.
•
Supplier/Negotiated. Your supplier pays bank charges at a negotiated rate.
•
Supplier/Standard. Your supplier pays bank charges at a standard rate.
Related Topics
Automatic Interest, page 10-2
Purchasing Information
Access the Suppliers: Purchasing page to enter purchasing defaults for your suppliers.
All supplier purchasing values default to new supplier sites you enter.
2-28 Oracle Payables User's Guide
Note: If you use the Multiple Organizations Support feature, values
you enter in the Financials Options window will default to both the
supplier and supplier site.
Supplier site values default to purchase orders and purchase requisitions. You can
override any purchasing defaults during supplier site entry and purchasing document
entry.
Header Information
Purchase Order Hold. If you enable this option for a supplier, and you also enable the
Enforce Supplier Hold option in the Control region of the Purchasing Options window,
then you can create a purchase order for the supplier, but you cannot approve the
purchase order. To release this hold, deselect Purchase Order Hold here. The valid
options are, All Purchase Order to be on hold or Create Debit Memo from RTS
Transaction.
If the supplier was created automatically during Expense Report Export, the default
value is Purchase Order and you can update it.
Purchasing Tab
Operating Unit. Enter or accept the default for Operating Unit.
Site Name. Enter or accept the default for Site Name.
Ship-To Location. Location where a supplier sends shipments for goods/services. The
default for this field is the Financials option you define for Ship-To Location, and the
supplier site default is the supplier option you enter.
Bill-To Location. Location to which a supplier sends the invoice for goods or services.
The default for this field is the Financials option you define for Bill-To Location, and the
supplier site default is the supplier option you enter.
Ship Via. Freight carrier you use with a supplier. The default is the Financials option
you define for Ship Via, and the supplier site default is the supplier option you define.
The value you enter is the value in the Description field of the Freight Carriers window
in Purchasing.
Acknowledgement Lead Time (Days). Enter a positive numeric value. The lead time is
the number of days from the final approval date. Add that to the final approval date to
calculate the Acknowledgement Lead Time. For example, if the approval date is
10-May-2016 (current date), the Lead Time is 5 days, thus the Acknowledgement Lead
Time is 15-May-2016.
The Lead Time value in the supplier site (Supplier Site (Purchasing tab) takes
precedence over the Purchasing Options (specified in Oracle Purchasing) value. If
neither of the Lead Time values are found, the system does not calculate and default the
value of the Acknowledgement Lead Time.
Suppliers 2-29
Self Billing Tab
Enter information in these fields if you have installed Purchasing and use the
self-billing features to create invoices on behalf of your suppliers. For more information,
see: Payment on Receipt, Oracle Purchasing User's Guide. These receipts include Advance
Shipment Notices (ASNs) and Advance Shipment and Billing Notices (ASBNs) that you
receive electronically in Purchasing. See: Advance Shipment Notice (ASN/ASBN),
Oracle Purchasing User's Guide.
Pay On. You can enter a value for the Pay On field only if the supplier site is a
purchasing site.
•
Receipt and Use.
•
Use.
•
Receipt. If you want to use the Pay on Receipt AutoInvoice Program to
automatically create invoices based on receipts you enter for this supplier site, enter
Receipt.
•
blank. If you do not want to use the Pay on Receipt AutoInvoice Program, leave
this field blank.
Alternate Pay Site. Pay site to be used as the supplier site when the system creates
self-billing invoices for this supplier. This list of values is limited to active pay sites for
the supplier.
•
If this supplier site record is a pay site: If you want Payables to create invoices for a
different pay site, then enter the site name (Optional). If you want to use this
supplier site as the pay site, then leave the field blank.
•
If this supplier site record is not a pay site: Enter the supplier site to use for
payment of invoices for this supplier site's receipts (Required).
•
If an Alternate Pay Site uses Gapless Invoice Numbering and has a Selling
Company Identifier value, then this value is used when creating a Self Billing
Invoice. See Gapless Invoice Numbering, page 2-31
Invoice Summary Level. Enter the level at which you want to consolidate invoices for
this supplier site when you submit the Pay on Receipt AutoInvoice Program:
•
Pay Site. Create one invoice for this supplier pay site for transactions that have the
same date.
•
Packing Slip. Create one invoice per packing slip for this supplier pay site for
transactions that have the same date.
•
Receipt. Create one invoice per receipt for this supplier pay site.
2-30 Oracle Payables User's Guide
Create Debit Memo From RTS Transaction. Enable this option if you want the system
to automatically create a debit memo in Payables when you enter a Return To Supplier
(RTS) in Purchasing. See also: Automatic Debit Memos, page 3-91.
Gapless Invoice Numbering. If you enable Gapless Invoice Numbering, then you must
also enter a Selling Company Identifier.
Note: If you disable Gapless Invoice Numbering, this will result in a
possible incomplete setup and a gap in the invoice sequence.
Selling Company Identifier. This is the identifier for the supplier site. You can enter
the same value for all of a suppliers sites, but you cannot enter the same value for sites
under different suppliers. The value you enter in this field is used to construct the
invoice number for all self-billing invoices.
If Gapless Invoice Numbering is also enabled in the Purchasing Options window, then
you should enter a value here so that self-billing invoices can be created.
Freight Tab
Site Name. Enter or accept the default for Site Name.
Operating Unit.. Enter or accept the default for Operating Unit.
FOB. Free-on-Board (FOB) code for a supplier. The default is the Financials option you
define for FOB, and the supplier site default is the supplier option you enter.
Freight Terms. You negotiate freight terms with a supplier to determine whether you or
the supplier pays for freight charges on goods you order from a supplier. The supplier
default is the Financials option you define for Freight Terms, and the supplier site
default is the supplier option you enter.
Transportation Arranged. Specify if the transportation is arranged by the buying
organization or Supplier. If none of this is chosen then select None.
Country of Origin. Country in which a product was manufactured. This value defaults
to purchase orders and releases.
Related Topics
Debit Memos, Oracle Purchasing User's Guide
Receiving Information
Access the Suppliers: Receiving page to enter receiving defaults for your suppliers.
All supplier receiving values default to new purchase orders you enter for a supplier.
You can override any receiving defaults during purchase order entry.
Allow Substitute Receipts. Receivers can receive substitute items in place of ordered
items. You must have previously defined acceptable substitute items for the ordered
Suppliers 2-31
item in the Purchasing Item Relationships window. See: Defining Item Relationships,
Oracle Inventory User's Guide.
Allow Unordered Receipts. Receivers can receive unordered items. You can override
this option for specific items. If you enable this option you can later match the
unordered receipts to a purchase order.
Days Early/Late Receipt Allowed. Maximum acceptable number of days early/late for
receipts.
Enforce Ship-to Location. The value you enter in this field determines whether the
receiving location must be the same as the ship-to location:
•
None. The receiving location may differ from the ship-to location.
•
Reject. Purchasing does not permit receipts when receiving location differs from
the ship-to location.
•
Warning. Purchasing displays a warning message but permits receipt when
receiving location differs from the ship-to location.
Match Approval Level. If you use Oracle Payables with Oracle Purchasing or another
integrated purchasing product, you can perform online matching of invoices and
original purchase orders or purchase order receipts. Matching ensures that you only
pay for the goods and services you ordered and that your suppliers do not over-bill
you. If you are billed for an item over the amount and quantity invoice tolerances that
you define in the Invoice Tolerances window in Payables, then Invoice Validation
applies holds to the invoice and prevents payment until you release the holds.
For 3-Way matching to work, you must set a value for Quantity Received in the Invoice
Tolerances window, and the item needs to be set to receipt required.
•
2-Way. When you match to a purchase order or receipt, Invoice Validation
performs these control checks:
1. Quantity billed <= Quantity ordered
2. Invoice price <= Purchase order price
•
3-Way. Control checks 1 and 2, plus:
3. Quantity billed <= Quantity received
•
4-Way. Control checks 1, 2, and 3, plus:
4. Quantity billed <= Quantity accepted
Note that when you query suppliers in this window you cannot use Match Approval
Level as query criteria.
Quantity Received Tolerance. Maximum over-receipt tolerance percentage. During
receiving, Oracle Purchasing uses the over-receipt tolerance percentage and the
over-receipt control action to determine how to handle receipts that exceed the
2-32 Oracle Payables User's Guide
over-receipt tolerance. You also set over-receipt tolerance values at the following other
Oracle Purchasing levels: Receiving Options, item, and purchase order. For more
information, see Receiving Controls, Options, and Profiles, Oracle Purchasing User's
Guide.
Note that this field is unrelated to the Quantity Received value in the Invoice Tolerances
window in Payables.
Quantity Received Exception. How Purchasing handles receipts that exceed the
Quantity Received Tolerance:
•
None. Receipts may exceed the selected tolerance.
•
Reject. Purchasing does not permit receipts in excess of the selected tolerance.
•
Warning. Purchasing displays a warning message but permits receipts in excess of
the selected tolerance.
Receipt Date Exception. How Purchasing handles receipts that are earlier or later than
the allowed number of days selected
•
None. Receipts may exceed the allowed days early or late.
•
Reject. Purchasing does not permit receipts outside the selected number of days
early or late.
•
Warning. Purchasing displays a warning message but permits receipts outside the
selected number of days early or late.
Receipt Routing. Default receipt routing that you assign goods: Direct Delivery,
Inspection Required, or Standard Receipt.
Related Topics
Defining Purchasing Options, Oracle Purchasing User's Guide
Defining Default Options, Oracle Purchasing User's Guide
Defining Accrual Options, Oracle Purchasing User's Guide
Defining Control Options, Oracle Purchasing User's Guide
Defining Internal Requisition Options, Oracle Purchasing User's Guide
Defining Numbering Options, Oracle Purchasing User's Guide
Tax Reporting Information
Access the Suppliers: Tax and Reporting page to record supplier tax information to
enable three defaults during invoice entry, and to provide tax reporting information.
For more information, see: Taxes on Invoices, page 3-190.
Reporting Name. Tax reporting name for a supplier subject to United States Internal
Suppliers 2-33
Revenue Service (IRS) income tax reporting requirements. Required only if the tax
reporting name for the supplier is different from the supplier name. In accordance with
IRS requirements, Payables prints this name, instead of the supplier name, on all 1099
reports for the supplier.
For example, you define a supplier for a consulting firm owned and operated by a
single individual. You enter the name of the enterprise as the supplier name; however,
the tax reporting name for the enterprise is the name of the individual. The IRS levies
penalties against an enterprise that submits 1099 information with any name other than
the tax reporting name for the supplier. By entering the individual's name as the tax
reporting name, you produce 1099 information for the supplier that complies with the
IRS requirements.
Income Tax Reporting Site. Enable check box to select a site as the reporting site for a
supplier. This reporting supplier site's address is printed on the 1099 form, and
included in the 1099 Electronic Media Payables requires exactly one tax reporting site
for each 1099 supplier for income tax reporting purposes.
You can choose only one supplier site as the income tax reporting site for a supplier.
Payables requires a tax reporting site for each 1099 supplier for income tax reporting
purposes. Payables warns you if you do not select a tax reporting site for this 1099
supplier.
Verification Date. Date you received tax verification from the supplier. In Payables you
can submit Tax Information Verification Letters for your suppliers. Payables prevents
the generation of any further letters to a supplier after the Verification Date.
Name Control. The first four characters of the last name of your 1099 supplier Payables
displays the four character Name Control you enter here when you create your 1099
Electronic Media Report for federally reportable suppliers. If you do not enter any
values in the Name Control field, Payables does not print in the four positions
designated for the Name Control information in this supplier's B record when you
create your 1099 Electronic Media Report.
Organization Type. Type of enterprise for this supplier. The United States Internal
Revenue Service (IRS) requires this information if you use magnetic media to file your
1099 tax information.
•
Corporation
•
Government Agency
•
Individual
•
Partnership
•
Foreign Corporation
•
Foreign Government Agency
2-34 Oracle Payables User's Guide
•
Foreign Individual
•
Foreign Partnership
If you participate in the United States IRS Combined Filing Program and you make
payments to a foreign supplier, you need to ensure that you select one of the foreign
Organization Types to indicate that the supplier is a foreign entity. If you made 1099
payments to a foreign supplier, Payables flags the B records in your 1099 tape for those
suppliers who meet the Internal Revenue Service's reporting limit. Payables then
includes the country of these foreign suppliers in its 1099 reports.
Related Topics
Taxes on Invoices, page 3-190
Tax Codes, Oracle Payables Implementation Guide
1099 Reporting Overview, page 9-25
Entering Invoices for Suppliers Subject to Income Tax Reporting Requirements, page 3100
Tax Details and Withholding Information
Access the Suppliers: Tax Details page to enter tax details and specify withholding
applicability. The options you select for a supplier default to the new supplier sites you
enter, then default to invoices you enter for that site.
Taxpayer ID. Supplier's Tax Identification Number (TIN). If a supplier is an individual,
the TIN is the supplier's social security number. If a supplier is a corporation or a
partnership, the TIN is also known as a Federal Identification Number. In many
countries a fiscal code is the principal means of identifying and querying suppliers. The
fiscal code is unique across all entities and appears on all official documentation. You
can enter a fiscal code in the Taxpayer ID field of the Suppliers window and in the
Define Reporting Entities window. The Taxpayer ID you enter here will be displayed in
all supplier lists of values to help identify your suppliers.
If you enter nine zeros, 000000000, as the TIN value, the TIN appears as null on the
following reports: 1099 Electronic Media Report, 1099 Forms, and the Tax Information
Verification Letter. You can enter this value (000000000) for suppliers that are waiting
for their TINs, and for whom you need to record 1099 payments.
Allow Withholding Tax. Enable to allow withholding taxes for the supplier and
supplier site. If you do not allow withholding tax for a supplier, you cannot allow
withholding tax for any of the supplier's sites. If you disable at the supplier site, you
will not be able to allow withholding taxes for any invoices entered for this supplier
site.
Income Tax Type. Income tax type for a United States 1099 reportable supplier. Choose
from a list of 1099 Miscellaneous Tax types.
Suppliers 2-35
Purchasing retains the Income Tax Type at the purchase order line level for a supplier's
purchase orders. This value defaults from purchase orders to invoices matched to them.
If a purchase order matching is used, then the Income Tax Type defaults from the
purchase order instead of the Supplier or distribution set. The purchase order gets the
Income Tax Type from the Supplier when it is created. When the purchase order is
matched to an Invoice, the Income Tax Type defaults to the Invoice from the purchase
order, instead of from the Supplier or distribution set.
For unmatched invoices, this value defaults from the supplier to invoice distributions,
unless the invoice uses a Distribution Set that has an Income Tax Type value.
You can update the Income Tax Type on an invoice distribution at any time.
State. Enable this option if you participate in the United States Internal Revenue Service
Combined Filing Program and the supplier is reportable to a state taxing authority.
Payables uses this status for reporting purposes only. By marking a supplier as state
reportable, you can create custom reports that satisfy a tax authority's reporting
requirements. Refer to state tax publications to obtain information regarding 1099
reporting requirements.
Default Reporting Registration Number. Tax registration number, for example, a
supplier's value-added tax (VAT) registration number. You enter a tax registration
number for a supplier if it is required to pay or report on Value-Added Taxes (VAT).
Withholding Tax Group. A default withholding tax group to assign to all invoices for
the supplier site.
Related Topics
Withholding Tax Overview, page 10-15
Reviewing and Adjusting Suppliers
This discussion includes the following topics:
•
Finding Suppliers, page 2-36
•
Reviewing Suppliers, page 2-37
•
Adjusting Suppliers, page 2-38
Related Topics
Identifying Duplicate Suppliers, page 2-39
Finding Suppliers
You can find suppliers by using the Search region on the Suppliers page. In the Search
region, you can enter a wide variety of search criteria, including supplier name,
2-36 Oracle Payables User's Guide
supplier number, tax registration, or DUNS number. If you want to search for
employee-suppliers select Employee as the supplier type.
To find a supplier using the Search region:
1.
On the Suppliers home page, enter your search values into the appropriate search
fields.
You can enter complex criteria by entering information in several fields. Click the
Show More Options link to access additional search fields if necessary.
2.
Click Go.
The search results appear in the table below the search fields. Use the Update
button to access the details for the supplier.
Reviewing Suppliers
The To Do List region of the Suppliers page displays the number of outstanding change
requests that have been generated by suppliers. Only the nominated next AME
approver can update and Approve or Reject the request. General administrators, those
with access to the pages, can review details but cannot save any changes. The requests
are broken down by type:
•
New Supplier Requests: Each new supplier invitee added to a Sourcing event
creates a New Supplier Request. Suppliers that have not responded to the invitation
are listed with a status of Supplier to Provide Details. As an administrator, you can
access the invitation and fill out the details on behalf of the supplier if you need to
approve them to participate in the bidding for the Sourcing event. Those
prospective suppliers who have responded to the invitation and registered their
details are listed as Pending Approval and can be reviewed and approved by the
administrators identified in the approval flow hierarchy.
•
Prospective Supplier Registrations: These represent registration requests from
walk-up supplier registrations. Suppliers can save in process requests which appear
as Draft requests. Those that have been submitted show as Pending Approval.
•
Address, Contact, Business Classification, or Products and Services Requests:
Displays that there are corresponding requests submitted by any supplier.
•
Bank Account Requests: Displays that there are bank account request updates
submitted by any supplier.
The numbers next to the requests indicate the number of new account requests and also
the number of assignment requests.
Suppliers 2-37
Adjusting Suppliers
Updating Supplier and Supplier Site Defaults
Remember that when you make changes to values that default to Payables and
Purchasing documents, the changed value defaults only to new documents you
subsequently enter or create. For example, if you change the Pay Group for a supplier
site, the new Pay Group will default to new invoices you enter, but the change will not
affect existing invoices. Also, if you change a supplier value that defaults to supplier
sites, the change will only affect new supplier sites you create, but the change will not
affect existing supplier sites. Therefore, the change will not affect documents you
subsequently create for existing supplier sites. If you want a change to affect documents
you enter or create for an existing supplier site, be sure to make the changes at the
supplier site level.
The system allows to modify a supplier site information for an invoice that is
accounted.
To update supplier and supplier site defaults:
1.
Find the supplier using the main Suppliers page. See: Finding Suppliers, page 2-36.
2.
In the Suppliers pages, make any changes in the appropriate fields.
Updating Supplier Invoice Holds
Holds are controlled at the supplier site. For example, if you have enabled the Hold All
Invoices option for a supplier and supplier site, and you disable the option for the
supplier, but not the supplier site, all unvalidated invoices for the supplier site will
remain held for payment.
In the Suppliers: Quick Update or Invoice Management pages, update the hold status.
Related Topics
Applying Holds, page 3-210
Releasing Holds, page 3-214
Adding a New Supplier Site
To add a new supplier site:
1.
Find the Supplier. See: Finding Suppliers, page 2-36.
2.
From the address book, select an address and click Manage Sites and then click
Create.
3.
The Supplier Site Name defaults from the address. You can override if required.
2-38 Oracle Payables User's Guide
The Site Name does not appear on documents you send to the supplier; it is for
your reference when you select a supplier site from a list of values during
transaction entry. When you click Apply, the system creates the site or sites.
4.
You can change site information by navigating to the appropriate Suppliers page.
Updating a Supplier's Tax Status
To update a supplier's tax status:
1.
Find the Supplier. See: Finding Suppliers, page 2-36.
2.
In the Suppliers: Tax Details page, make any changes to the Taxpayer ID or Tax
Registration Number. See: Tax Details and Withholding Information, page 2-35.
In the Suppliers: Tax and Reporting page, update any additional information. For
detailed information on any field, see: Tax Reporting Information, page 2-33.
3.
In the Suppliers: Tax Details page, choose the Update Transaction Type in the
Supplier Sites region if you need to change a supplier site's tax information. Use the
Suppliers: Tax and Reporting page to change transaction tax options for the
supplier sites.
Important: If you are updating an existing supplier to 1099
reportable status after you have entered invoices and made
payments to the supplier, then you may want to use the Update
Income Tax Details Utility to make mass updates to existing
invoices.
Related Topics
Update Income Tax Details Utility and Report, page 9-11
Entering Invoices for Suppliers Subject to Income Tax Reporting Requirements, page 3100
1099 Reporting Overview, page 9-25
Suppliers subject to income tax reporting requirements, page 2-7
Identifying Duplicate Suppliers
Although the system will not allow you to enter duplicate supplier names, you may
inadvertently define the same supplier using two different names. For example, you
might enter Orion Corporation and Orion Corp, or you might enter a contractor under
his name and his company name. You might also create duplicate suppliers if you
import suppliers from another accounts payable system.
If you want to know if a supplier exists, you can query the Supplier in the Suppliers
Suppliers 2-39
page or submit the Supplier Listing by Supplier Name. When you enter an invoice,
check the list of values for the Supplier field to see if your supplier exists before you
enter a new supplier.
Tip: To avoid entering duplicate suppliers in Payables, consider
developing and using standard naming conventions for suppliers, and
restricting who can enter new suppliers.
Submit the following reports periodically to review your suppliers and identify
duplicates:
•
Suppliers Report. Lists detail supplier information. Report provides multiple
selection criteria and lists suppliers in alphabetical order. See: Suppliers Report,
page 9-20.
•
Supplier Audit Report. Lists active suppliers whose names are the same up to a
number of characters which you specify, and ignores case, spaces, special
characters, etc. The report lists all sites of each possible duplicate supplier. See:
Supplier Audit Report, page 2-46.
Related Topics
Supplier Merge Program, page 2-40
Supplier Merge Program
The Supplier Merge Program is a utility you can use to maintain your supplier records.
You can use it to merge duplicate suppliers into a single, consolidated supplier. You can
use it to merge transactions within the same supplier from one supplier site to a
different supplier site. You can choose to merge all transactions for a supplier into a
new supplier, or you can just choose to merge unpaid invoices. This option is useful in
the case of an acquisition. In that case, you might want to leave all of the transaction
history with the original supplier and only merge unpaid invoices to the new supplier
who now wants to receive the payments.
Important: Merging suppliers is an irreversible action. You cannot
reverse the merge once it has completed. Before you initiate the merge
program, you should be sure that the action you want to take is final.
When you merge supplier information you have different options. You can choose to
merge both invoices and purchase orders. If you choose to merge invoices, then you can
merge all invoices or just unpaid invoices. When you choose to merge all invoices, any
associated payments are merged as well. The unpaid option will not transfer partially
paid invoices or partially applied prepayments. If you have invoices with these
conditions, then you must choose the option to merge all invoices. Alternatively you
2-40 Oracle Payables User's Guide
can complete payment of the invoices or application of the prepayments.
The Supplier Merge Program updates all information related to the transaction you
choose to merge, depending on the other Oracle products you are using. If you choose
to merge invoices, other information that is updated with the new supplier information
is recurring invoice templates, accounting entries, project cost lines, fixed asset invoices,
and inventory movement statistics. If you choose to merge purchase orders, then all
related purchase order information is updated with the new supplier information. This
includes information like receipt transactions, requests for quotations, supplier
schedules, sourcing information, approved supplier lists, and MRP information.
Payables will not transfer invoices if the merge would create a duplicate invoice for the
new supplier. We recommend that you review the invoices for both the old supplier
and the new supplier before a merge so you can identify and resolve any duplicate
invoices.
You can run the Invoice History Report for each supplier to get a listing of all invoices.
If you find a duplicate invoice situation you need to decide what you want to do with
the duplicate record. You can leave it under the old supplier. If you want to merge it to
the new supplier, then you need to alter the invoice number so the merge does not
recognize it as a duplicate. If the invoice is unpaid, partially paid and not fully
accounted, then you can adjust the invoice number, merge, and then proceed to cancel
the invoice or take whatever action is needed. If the invoice is accounted or has any
posted distributions, then you cannot modify the invoice number.
When a primary pay site is merged with another site of the same supplier then the
destination site becomes the primary pay site. When you use the Copy Site option to
merge a primary pay site with a separate supplier that already has a primary pay site,
then the primary pay option becomes disabled when the site becomes a site of the
destination supplier.
Alternate Pay Site information is only copied when merging sites for the same supplier.
If you are merging two different suppliers, then the Alternate Pay Site information is
not copied to any new site or the destination site.
Selling Company Identifier is not copied from one supplier to a new supplier as this
could result in a duplicate record.
As part of the merge program, Payables makes inactive any supplier sites from which
you choose to merge all transactions. If you choose to merge all transactions for all sites,
Payables automatically makes inactive the supplier as well.
After the Supplier Merge Program completes, it automatically produces the Supplier
Merge Report as an audit trail of your supplier merge activity. The report lists all
invoices and purchase orders updated by the merge. It also lists duplicate invoices that
it did not merge. This information is not available online. If you need to retain this audit
trail you should keep this report.
Prerequisites
•
Identify duplicate suppliers. See: Identifying Duplicate Suppliers, page 2-39.
Suppliers 2-41
•
If you merge invoices, the consolidated supplier site must be a pay site. See:
Entering Supplier Information, Oracle iSupplier Portal Implementation Guide.
•
If you merge purchase orders, the consolidated supplier site must be a purchasing
site. See: Entering Supplier Information, Oracle iSupplier Portal Implementation Guide.
•
Submit Payables Open Interface Import for any invoice records that are in the
Payables Open Interface tables for the duplicate supplier. The merge does not
update any information in these interface tables since it has not yet been validated
and created as invoices. Also, after a complete supplier merge, the supplier will be
inactive, and you cannot import invoice records for inactive suppliers.
To initiate a supplier merge:
1.
In the Supplier Merge window, select which invoices to transfer to the new supplier
and site: All, Unpaid, or None.
2.
If you want to transfer all purchase order information to the new supplier, select
PO.
3.
Enter the supplier name and site from which you want to merge information. Enter
the supplier name and site to which you want to merge information. If the supplier
you want to transfer from has multiple sites that you want to merge, you must enter
a row for each supplier and site combination.
•
If you are merging supplier sites for the same supplier, then enter the same
supplier for both the From and To Supplier Names.
•
If you want the merge to automatically create an existing site belonging to the
old supplier for the new supplier, along with merging information in that site,
select Copy Site. When you do this you will not be able to enter a site in the To
Supplier Site field.
4.
Choose the Merge button. Payables submits a concurrent request to run the
Supplier Merge Program.
5.
Review the Supplier Merge Report after the request completes.
Related Topics
Purchase Order Header Updates Report, page 2-48
Supplier Merge Report, page 2-47
Employee Information
Payables uses employee information to create and update employee type supplier
2-42 Oracle Payables User's Guide
records. You can then pay employees for expense reports and invoices. If your site uses
Oracle HRMS, then you can access employee information entered by your Human
Resources department through the People window. If your site does not have Oracle
HRMS installed, you can access employee information in the Enter Person window.
If you have access to the function POS_HT_SP_EMP_SUPPLIER, then only you can
create, update, or query employee type suppliers. The creation and update of employee
suppliers are disabled by default.
To provide access to create employee type suppliers:
•
Include the function POS_HT_SP_EMP_SUPPLIER with the grant flag checked to
access to both standard and employee vendors
•
Check the grant flag for the function POS_HT_SP_EMP_SUPPLIER in the menu
POS_HT_SP_FULL_ACCESS_MENU. All the users who can create standard
suppliers can also create employee suppliers.
To set up Payables for integration with employee information:
1.
In the Financials Options window, set the options in the Human Resources region.
These provide defaults during employee record entry.
2.
In the Payables System Setup window, in the Supplier Number Entry field, choose
Automatic. If you don't choose this option, then Payables can't automatically create
suppliers for you during Expense Report Export.
3.
In the Payables Options window, set the options in the Expense Report region.
Enable the Automatically Create Employee as Supplier option so Payables will
automatically create a supplier record the first time you import an expense report
for each employee.
4.
Enter employee records. Either your Human Resources department enters
employee information in the People window (if HRMS is installed), or the
appropriate department enters employee information in the Enter Person window.
To ensure that Payables can create a supplier record during Expense Report Export,
the following are requirements for each employee record:
5.
•
the employee name is unique
•
reimbursement address for either Home or Office exists
•
City/State/Country does not exceed 25 characters
•
Zip Code for the home address does not exceed 20 characters
(Optional) In the Suppliers page, enter a supplier record for the employee. You
don't need to do this step if you complete steps 2 and 3, because the system creates
supplier records automatically during Expense Report Export.
Suppliers 2-43
To link an existing supplier with an employee, in the Suppliers: Organization page,
choose Employee as the Type, then enter either the employee name in the Supplier
Name field or the employee number in the Supplier Number field. (Payables creates
this link automatically for any employee supplier records it creates during Expense
Report Export.)
Check the Grant access to the security function, POS_HT_SP_EMP_SUPPLIER, that
enables you to create, update, or query employee suppliers. Creation and updating of
employee suppliers is disabled by default.
When you grant access to the Employee Supplier security function, all the users who
can create standard suppliers can also create employee type suppliers.
Updating Employee Supplier Records
When employee records are updated, the associated supplier records are not
automatically updated in the Suppliers pages. However, Payables updates employee
type supplier records at two times:
•
Expense Report Export:
Payables creates a new supplier record when you import the first expense report for
an employee if the Payables option Automatically Create Employee as Supplier is
enabled and if no supplier record already exists for the employee. The new supplier
record is linked to the employee record, and the supplier record has a single pay
site of either Home or Office, depending on which is selected in the Send To field on
the expense report.
•
Employee Update Program: You can submit this program at any time to update
employee type supplier name from the corresponding employee records. The
program updates only Supplier Name:
•
Supplier name (updated from employee name)
Tip: The system links the supplier number with the employee
number, so the link between the records is maintained even if
the employee name and supplier name change. So if you want
to query all records for any supplier, use the supplier number.
Employee Update Program
This program updates employee type supplier records if the corresponding employee
record has been changed.
Employee information is entered in the People window by your Human Resources
department if Oracle HRMS is installed at your site, and in the Enter Person window
when you don't have HRMS installed. You can link a Payables supplier record to an
2-44 Oracle Payables User's Guide
employee record in the Suppliers window. For detailed information on this topic see:
Employee Information, page 2-42.
When employee records are updated, the system does not automatically update the
corresponding supplier record. For example, if your Human Resources department
updates an employee's address, the employee's supplier record does not change.
When you submit the Employee Update Program, the system identifies any employee
records that have changed since the last time you submitted the program. If any
employee records have been updated, then the Employee Update Program updates
only the Supplier name:
•
Supplier Name (updated from Employee Name)
If the program updates any records, it produces a report that lists each employee
supplier record that was updated by the program. It lists the previous value and the
new, updated value. The report is sorted by supplier name.
Tip: It is suggested that you set up the Employee Update program to
run nightly so that payments to employees have up-to-date name and
address information.
Program Submission
Prerequisite
•
Employee records are entered in either the People window or the Enter Person
window, and the supplier records are linked to the employee records.
•
Newly changed employee names must not match the names of existing unrelated
suppliers. If the newly changed employee name is identical to an existing supplier
name, then Payables will list it as an exception on the report because you cannot
have duplicate supplier names. You can make the employee name unique by using
a middle name or initial.
You submit this program from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Program Parameters
This program has no parameters.
Report Headings
Supplier Name: The name of the supplier. If the program updated the supplier name,
then the report shows the new supplier name.
Updated Value: The type of value that was updated by the program. Possible values
Suppliers 2-45
are:
•
Name: The employee name was updated, and the program updated the supplier
name.
•
Home Address: The employee home address was updated, and the program
updated the Home supplier site address.
•
Office Address: The employee was assigned a different location or the address for
the location changed, and the program updated the Office supplier site address.
•
Inactive Date: The employee was assigned an employment termination date, and
the program updated the Inactive On value for the supplier.
The Employee Update program sets the Inactive Date on supplier to the Actual
Termination date when the Final Process date is not available. Later, if the Final Process
date is entered on the employee record, then the Inactive Date on the supplier record is
overwritten by the Final Process date
Updated From: The value that existed before the program updated it, for example, the
old address.
Updated To: The value that was updated during the program. For example, the new
address.
Supplier Audit Report
Use the Supplier Audit Report to help identify potential duplicate suppliers. For
example, you enter a supplier named Orion Corporation, and another supplier named
Orion Corp. This report lists active suppliers whose names are the same up to a
specified number of characters. The report ignores case, spaces, special characters, etc.
You may want to run the report with different parameters to fine tune your search.
Specify a length short enough to identify duplicates, such as Comco and Comco, Inc.,
but long enough to avoid obviously different supplier names, such as General
Instruments and General Electric.
The report lists all site names and addresses of each potential duplicate supplier.
Payables inserts a blank line between groups of possible duplicate suppliers. Review
the report to determine which suppliers are duplicates. After you have identified
duplicate suppliers, you can combine them using Supplier Merge. If you merge
purchase order information, then any references to the supplier in blanket purchase
orders, quotations, and autosource rules are updated to the new supplier.
Report Submission
You submit this report from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
2-46 Oracle Payables User's Guide
Selected Report Parameters
Matching Supplier Name Length. Number of characters in the supplier name that you
want Payables to compare to identify potential duplicate suppliers.
Related Topics
Identifying Duplicate Suppliers, page 2-39
Supplier Merge Program, page 2-40
Common Report Parameters, page 9-4
Common Report Headings, page 9-6
Supplier Merge Report
The Supplier Merge Program is a utility you can use to maintain your supplier records.
You can use it to merge duplicate suppliers into a single, consolidated supplier. You can
use it to merge transactions within the same supplier from one supplier site to a
different suppler site. You can choose to merge all transactions for a suppler into a new
supplier, or you can just choose to merge unpaid invoices. This option is useful in the
case of an acquisition. In that case you may want to leave all of the transaction history
with the original supplier and only merge unpaid invoices to the new supplier who
now wants to receive the payments.
The report lists the new (correct) suppliers and the old (duplicate) suppliers. The report
also lists invoice information for invoices updated for each set of new and old suppliers.
Payables prints the total number and total amount of invoices that have been updated
for each set of merged suppliers.
Payables also prints the total number of duplicate invoices. You can use this report to
identify any duplicate invoices, update the invoice number on one of the invoices, and
then resubmit Supplier Merge.
Report Submission
Payables automatically prints this report when you initiate a Supplier Merge. See:
Supplier Merge Program, page 2-40.
Related Topics
Identifying Duplicate Suppliers, page 2-39
Purchase Order Header Updates Report, page 2-48
Suppliers 2-47
Purchase Order Header Updates Report
Use the Purchase Order Header Updates Report to review purchase orders updated by
the Supplier Merge program.
This report prints the new (correct) and the old (duplicate) suppliers. It then lists for
each updated purchase order the purchase order number and name of the purchasing
agent.
Report Submission
Payables automatically prints this report when you initiate a Supplier Merge and
choose to update purchase orders for the suppliers you merge. See: Supplier Merge
Program, page 2-40.
Related Topics
Identifying Duplicate Suppliers, page 2-39
Supplier Merge Report, page 2-47
2-48 Oracle Payables User's Guide
3
Invoices
This chapter covers the following topics:
•
Invoices Overview
•
Entering Invoices Overview
•
Entering Invoice Batches in the Invoice Workbench
•
Entering Invoices in the Invoice Workbench
•
Entering Invoices with Matched Purchase Orders and Receipts in the Invoice
Workbench
•
Prepayments
•
Credit and Debit Memos
•
Mixed Invoices
•
Entering Foreign Currency Invoices
•
Entering Invoices for Suppliers Subject to Income Tax Reporting Requirements
•
Recurring Invoices
•
Quick Invoices
•
Payables Open Interface Import
•
Payment Requests
•
Self Service Invoices
•
Validation
•
Approving Invoices
•
Taxes on Invoices
•
Holds
•
Invoice Notices
•
Reviewing Invoices
Invoices 3-1
•
Adjusting Invoices
•
Oracle Assets Integration
•
Oracle Projects Integration
•
Oracle Purchasing Integration
•
Oracle Property Manager Integration
•
Oracle Grants Accounting Integration
•
Oracle Inventory Integration
•
Invoice Window References
Invoices Overview
An invoice is an itemized list of goods shipped or services rendered, with an account of
all costs. Oracle Payables lets you capture all the attributes of the real-life invoice
documents you receive from your suppliers. When you enter an invoice in Payables, the
invoice information is divided between the invoice header and the invoice lines.
Invoice Types
•
Standard
An invoice from a supplier representing an amount due for goods or services
purchased. Satandard invoices can be either mathced to a purchase order or not
matched.
•
Credit Memo
A memo from a supplier representing a credit amount toward goods or services
•
Debit Memo
An invoice you enter to record a credit for a supplier who does not send you a
credit memo.
•
Mixed
An invoice type you enter for matching to both purchase orders and invoices. You
can enter either a positive or a negative amount for Mixed invoice type.
•
Prepayment
A type of invoice you entr to pay an advance payment for expenses to a supplier or
employee.
•
Expense Report
An invoice representing an amount due to an employee for business-related
3-2 Oracle Payables User's Guide
expenses.
•
Withholding Tax
An invoice you enter to remit taxes withheld to the appropriate tax authority.
•
Retainage Release
An invoice created for complex work and advance contract financing
Invoice Structure
Invoice Header
The invoice header defines the common information about the invoice: invoice number
and date, supplier information, remittance information, and payment terms.
Information specified at the invoice header level defaults down to the line level. You
can override the header level information for individual lines, as required.
Invoice Lines
The invoice lines define the details of the goods and services as well as the tax, freight,
and miscellaneous charges invoiced by the supplier. There can be multiple invoice lines
for each invoice header. The Lines tab of the Invoice Workbench captures all of the
details for the invoice line necessary for accounting, as well as for cross-product
integration with other Oracle E-Business Suite applications, such as Assets, Grants
Accounting, Inventory, Projects, Purchasing, Property Manager, and Receivables.
For each invoice, you can manually enter invoice lines, or you can automatically
generate lines by matching the invoice to a purchase order shipment, pay item, or
receipt. See: Matching to Purchase Orders, page 3-32.
Each invoice line can have multiple distributions tied to each line. Each distribution
serves as the source for an accounting entry generated from the invoice. See:
Distributions, page 3-18.
If you need to enter a price or quantity correction, you can do so for the specific line.
See: Price Corrections, page 3-66.
You can set up line-level approvals using the Invoice Lines Approval workflow.
Requesters must approve all lines before they can approve the invoice header. See:
Invoice Lines Approval Workflow, page 3-182.
The following different types of invoice lines are supported:
Item Lines
Item lines capture the details of the goods and services billed on your invoice.
Invoices 3-3
Freight and Miscellaneous Lines
Freight lines capture the details of your freight charges. Freight charges can be allocated
to Item lines as required.
Miscellaneous lines capture the details of other charges on your invoices such as
installation or service. Like Freight lines, Miscellaneous lines can be allocated to Item
lines.
Tax lines
Payables integrates with Oracle E-Business Tax to automatically determine and
calculate the applicable tax lines for your invoices. E-Business Tax uses your tax setup,
plus fields on the invoice header and lines, known as tax drivers, to determine which
taxes should be applied to the invoice, to calculate the tax using the appropriate tax
rates, and to determine whether or not the tax is recoverable or non-recoverable.
E-Business tax creates the necessary tax lines and distributions for the invoice and
allocates tax. If your tax setup permits, you can update the tax lines or manually enter
tax lines. See: Taxes on Invoices, page 3-190
Invoice Types
Payables provides the following invoice types:
•
Standard
•
Mixed
•
PO Price Adjustment
•
Credit Memo
•
Debit Memo
•
Prepayment
•
Expense Report
You can use these invoice types to enter any type of invoice document you receive from
a supplier. For example, you can enter basic invoices that are not matched to purchase
orders or more complex invoices that matched to purchase orders at the header, lines,
shipping or receipt levels. You can enter invoices in foreign currency or enter invoices
for suppliers who are subject to income tax reporting requirements (1099). The
characteristics of each invoice type are described below.
Standard Invoices
Standard Invoice are invoices from a supplier representing an amount due for goods or
services purchased. Standard invoices can be either matched to a purchase order or not
3-4 Oracle Payables User's Guide
matched. Standard invoices must be positive amounts.
Mixed Invoices
Mixed Invoices can be matched to both purchase orders and invoices. Mixed invoices
can have either positive or negative amounts.
PO Price Adjustment Invoices
PO Price Adjustment Invoices are for recording the difference in price between the
original invoice and the new purchase order price. PO price adjustment invoices can be
matched to both purchase orders and invoices.
Credit Memo
Credit Memos are memos from a supplier representing a credit amount toward goods
or services. Credit memos are always negative amounts.
Debit Memo
Debit Memos are invoices you enter to record a credit for a supplier who does not send
you a credit memo.
Prepayment
Prepayments are invoices you enter to record an advance payment for expenses to a
supplier or employee.
Expense Reports
Expense Reports are invoices representing an amount due to an employee for
business-related expenses.
Scheduled Payments
Scheduled payments are created based on payment terms when the invoice header is
saved. An invoice header can have one or more scheduled payments.
Distributions
Distribution details include invoice accounting details, the GL date, charge accounts,
and project information. An invoice line can have one or more invoice distributions.
Entering Invoices Overview
You can enter and import invoices into Payables in many ways:
Manual Invoice Entry
You usually enter supplier invoices in either the Invoice Workbench or the Quick
Invoices 3-5
Invoices window. You can match to purchase orders when entering these invoices. For
information on the differences between these windows, see the following section,
Differences Between Entering Invoices in the Quick Invoices Window and the Invoice
Workbench, page 3-10.
•
Invoice Workbench: (Invoice Batches window, Invoices window, Distributions
window, and the associated windows). Used to enter any invoice directly into the
Payables system. Use this instead of the Quick Invoices when entering complex
invoices or invoices that require online validation and defaulting. Also used when
entering an invoice that needs immediate action, such as payment. See: Entering
Basic Invoices in the Invoice Workbench, page 3-14, and Entering Invoice Batches,
page 3-11.
•
Quick Invoices window: Used for quick, high-volume invoice entry for invoices
that do not require extensive validation and defaults. After entry, you import these
into the Payables system. Validation and defaulting occur during import. See:
Entering Invoice Records in the Quick Invoices window, page 3-116.
The following features highlight the differences between the Invoice Workbench and
Quick Invoices:
•
Enter Prepayment type invoices
•
Enter Debit Memo type invoices
•
Match Credit Memos to invoices
•
Calculate taxes on invoices
Online results seen only in the Invoice Workbench Although the following occurs
during import, in the Invoice Workbench you can see online results of the following:
•
Tax lines and distributions
•
Allocation
•
Automatic sequential voucher numbering
Tasks performed during invoice entry only in the Invoice Workbench Although you can
perform the following tasks in the Invoice Workbench after you have imported Quick
Invoices, use the Invoice Workbench if you want to perform any of these tasks during
invoice entry:
•
Use invoice attachments
•
Apply holds to single invoices
•
Apply holds to scheduled payments
3-6 Oracle Payables User's Guide
•
Override default payment priority from supplier
•
Override the Terms Date
•
Create payments
•
Calculate taxes
Automatic Invoice Creation
You can set up your system to automatically create periodic invoices, for example, rent
invoices:
•
Recurring Invoices. See: Entering Recurring Invoices, page 3-103.
•
RTS Invoices. If you use Return to Supplier feature in Oracle Purchasing, the
system creates these debit memos directly in Payables.
•
Retroactive Price Adjustment Invoices. If Oracle Purchasing users use the
Retroactive Pricing of Purchase Orders feature, the system automatically creates
Adjustment and PO Price Adjustment invoices.
Invoices Import
You can import invoices or invoice information to create invoices in Payables. See:
Expense Report Export Program, page 4-11 and Payables Open Interface Import
Program, page 3-142.
•
Oracle Internet Expenses expense reports: Expense reports your employees enter
using a Web browser.
•
Payables expense reports: Expense reports entered in the Payables Expense reports
window by the Payables department. See: Expense Reports and Credit Cards,
Oracle Payables Implementation Guide.
•
Credit Card invoices: Invoices for employee credit card expenses. The credit card
company sends you these invoices as a flat file. See: Procurement Card Integration,
page 4-21.
•
EDI invoices. Electronic invoices transferred from Oracle e-Commerce Gateway.
See: Running the EDI Invoice Inbound Program, Oracle e-Commerce Gateway User's
Guide.
•
XML invoices. Electronic invoices transferred from the Oracle XML Gateway. See:
XML Invoices, Oracle Payables Implementation Guide.
•
Invoices from external systems. Invoices, such as invoices from legacy systems,
Invoices 3-7
loaded using SQL*Loader. See: Using SQL*Loader to Populate the Payables Open
Interface Tables, Oracle Payables Implementation Guide.
•
Oracle Property Manager invoices: Lease invoices transferred from Oracle
Property Manager. See: Oracle Property Manager Integration, page 3-307.
•
Oracle Assets lease payments: Lease payments transferred from Oracle Assets.
See: Assets Integration, page 3-284.
Supporting Third Party Payment
Financial settlement is one of the key components of a business process. It is the final
step in completing the business transaction. In the Procure to Pay cycle, suppliers send
invoices to customers after delivering goods or rendering services. Once the invoices
are received, the accounts payables department of the customer validates the invoices
and approves them for payments.
The payments made to the suppliers during the settlement process are generally
dependent on the agreement entered into between the customers and suppliers for
carrying on the business transactions. Payments are generally made to the original
supplier providing the goods or services, however there can be specific arrangements
made wherein the suppliers can specify a different party to be paid on their behalf. The
payments made to other parties on behalf of the suppliers are termed as Third Party
payments.
Third Party payments help parties involved in business to set off their liabilities without
directly paying them. This reduces the direct funds movements and transactions are
settled easily.
When customers make payments from their Payables system, there might be
instructions from the supplier to make the payment to a different party, that is the Third
Party. In that case, the remittance of the payment goes to the Third Party. For all legal
purpose including 1099, it is treated as a payment to the original supplier.
The Payables department maintains the Supplier information. Establishing Third Party
Payment relationship is part of the supplier maintenance activity.
The Payables clerk may also have information of the Third Party at the time of entering
the invoices. The Payables clerk can have the right to override the Third Party defaulted
at the time of invoice entry.
The Payments clerk processes the payment for the invoices that are due for payment.
Generally the payments clerk is aware of the Third Party suppliers to whom the
payments can be released on behalf of the supplier. The Payment's department have the
right to override the actual party to whom the payment can be made at the time of
making payments.
This functionality lets you do the following:
•
Establish Third Party relationship
3-8 Oracle Payables User's Guide
•
Default Third Party supplier information when creating invoice and processing
payments
•
Override Third Party supplier information on the Invoice and Payments windows
•
Default Remit To Bank Account for the Third Party supplier on Invoice and
Payment windows
•
While processing payments to Third Party Supplier:
•
Uses the address of the Third Party supplier, when the Payment Process Type is
Printed
•
Uses the Bank and Bank Account information of the Third Party supplier, when
the Payment Process Type is Electronic to transfer funds
Related Topics
Entering Foreign Currency Invoices, page 3-96
Mixed Invoices, page 3-96
Prorating Freight and Miscellaneous Charges, page 3-20
Entering Freight on Invoices, page 3-14
Taxes on Invoices, page 3-190
Entering Invoices for Suppliers Subject to Income Tax Reporting Requirements, page 3100
Invoice Validation, page 3-172
Applying Holds, page 3-210
Releasing Holds, page 3-214
Scheduling Invoice Payments, page 3-30
Entering Prepayments, page 3-74
Finding Invoice Batches, page 3-224
Finding Invoices, page 3-224
Adjusting Invoices, page 3-271
Cancelling Invoices, page 3-282
Checking Funds for Invoices, page 10-27
Entering Prepayments, page 3-74
Invoice Overview, page 3-231
Foreign Currency Transactions, page 6-1
Invoices 3-9
Prepayments, page 3-72
Mixed Invoices, page 3-96
Invoice Overview, page 3-231
Invoice Notices, page 3-221
Discounts, page 3-31
Assets Integration, page 3-284
Oracle Inventory Integration, page 3-307
Differences Between Entering Invoices in the Quick Invoices Window and the Invoice
Workbench
You can enter invoices in either the Quick Invoices window or the Invoice Workbench.
The following discussion outlines the differences between entry in the two windows to
help you decide when to use a particular window for invoice entry.
When You Should Use Quick Invoices For Invoice Entry
Use the Quick Invoices window for your everyday entry of invoice records. Use this
window for rapid, high-volume entry of Standard and Credit Memo invoices that are
not complex and do not require extensive online validation or defaulting of values
during entry. You can use this window for purchase order matching and for applying
prepayments to the invoice you are entering. See below for a list of invoice entry tasks
that cannot be performed in the Quick Invoices window, and that you should perform
in the Invoice Workbench instead.
Use the Quick Invoices window if you want to use the Open Interface Workflow. You
can customize the Open Interface Workflow to process your invoice records before you
import them. For example, you can perform custom validation of cost center
information before you submit import.
When You Should Use the Invoice Workbench For Invoice Entry
Use the Invoice Workbench for entering and maintaining more complex invoices for
which you require extensive online validation and online defaulting. You may also
want to use the Invoice Workbench if you need to perform an action on the invoice
immediately after entering it. For example, if you need to enter an invoice and create a
payment for it, then enter the invoice in the Invoice Workbench so the record is
immediately accessible for validation and payment.
Functionality available only by invoice entry in the Invoice Workbench
Use the Invoice Workbench to:
•
Enter Prepayment type invoices
3-10 Oracle Payables User's Guide
•
Enter Debit Memo type invoices
•
Match Credit Memos to invoices
•
Calculate taxes on invoices
Online results seen only in the Invoice Workbench
Although the following occurs during import, in the Invoice Workbench you can see
online results of the following:
•
Tax lines and distributions
•
Allocation
•
Automatic sequential voucher numbering
Tasks performed during invoice entry only in the Invoice Workbench
Although you can perform the following tasks in the Invoice Workbench after you have
imported Quick Invoices invoices, use the Invoice Workbench if you want to perform
any of these tasks during invoice entry:
•
Use invoice attachments
•
Apply holds to single invoices
•
Apply holds to scheduled payments
•
Override default payment priority from supplier
•
Override the Terms Date
•
Create payments
•
Calculate taxes
Entering Invoice Batches in the Invoice Workbench
You can use invoices batches to:
•
Enter invoice defaults at the batch level that override system or supplier site
defaults for all invoices in the batch.
•
Maximize accuracy by tracking variances between the control invoice count and
total and the actual invoice count and total resulting from your invoice entry.
•
Easily locate a batch online and review the name of the person who created the
Invoices 3-11
batch and the date it was created.
Prerequisites
•
Enable the AP: Use Invoice Batch Controls profile option. See: Profile Options in
Payables, Oracle Payables Implementation Guide.
•
Group unentered invoices into batches.
•
Establish a systematic naming convention to help you locate batches. For example,
you may want to include in your invoice batch name the date or the initials of the
person who entered the batch.
Tip: If you file physical documents by invoice batch name, a
systematic naming convention will facilitate retrieval.
To enter an invoice batch:
1.
In the Invoice Batches window enter a unique value in the Invoice Batch Name
field. The Invoice Batch Name must be unique across all operating units. This name
appears on your reports and helps you locate the batch online.
2.
Enter the number of invoices in the batch in the Control Count field.
Enter the sum of invoice amounts in the batch in the Control Total field.
Payables tracks variances between the Control Count and Total and the Actual
Count and Total as you enter invoices.
Note: If there is a discrepancy between the invoice amount and
batch amount, Payables warns you when you exit a batch but it
does not prevent Invoice Validation and payment of the individual
invoices within a batch. You can make a correction immediately, or
you can adjust the invoice batch later.
3.
Enter any Invoice Defaults you want for the invoices. Defaults include: Currency,
Type, Document Category, Hold Name, Liability Account, Payment Terms, Pay
Group, GL Date, and Hold Reason.
These values you enter for defaults override any system and supplier site defaults
for the invoices. For example, if you want the purchase order to provide the default
value for Payment Terms on the invoice, then leave the Payment Terms field here
blank.
When you enter individual invoices you can override any values that default from
the batch.
4.
Choose the Invoices button and enter the invoices.
3-12 Oracle Payables User's Guide
5.
Save your work.
Related Topics
Invoice Batches Window Reference, page 3-315
Invoice Validation, page 3-172
Adjusting Invoice Batches, page 3-275
Entering Invoices in the Invoice Workbench
Use the Invoice Workbench to enter and maintain complex invoices for which you
require extensive online validation and online defaulting. Also, use the Invoice
Workbench if you need to perform an action on the invoice immediately after entering
it. For example, if you need to enter an invoice and create a payment for it, then enter
the invoice in the Invoice Workbench so the record is immediately accessible for
validation and payment.
Enhancements to Invoice Number Validation
The Invoice Number Validation has been enhanced and you can record supplier
invoices for an operating unit with same invoice numbers for invoices originating from
different supplier party sites.
To support this feature, the invoice number related validation has been enhanced in the
following areas or components in the application:
•
Invoice Workbench window
•
Quick Invoices window
•
Recurring Invoices window
•
Payables Open Interface Import program
•
iSupplier Portal – Create Invoices
•
Supplier Merge Program
Impact on Existing Users
This enhancement relaxes the invoice number validation and it to now allow existing
users to record supplier invoices for an operating unit with same invoice numbers for
invoices provided they originate from different supplier party sites.
Invoices 3-13
Related Topics
Entering Basic Invoices in the Invoice Workbench, page 3-14
Entering Distributions in the Invoice Workbench, page 3-18
Creating Distributions by Allocation in the Invoice Workbench, page 3-20
Payment Schedules, page 3-30
Entering Basic Invoices in the Invoice Workbench
You can use the Invoice Workbench to enter basic invoices. A basic invoice is a trade
invoice you receive from a supplier that will not be matched to a purchase order or
receipt.
Prerequisite
•
Enter the supplier and at least one pay site in the Suppliers window. See: Entering
Supplier Information, Oracle iSupplier Portal User Guide.
To enter an unmatched (basic) invoice:
1.
Navigate to the Invoice Workbench.
2.
Enter or accept the default for Operating Unit.
3.
Select Standard or Mixed for the invoice Type.
Note: Standard invoices must have positive lines and Mixed
invoices can have positive or negative lines.
4.
Enter or accept defaults for the basic invoice header information such as the
Trading Partner, Supplier Number, Supplier Site, Invoice Date, Invoice Number,
Invoice Currency, and Invoice Amount.
Payables prints the address for the Supplier Site on the payment.
Payables may use the invoice date you enter as the Terms Date and GL Date default
for an invoice, depending on how your Payables Options and Defaults are set up.
5.
Review and update the Payment Terms, Payment Terms Date, Pay Group, Payment
Method, as necessary.
6.
Payables automatically schedules payment of the invoice using the following
header fields: Invoice Amount, Terms, and Terms Date. Enter or review the defaults
for these fields.
7.
Optionally, enter a Distribution Set. The distribution set does not populate the
distribution account on the invoice lines window. It only creates distribution lines,
3-14 Oracle Payables User's Guide
not invoice lines.
8.
Enter other invoice header information as required.
9.
To enter invoice lines, select the Lines tab. Enter an invoice line for each line that
appears on a supplier's invoice.
Note: The Gross Total for the invoice lines must be the same as the
Invoice Amount for the invoice header, or the invoice will not pass
validation.
10. Enter the line Type. Possible types are: Item, Freight, Miscellaneous, or Tax. You
can only enter tax lines if your tax setup permits. See: Taxes on Invoices, page 3-190.
11. Optionally, enter the Quantity Invoiced, UOM, and Unit Price of the item you are
invoicing.
12. Enter the total Amount of the invoice line as shown on the supplier's invoice.
13. Optionally enter a Description of the item you are invoicing.
14. Optionally, enter a Requestor if you are using the Invoice Approval Workflow. See:
Invoice Approval Workflow, page 3-182.
15. Accept the default GL Date or change as necessary.
16. If you are entering a Freight or Miscellaneous line and you want to allocate the
charge equally across all item lines, check the Prorate Across All Item Lines check
box. You can allocate Freight or Miscellaneous lines to specific Item lines, or allocate
a specific amount or percent by clicking the Allocate button. See: Allocation, page 321.
Tax lines are automatically allocated. See: Taxes on Invoices, page 3-190.
17. Enter Remit to Supplier Name and Remit to Supplier Site if you want to pay to the
Third Party. These fields are mandatory and enable you to record the Third Party
supplier to whom the payments are to be made. After you select the Trading
Partner (Invoicing Supplier), Supplier Site and enter the Invoice Date in the invoice
header and tab out, the values in the Remit to Supplier Name and Remit to Supplier
Site fields are defaulted on the invoice header based on the relationship defined for
the Trading Partner (Invoicing Supplier) at the supplier site level.
18. Enter distribution information for the line. You can enter distributions in the
following ways:
•
Automatically using a Distribution Set. Review the Distribution Set for the
line. If the Distribution Set defaulted from the invoice header, you can change
Invoices 3-15
the distribution set as required.
•
Automatically by Matching to Purchase Order or Receipt. If the invoice is
matched to a purchase order, the distributions default into the invoice from the
purchase order or receipt . Review the distributions in the Distributions
window.
•
Manually. Enter the distribution account information directly in the
Distribution Account field, or enter them in the Distributions window. See
Entering Invoice Distributions, page 3-18.
The Distribution Account is used only for defaulting. Once it has been
defaulted onto the distributions and if the account on the distributions is
overridden, it is not corrected or reflected on to the lines.
•
Manually by allocating charges. If you are entering a Freight or Miscellaneous
line, you can create distributions by allocation. See:Creating Distributions by
Allocation, page 3-20.
19. If you want to overlay the default distribution information for the line, complete
any of the following fields as necessary:
•
Distribution Account
•
Default Account Description
•
Overlay Account
•
Balancing Segment
•
Cost Center Segment
•
Account Segment
The values you enter in these fields (for example, balancing segment, cost center,
and account), will overlay the defaulted account information. When you overlay
account information, use the account flexfield structure of your organization.
For example, assume that the default distribution account for a line is:
01.002.2200.003. The first segment represents the balancing segment, the second
segment is the cost center, the third segment is the account, and the last segment is
the sub-account. If you enter a different cost center (034) in the Cost Center Segment
field, then the system will overlay the Cost Center Segment on top of the default
distribution account, resulting in the following account: 01.034.2200.003.
The overlay information may be ignored in favor of the defaulted account
information if:
•
project information is provided and the Project Account Override option is
3-16 Oracle Payables User's Guide
turned off;
•
the invoice is matched to a purchase order or receipt and the system is accruing
on receipt or the Allow Account Override option is turned off;
•
the line is for a price or quantity correction and the system is accruing on
receipt or the Allow Account Override option is turned off.
For more information on the Account Overlay feature, see: Account Overlay in
Payables Open Interface Import, Oracle Payables Reference Guide.
For a detailed description of these fields, see: Invoices Window Reference, page 3317.
20. Enter other invoice line information as required.
21. Enter tax lines for the invoice. You can enter tax lines:
•
Automatically. Click Calculate Tax and E-Business Tax determines the
applicable taxes based on the invoice header and line information and
calculates the appropriate tax lines and distributions. See: Taxes on Invoices,
page 3-190.
•
Manually. If your tax setup permits, you can enter tax lines. See: Taxes on
Invoices, page 3-190.
22. Save your work.
23. To view distributions for the line, click Distributions.
Related Topics
Adjusting Invoices, page 3-271
Applying Holds, page 3-210
Applying Prepayments to Invoices, page 3-75
Invoice Validation, page 3-172
Attachments in Payables, Oracle Payables Implementation Guide
Budgetary Control In Payables, page 10-26
Creating Single Payments, page 5-13
Distributions Window Reference, page 3-339
Entering Credit/Debit Memos, page 3-90
Entering Foreign Currency Invoices, page 3-96
Entering Freight on Invoices, page 3-14
Invoices 3-17
Entering Invoice Distributions, page 3-18
Entering Project Related Invoices and Distributions, page 3-289
Entering Supplier Information, Oracle iSupplier Portal Implementation Guide
Financials Options, Oracle Payables Implementation Guide
Invoices Window Reference, page 3-317
Payables Options, Oracle Payables Implementation Guide
Creating Multiple Payments, page 5-25
Scheduling Invoice Payments, page 3-30
Taxes on Invoices, page 3-190
Entering Distributions in the Invoice Workbench
The distributions you enter for an invoice allocate the invoice line amount to various
expense or asset accounts. For example, you can distribute expenses from one office
supply invoice line to expense accounts for several departments. Payables uses
distributions to create accounting entries for invoices.
You can create distributions:
•
Automatically using a Distribution Set. See: Distribution Sets, Oracle Payables
Implementation Guide
•
Automatically by matching an invoice to a purchase order or receipt. See: Entering
Invoices with Matched Purchase Orders and Receipts in the Invoice Workbench,
page 3-32
•
Manually in the Distributions window. See: Entering Invoice Distributions
Manually, page 3-18
•
Manually by allocating charges. See: Creating Distributions by Allocation, page 320
In general, Tax distributions are automatically created by E-Business Tax. However, if
your tax setup permits, you can enter tax distributions manually. See: Taxes on
Invoices, page 3-190.
If an invoice is matched to a purchase order, Payables checks the distributions to see if
they are within the tolerance you define. See: Invoice Tolerances, Oracle Payables
Implementation Guide.
Entering Invoice Distributions Manually in the Distributions Window
You can enter distributions manually if you want to control how the total invoice
amount is allocated to various expense or asset accounts.
All manually entered distributions will automatically have a Distribution Class of
3-18 Oracle Payables User's Guide
Permanent.
You cannot enter distributions manually for the following types of invoice lines:
purchase order/receipt matched lines, prepayment applications/unapplications,
automatic withholding tax lines, or lines related to corrections.
To enter distributions manually in the Distributions window:
1.
Select your invoice in the Invoice Workbench, then select the line that you want to
enter distributions for, and choose the Distributions button to navigate to the
Distributions window.
2.
Choose a distribution Type. Choose Item for goods or services you ordered. Choose
Miscellaneous for other expenses on an invoice that are not freight or withholding
tax. Choose Freight or Withholding Tax for those types of charges.
Note: If you use Periodic Costing and enter a Freight or
Miscellaneous invoice line, then you need to Allocate the charges to
one or more distributions. See: Creating Distributions By Allocating
in the Invoice Workbench, page 3-20.
3.
Enter the distribution Amount and the GL Account.
If you enter an asset type Account, Payables automatically enables the Track as
Asset check box at the distribution level and you cannot change it. If you enter an
expense account and want to import this distribution to Oracle Assets, enable the
Track as Asset check box at the distribution level. See: Assets Integration, page 3-284
.
4.
Enter or override defaults for other distribution fields as necessary.
The distribution GL Date defaults from the GL Date you entered on the invoice line,
which gets its default from the invoice header. You can override the default and
change the distribution GL Date to any date in an open or future period. Payables
uses the GL Date as the accounting date for a distribution.
5.
Enter any additional distributions in the same manner.
If the sum of the distributions does not equal the Invoice Total, Payables will put
the invoice on Distribution Variance hold during Invoice Validation.
6.
Save your work.
Related Topics
Adjusting Invoices, page 3-271
Distributions Window Reference, page 3-339
Distribution Sets, Oracle Payables Implementation Guide
Invoices 3-19
Entering Freight on Invoices, page 3-14
Invoice and Invoice Batch Default Chart, page B-1
Taxes on Invoices, page 3-190
Creating Distributions by Allocation in the Invoice Workbench
You can use the Allocations window to automatically create freight or miscellaneous
distributions. The Allocations window displays when you navigate to the allocate
button from invoice lines.
The charge distributions you create are allocated Freight or Miscellaneous distributions.
Allocation associates a charge with the cost of an item on a receipt. This allocation
information is used to record the full cost of a receipt item if you use one of the Periodic
Costing options available in Oracle Cost Management. For details on Allocation, see:
Allocation, page 3-21.
If you navigate to the Allocations window through an Invoice Line (not distribution),
then all the allocated lines (Freight and Miscellaneous) display. If you view in the
context of a Freight or Miscellaneous line, then you can see all the invoice lines and then
allocate (percentage, amount, prorate) against the invoice lines. In this case,
distributions for Freight and Miscellaneous lines are generated automatically based on
invoice line distributions.
For each selected distribution, Payables creates a charge distribution and records the
allocation. The new distribution has the same GL account as the distribution to which
you allocate it. After Payables creates the distribution you can update the account any
time before the invoice is accounted.
Note: If you are matching to a purchase order shipment or receipt, then
you have the option of allocating directly in the match window,
without navigating to the Distributions window. If you are matching to
a purchase order distribution, then allocate freight and miscellaneous
charges in the Allocate window. See: Allocate Window, page 3-22.
To create freight or miscellaneous distributions by allocating to item distributions:
1.
In the Invoices window, enter all basic invoice information. See: Entering Basic
Invoices, page 3-14.
2.
Enter invoice distributions using the method of your choice. Select any Item or new
distribution.
Note: The selected record must be an Item or a new distribution if
you want to use the Charge Allocations window to create new
distributions.
3-20 Oracle Payables User's Guide
3.
Choose the Allocate button. Payables opens the Charge Allocations window.
4.
All the invoice lines display and you can allocate (percentage, amount, prorate)
against the invoice lines. In this case, distributions for Freight and Miscellaneous
lines are generated automatically based on invoice line distributions.
5.
In the Allocations region, Payables displays all distributions. You can allocate
freight and miscellaneous charges to Item distributions only.
Select the distributions to which you want to allocate the charge by checking the
check box to the left of the Item distribution. If a distribution is not eligible for
allocation, for example, it is an Item distribution, you cannot select the check box.
6.
Specify the charge amounts allocated to each selected invoice line distribution. You
can either prorate the charge amount to all selected Item distributions by using
Prorate check box, or you can enter specific charge amounts for each selected Item
distribution.
•
Prorate button. Payables creates distributions that have amounts proportional
to the Item amounts on the selected distributions. For example, if you are
allocating a $10 freight charge to two selected distributions, one for $75, and
one for $25, Payables will create two freight distributions, one for $7.50, and one
for $2.50.
•
Amount. Enter a charge amount in the Allocated Amount field for each selected
Item distribution. The sum of the charge amounts, which is displayed in the
Allocated Total field, must equal the charge amount you entered in the Amount
field.
7.
To create more allocated charge distributions (Freight or Miscellaneous), choose the
New button. Payables saves your allocations and clears the Charge Allocations
window so you can allocate new charges.
8.
Choose the OK button to allocate the Charge Amount to the selected the invoice
line distributions and close the window. Payables automatically creates the Freight
or Miscellaneous distributions. You can review them in the Distributions window.
Related Topics
Allocation Restrictions, page 3-29
Charge Allocations Window Reference, page 3-24
Allocation
If you use one of the Periodic Costing options available in Oracle Cost Management to
record costs of goods that you order, then when you manually enter distributions for
other charges (tax, freight, or miscellaneous), you need to record the distributions to
Invoices 3-21
which they are allocated. Allocation enables you to record accurately all costs associated
with a receipt.
If you Do Not Use Periodic Costing
If you have not installed Oracle Cost Management or do not use Periodic Costing, you
do not need to record these allocations. However, you may find the Charge Allocation
and Allocate windows useful for automatically creating charge distributions. If you do
not use Periodic Costing, we suggest you read only the following allocation discussions:
•
Creating Distributions by Allocation, page 3-20
•
Charge Allocations Window Reference, page 3-24
•
Allocate Window, page 3-22
•
Allocation Restrictions, page 3-29
If You Use Periodic Costing
If you use Periodic Costing, then you may find all of the allocation discussions helpful:
•
Charge Allocations Window Reference, page 3-24
•
Creating Distributions by Allocation, page 3-20
•
Matching Charges to Material Receipts, page 3-26
•
Recording Allocations for Periodic Costing, page 3-28
•
Reviewing Allocation of Other Charges, page 3-30
•
Allocation Restrictions, page 3-29
Allocate Window
Use the Allocate window to automatically create allocated tax, freight, and
miscellaneous distributions when you are matching to a purchase order or receipt.
Payables does not create the distributions until you choose the Match button in the
matching window (Match to Receipts window, Match to Purchase Orders window, or
Match to Purchase Order Distribution window).
Note: You cannot adjust Adjustment and PO Price Adjustment
invoices. For more information, see the Oracle Purchasing User Guide.
Notice that in the matching window displays the Associated Charges region. If you
want to change the allocated amounts, deselect the Freight/Misc check box to clear the
amounts. You can then re-enter the allocated charge by selecting the Freight/Misc check
box and re-entering the allocation information.
3-22 Oracle Payables User's Guide
Each tax distribution you create using the Allocate window will have the same GL
Account as the distribution to which it is allocated.
Note: The Allocate window replaces the Prorate window and the
Charge Allocations window, which was in releases before 11i and 12.
Prerequisites
•
If you are creating tax distributions and if you use Automatic Tax Calculation,
disable it for this invoice.
•
If you are creating tax distributions and you use any other features that
automatically create tax distributions, remove all automatically calculated tax
distributions from the invoice before you allocate.
Creating Charge Allocations During Matching
To create tax, freight, or miscellaneous distributions by using the Match window:
1.
In the Invoices window, enter all basic invoice information. If you are allocating
freight, do not check the Create Freight Distribution check box.
2.
From the Match poplist, choose the document you want to match to (Purchase
Order or Receipt), and choose the Match button.
3.
Use the find window to navigate to the matching window.
4.
In the window in which you are matching, select the record to which you want to
match and allocate.
5.
Select the Allocate check box. The Allocate window opens.
6.
For each charge you want to allocate, do the following:
7.
•
Select the check box next to the charge: Tax, Freight, or Miscellaneous.
•
Enter the charge amount.
•
Payables enters this value in the Tax Code field of the distributions it creates,
and in the Tax Code field of the allocated distribution.
•
(Optional) Enter a Description Prefix Payables constructs the descriptions of the
new distributions by appending the Description Prefix you enter to the
description of each distribution you prorate to.
Choose the OK button to save your work. You can review the allocation amounts in
the Allocations region of the matching window.
Payables creates allocated charge distributions for you when you save the match.
Invoices 3-23
Related Topics
Allocation Restrictions, page 3-29
Allocations Window
You can use the Charge Allocations window the following ways:
•
Create and allocate tax, freight, or miscellaneous charge distributions. See: Creating
Distributions by Allocation, page 3-20.
•
Allocate an existing tax, freight, or miscellaneous charge distribution to one or more
distributions to record costs for Periodic Costing. See: Recording Allocations for
Periodic Costing, page 3-28.
•
Review and update existing allocations for a charge. See: Reviewing Allocation of
Other Charges, page 3-30.
If the cursor is in an Item or Line, and you choose the Allocate button, then the
Allocations window displays, and you can use the Allocations window to create
distributions based on the information you enter. If the cursor is on an existing tax,
freight, or miscellaneous line, then the window opens and shows you any distributions
that the tax, freight, or miscellaneous charge distribution is allocated to, and any
distributions available for allocation.
Note: You cannot access the Allocations window from the Distributions
window. You can access it from the Invoice Workbench window.
See: Charge Allocations Window Reference., page 3-24
For Matching to Other Invoice Distributions Only
Use the Charge Allocations window to allocate charges to distributions on the same
invoice, not to match to receipts. If you match to receipts and you are entering a tax,
freight, or miscellaneous charge invoice such as a freight invoice from a freight supplier,
and you want to match that freight charge to a receipt, see: Matching Charges to
Material Receipts, page 3-26. If a tax, freight, or miscellaneous charge distribution is
already matched to a receipt, then you cannot allocate it to another invoice distribution.
Related Topics
Allocation Restrictions, page 3-29
Allocations Window Reference
The top part of this window describes the charge that is allocated. The Allocations
region of this window shows the distributions to which you can allocate the charge, and
the amount that is allocated.
Type. The type of charge: Tax, Freight, or Miscellaneous.
Tax Code.
•
For a Tax charge: Tax code value associated with the tax charge.
3-24 Oracle Payables User's Guide
•
For a Freight or Miscellaneous charge: Tax code value applicable to the freight or
miscellaneous distribution. This tax code value will be added to the freight or
miscellaneous distribution if you are creating it by using this window.
Amount. Amount of the tax, freight, or miscellaneous charge.
Allocated Total. Sum of the amounts you are allocating (values in the Allocated
Amount fields). To save the allocation, this amount must equal the value you entered in
the Amount field.
Prorate. Use this button to prorate the charge amount across all eligible lines.
Applicable Lines
(Check box) Indicates that a distribution is selected for allocation.
Num. Distribution number of the eligible distribution.
Type. Type of the eligible distribution. You can allocate Freight and Miscellaneous
charges to Item distributions only. You can allocate Tax charges to Freight,
Miscellaneous, Item, or Prepayment distributions.
Description. Description of the eligible distribution.
Amount. Amount of the eligible distribution.
Allocated Amount. Amount allocated to the distribution. If you are currently
allocating by proration, leave these fields empty. After you choose the OK button to
allocate, Payables calculates the prorated amounts and populates these fields for you.
Buttons
New. Allocates the charge amounts to selected distributions and clears the Charge
Allocations window so you can allocate new charges. This is located at the top of the
application.
Select/Unselect All. Selects or deselects all eligible distributions.
Cancel. Discards any changes and closes the window.
OK. Allocates the charge amounts to selected distributions and closes the window.
Prorate. Is a button in the Allocations window.
Related Topics
Allocation Restrictions, page 3-29
Invoices 3-25
Matching Charges to Material Receipts
Complete the following steps to match an invoice for freight, tax, or miscellaneous
charges to a material receipt. Note that this step is required for accurate costing data if
you use Periodic Costing. When you match a freight, tax, or miscellaneous invoice to a
receipt, the total cost of the goods on the receipt includes the freight, tax, or
miscellaneous charges that are matched to the receipt. This kind of matching associates
costs related to acquiring the goods that are on the receipt, but it does not affect the
quantity and amounts billed on the purchase order shipment. If you have installed
Oracle Costing, this information is then used by that product.
For example, you buy a $1000 computer from Company A. You hire Company B to ship
it to you for $50. You receive the computer. When you get the freight invoice from
Company B, you can match that freight invoice to the receipt for the computer from
Company A. This associates the $50 freight charge with the cost of the $1000 computer,
making the total cost of the computer $1050.
Prerequisites
•
A purchase order for the same currency as the invoice you are entering must be
approved and open. At least one receipt transaction exists for the purchase order.
•
The Invoice Match option for the purchase order shipment you are matching to is
set to Receipt.
To match a freight, tax, or miscellaneous invoice to a receipt:
1.
In the Invoices window, enter aStandard invoice for the freight, tax, or
3-26 Oracle Payables User's Guide
miscellaneous charge. Enter the supplier and supplier site. The supplier and site can
be different from the supplier and site on the receipt.
Enter all basic invoice information (see: Entering Basic Invoices, page 3-14), but do
not manually enter the distributions.
2.
In the Invoices window, select Receipt from the Match button poplist. Choose the
Match button. The Find Receipts for Matching window opens. Select either Freight,
Tax, or Miscellaneous as the type. Payables creates invoice distributions with this
type.
The supplier and site on each receipt you match to can be different from the
supplier and site on a freight, miscellaneous, and tax charge invoice. Specify the
receipt supplier and site in the Supplier region.
Enter search criteria for one or more receipts to which you want to match the
invoice. The search criteria can include purchase order information to help you
identify each receipt. Note that values you enter in certain fields will affect lists of
values for other fields. For example, if you enter a purchase order number, then the
list of values for Receipt Number lists only receipt numbers for the purchase order
you entered.
After entering search criteria for the receipts, choose the Find button.
3.
The Match Other Charges to Receipts window opens and displays the receipt lines
that match your search criteria.
You can choose the View Receipt button to see detailed information about any
receipt. If the receipt you are looking for is not displayed, you can either return to
the Find Receipts for Matching window or enter a query directly in the Match Other
Charges to Receipts window.
4.
5.
In the Match Other Charges to Receipts window, enter information for the
distributions you want to create:
•
Type. This value defaults from the Find Receipts for Matching window.
•
Amount. Total tax, freight, or miscellaneous charge that you want to match.
•
Tax Code. If the charge type is Tax, enter the tax code or tax group. If the
charge type is Freight or Miscellaneous, leave this field blank. (To allocate tax to
freight or miscellaneous distributions, use the Charge Allocations window after
you create the freight or miscellaneous distributions.)
•
Account. To assign an account to the new distributions enter a value here. If
you have a default Payables option for Freight Account, it will default if you
select Freight as the Type.
Indicate which receipt lines you want to match to by selecting the check box to the
Invoices 3-27
left of the receipt line.
6.
7.
Select the match amount for each selected receipt line by using one of the following
methods. You can either prorate the match to all selected receipt lines, or enter
specific charge amounts for each selected receipt line:
•
If you want to prorate the match amount to all selected receipt lines in this
window, enable the Prorate check box. During the match, Payables creates
distributions with amounts proportional to the amounts on the receipt lines you
selected.
•
If you want to specify the match amounts, then enter a Charge Amount for each
selected receipt line. The sum of the Charge Amounts must equal the tax,
freight, or miscellaneous charge amount you entered in the Amount field.
Choose the Match button to complete the match, close the Match to Receipt window
and the Find window, and return to the current invoice record.
Review the new invoice distributions in the Distributions window. If you want to
allocate tax to the new freight or miscellaneous distributions, choose the Allocate
button in the Invoice Workbench window and complete the allocation in the
Allocations window. Oracle Cost Management can then include the tax amount in
the actual cost of the item on the receipt.
Related Topics
Allocation Restrictions, page 3-29
Recording Allocations for Periodic Costing
If you use one of the Periodic Costing options available in Oracle Cost Management to
record costs of goods that you order, you need to allocate other charges (Tax, Freight,
and Miscellaneous) to other invoice distributions that are matched to receipts. When a
distribution is matched to a receipt, the distribution and any tax, freight, or
miscellaneous distributions that are allocated to it are included in the cost of the receipt.
Allocating Tax, Freight, and Miscellaneous for Periodic Costing
Prerequisite
•
The invoice is not yet accounted.
To allocate an existing tax, freight, or miscellaneous charge to another distribution:
1.
In the Invoices window, enter all basic invoice information. See: Entering Basic
Invoices, page 3-14.
2.
Enter the tax, freight, or miscellaneous charge distributions that you want to
allocate to the matched distributions by using a Distribution Set, or manual entry.
Enter invoice distributions by matching to a receipt.
3.
In the Distributions window select the Tax, Freight, or Miscellaneous distribution
3-28 Oracle Payables User's Guide
that you want to allocate to a receipt-matched distribution.
Note: The selected distribution record must be a Freight,
Miscellaneous, or Tax distribution that has not been matched to a
receipt, or you cannot perform this step properly.
Choose the Allocate button. Payables opens the Charge Allocations
window and displays all distributions to which you can allocate the
charge.
4.
In the Charge Allocations window, Payables displays in the top region the
distribution Type and Charge Amount.
5.
Select the distributions to which you want to allocate the charge by checking the
check box to the left of the receipt line.
Tip: You can use the Select/Unselect All button as a toggle to select
or deselect all eligible distributions.
6.
7.
Indicate the amounts of the allocation by using one of the following methods. You
can either prorate the allocation amount to all selected distributions, or enter a
specific charge amount for each selected distribution:
•
To prorate the charge amount to all selected distributions in Allocate window,
click the Prorate button.
•
To specify the allocation amounts, enter a Charge Amount for each selected
distribution. The sum of the Charge Amounts must equal the tax, freight, or
miscellaneous charge amount you entered in the Amount field.
Choose OK to have Payables allocate the Charge Amount to the selected the
distributions and close the window.
Allocation Restrictions
CANCELLED INVOICES. You cannot modify allocations if the invoice is cancelled.
PAID INVOICES. If the invoice is partially or fully paid and the Allow Adjustments to
paid Invoices Payables option is not enabled, you cannot create new charges in the
Allocations window.
APPLIED PREPAYMENTS. If a prepayment invoice has been partially or fully
applied, you cannot create new charges in the Allocations window.
ITEMS MATCHED TO MULTIPLE PO DISTRIBUTIONS. You cannot allocate a
single nonrecoverable tax distribution to more than one Item distribution if the
distributions are matched to different purchase order distributions.
Invoices 3-29
ENCUMBERED TAX DISTRIBUTIONS: You cannot allocate a new Tax distribution to
an Item distribution if encumbered Tax distributions already exist for the item
distribution. Also, you cannot change allocations for a nonrecoverable Tax distribution
if it has been encumbered and if it has already been allocated to purchase order
matched Item distributions.
ACCOUNTED ALLOCATIONS. You cannot adjust an allocation after you have
accounted for the charge.
Reviewing Allocation of Other Charges
You can review or modify existing allocations of a Tax, Freight, or Miscellaneous
distribution by selecting appropriate lines in the Invoice Lines region and choosing the
Allocate button. You can make any changes in the Charge Allocations window.
You cannot modify charge allocations after accounting for the invoice.
See: Adjusting Invoice Distributions, page 3-277
Scheduled Payment
When you first save the invoice header, Payables automatically schedules payment for
each invoice based on the Payment Terms and Terms Date you enter for the invoice.
Then during Invoice Validation, the system recreates the scheduled payments and
overwrites any manual adjustments if:
•
The Recalculated Scheduled Payment Payables Option is enabled, or
•
The Exclude Tax from Discount Calculation Payables option is enabled and you
have made changes to the tax amount on the invoice.
Payables uses the Payment Terms definition to calculate the due date, discount date,
and discount amount for each scheduled payment. For example, if an invoice has
Payment Terms of Net 30, Payables calculates the due date as 30 days after the Terms
Date. You can assign default Payment Terms to a supplier.
If you enable the Recalculate Scheduled Payment Payables option, Payables will also
recalculate your scheduled payments during Invoice Validation. This recalculation is
based on your most favorable available payment terms and start dates.
If you enable the Exclude Tax from Discount Calculation Payables option and the
invoice has changes to the tax amount after the invoice is initially saved, Invoice
Validation will automatically recalculate the Discountable Amount and recreate the
scheduled payments to reflect the new Discount Amount. You can query the invoice to
view the new Discount Amount in the Scheduled Payments tab. For more information
on the Exclude Tax from Discount Calculation Payables option, see: Exclude Tax from
Discount Calculation Payables option, Oracle Payables Implementation Guide.
The invoice Terms Date defaults from the supplier site Terms Date Basis option you
select:
3-30 Oracle Payables User's Guide
•
System. System date on day of invoice entry.
•
Goods Received. The date you receive goods for invoices you match to purchase
orders.
•
Invoice. Invoice date.
•
Invoice Received. Date you receive an invoice.
Use the Scheduled Payments tab to review or adjust dates and amounts of all payments,
including discount schedules, for an invoice. You can also schedule partial payments
and place all or part of the scheduled payment on hold.
Important: You can manually adjust scheduled payments or use the
Split Schedule functionality to adjust scheduled payments. The
Recalculate Scheduled Payment Payables functionality will not
overwrite those changes. However, if the Exclude Tax from Discount
Calculation Payables option is enabled and changes have been made to
the tax amounts and if the invoice is not fully paid, then Invoice
Validation will overwrite any manual scheduled payments changes.
Related Topics
Scheduled Payments Tab Reference, page 3-336
Adjusting Scheduled Payments, page 3-281
Applying a Hold to a Scheduled Payment, page 3-212
Discounts, page 3-31
Financials Options, Oracle Payables Implementation Guide
Payables Options, Oracle Payables Implementation Guide
Payment Terms, Oracle Payables Implementation Guide
Reviewing Payments, page 5-65
Discounts
Payables uses payment terms you assign to an invoice to pay invoices at a discounted
rate. You define discount payment terms in the Payment Terms window. You can
define discount payment terms that have Payables vary the discount amount
depending on how old the invoice is. You also define the payment terms to pay the full
invoice amount if you have missed the discount date. For example, you can define
payment terms to take a 10 percent discount if the invoice is paid within 5 days of the
Terms Date, or a 5 percent discount if the invoice is paid within 10 days. If the invoice is
over 10 days old, Payables pays the full invoice amount on the due date you specify.
When you first save the header information for an invoice, Payables automatically
Invoices 3-31
creates a scheduled payment. If the invoice uses discount payment, the schedule
payment includes a discount date and discount amount. If you enter an invoice that
does not have discount terms, you can modify the scheduled payment to include a
discount.
If you take a discount, Payables uses the Discount Distribution Method you specify in
the Payables Options window to credit the appropriate accounts. The Exclude Tax From
Discount Calculation option you specify in the Payables Options window controls
whether Payables subtracts the tax amount from the invoice amount when it calculates
the invoice amount applicable to discount. Note that if you apply a prepayment with a
discount to an invoice due a discount, you may need to adjust the discountable amount
by the prepayment application amount to ensure that the discount taken is not
overstated.
If the Exclude Tax From Discount Calculation option is enabled and changes have been
made to the tax amounts and if the invoice is not fully paid, then the Invoice Validation
recreates the scheduled payments based on the new discountable amount.
DISCOUNT RESTRICTIONS
BANK CHARGES: You cannot use the Discount feature if you enable the Use Bank
Charges Payables option.
Related Topics
Payment Terms, Oracle Payables Implementation Guide
Scheduling Invoice Payments, page 3-30
Scheduled Payments Tab Reference, page 3-336
Payment Payables Options, Oracle Payables Implementation Guide
Entering Invoices with Matched Purchase Orders and Receipts in the
Invoice Workbench
You can match Payables invoices to purchase orders to ensure that you pay only for the
goods that you have ordered, or you can match to purchase order receipts to ensure
that you pay only for goods that you have received. Purchase order matched invoices are
invoices that you match to any of the following:
•
Purchase order shipments
•
Purchase order receipts
•
Purchase order receipt lines
•
Purchase order distributions
You can set up controls in your system to require you to purchase order match each
3-32 Oracle Payables User's Guide
invoice. You can also set an option on a purchase order shipment that controls whether
invoices should match to that shipment directly or to a receipt. You set tolerances to
specify the range of variance you will allow if the amounts or quantities on the invoice
are greater than the amounts or quantities on the purchase order or receipt.
When you enter an invoice and match it, Payables automatically creates distributions
for you and checks that the match is within the tolerance you define. See: Invoice
Tolerances, Oracle Payables Implementation Guide.
After you save the match, Payables updates the quantity or amount billed for each
matched shipment and its corresponding distribution(s) based on the amount you enter
in the Quantity Invoiced field. Payables also updates the amount billed on the purchase
order distribution(s).
Receipt and purchase order matching setup and functionality is described in detail in
Purchasing Integration, page 3-293. The following section describes how to enter and
match invoices.
You can match an invoice to a purchase order in different ways:
•
Receipt match. Matching to receipts allows you to pay only for goods or services
you receive, and to pay for partial shipments without getting invoice holds. In
addition, any exchange rate variance is likely to be smaller because the time
between the receipt and invoice is less than the time between the purchase order
and invoice.
If you use one of the Periodic Costing options available in Oracle Cost
Management to record costs of goods that you order, it is critical that you always
match to receipts to ensure accurate cost accounting. When you match an invoice
for goods to a receipt, you can also link other charges, such as freight, tax, and
miscellaneous to that receipt, so that costing can include those charges in the cost of
the goods. If you match to a purchase order instead of a receipt, you will not have
accurate costing data. See: Matching to Receipts from the Invoice Workbench, page
3-38.
•
Purchase order shipment match. Based on the Quantity Invoiced, Payables
prorates the Match Amount across all non-fully billed purchase order distributions
associated with the purchase order shipments you match to. Payables automatically
creates invoice distributions based on the purchase order distributions.
You can match to individual purchase order shipments. Payables automatically
creates invoice distributions based on the purchase order distributions. See:
Matching to Purchase Order Shipments and Distributions From the Invoice
Workbench, page 3-32 and Entering Purchase Order Matched Invoices in Quick
Invoices, page 3-117
•
Purchase order distribution match. You can allocate the match amount to specific
purchase order distributions. Payables automatically creates invoice distributions
based on the purchase order distributions you match to. See: Matching to Purchase
Order Shipments and Distributions From the Invoice Workbench, page 3-32.
Invoices 3-33
•
Price correction. Use a price correction to adjust the invoiced unit price of
previously matched purchase order shipments, distributions, or receipts without
adjusting the quantity billed. See: Price Corrections, page 3-66.
When you are matching to a purchase order, open the View PO window to have easy
access to purchase order information. See: View Purchase Order Information, page 3-71
Prerequisites
•
Enter a purchase order. See: Overview of Purchase Orders, Oracle Purchasing User
Guide
•
Enter purchase order shipment information. See: Entering Purchase Order
Shipments, Oracle Purchasing User Guide
•
Select a Match Approval Level and an Invoice Match Option for the purchase order.
Entering Purchase Order Shipments, Oracle Purchasing User Guide
•
Enter the supplier and at least one pay site. See: Entering Supplier Information,
Oracle iSupplier Portal Implementation Guide.
Related Topics
Amount Matching of Purchase Orders, page 3-299
Debit Memo Notification Workflow), Oracle Purchasing User Guide
Purchasing Integration, page 3-293
Purchase Order Matching Database Tables, Oracle Payables Reference Guide
Invoice Matching Detail Report, page 9-72
Match to Purchase Orders Window Reference, page 3-307
Matching to Purchase Orders
You can match to purchase orders using:
•
Match to Purchase Order Window, page 3-34
•
Lines Tab of the Invoice Workbench, page 3-36
•
Quick Match, page 3-37
3-34 Oracle Payables User's Guide
Matching to Purchase Orders in the Match to Purchase Orders Window
The simplest way to match an invoice to purchase order shipments or distributions is to
use the Match to Purchase Orders Window. Payables automatically creates invoice lines
and distributions based on the matched shipments and distributions.
To match an invoice to purchase order shipments and distributions using the Match
button:
1.
In the Invoice Workbench, enter the invoice header information.
2.
Optionally, enter a PO Number. The payment terms will default in based on the PO
selected.
3.
Choose the Match button. If you entered a PO Number, the PO Number will default
into the Find Purchase Orders for Matching window.
4.
Query the purchase order shipment lines you want to match to. The Match to
Purchase Orders window appears.
5.
To match to a shipment, check the Match check box next to each shipment line that
you want to match to. Enter a quantity invoiced. Payables automatically calculates
the Match Amount.
Payables automatically creates invoice lines by matching lines on the supplier's
invoice to shipments on the purchase order.
6.
To automatically create Freight, Miscellaneous, or both lines associated with the
shipment line, check the Freight/Misc. check box. To create the distributions, in the
Freight/Misc window, check the type of charge that you want to allocate, enter the
Invoices 3-35
allocated amount, and enter a description if necessary. Payables creates
distributions based on the allocated amounts.
7.
To match to a distribution, select the shipment line, enter a quantity matches, then
click Distribute. A single shipment line can have multiple distribution lines. Check
the Match check box next to each distribution line that you want to match to and
enter a Quantity Invoiced.
8.
Click Match.
9.
Select the Lines tab to see the information that defaulted from the Match to
Purchase Orders window. Accept the defaulted information or update the
following fields: Qty Invoiced, Unit Price, and Match Amount.
Verify that the Invoice Amount and Gross Total for the lines match or the invoice
will not pass validation.
10. Click Discard to discard any lines that you do not want to include on the invoice.
11. Click Distributions to view the distributions that were defaulted in from the
purchase order for each line.
The Distribution Account on the Lines tab is used only for defaulting. Once it has been
defaulted onto the distributions and if the account on the distributions is overridden, it
is not corrected or reflected on to the lines.
Matching to Purchase Orders in the Invoice Workbench Lines Tab
You can also match an invoice to purchase order shipments and distributions by
entering information directly in the Lines tab of the Invoice Workbench. Payables
automatically creates distributions based on the matched shipments and distributions.
If an invoice is matched to a purchase order with multiple lines and only some of those
lines have tax codes, then the invoice only populates the Tax classification code on the
lines matched to a PO with tax codes as well.
To match purchase order shipments and distributions in the Invoice Workbench:
1.
In the Invoice Workbench, enter the invoice header information.
2.
In the Lines tab, enter the line Type and Amount.
3.
Enter the PO Number that you want to match to. If you specified a PO Number in
the invoice header, that PO Number will default to the line; however, you can
match to any purchase order, so modify the PO Number field as necessary.
4.
If you are matching to a blanket purchase order, you must also provide a Release
Number.
5.
To match the invoice line to a shipment or distribution, complete the necessary
3-36 Oracle Payables User's Guide
fields. To match to:
•
PO Shipment. Enter the PO Line Number and PO Shipment Number. If you
are matching to a purchase order line with multiple shipments, you must enter
a value here. If you don't know the shipment number, you can select it from a
list of values. The list of values defaults based on the PO Number specified.
Note: If you match to a purchase order with only one line and
only one shipment, then only the purchase order number is
required. Also, if you enter a PO Line information, and that PO
Line has only one shipment, then you are not required to enter
shipment information.
•
PO Distribution. To match to a purchase order distribution, enter the PO Line
Number, PO Shipment Number, and PO Distribution Number. If you want the
GL Account populated with an Overlay GL Account, then you must specify the
purchase order distribution.
6.
Save your work.
7.
Click Distribute to view the distributions that defaulted in from the matched
shipments and distributions.
Matching to Purchase Orders Using Quick Match
To match invoices to all open, unbilled purchase order shipments, use Quick Match.
Quick Match matches shipments on a first in, first out (FIFO) basis. Quick Match is
convenient to use if you have:
•
Invoices that have one shipment per line
•
Multiple shipments that are received in chronological order
If you have multiple shipments that are not received in chronological order, use the
Match to Purchase Order Shipments window or the Lines tab in the Invoice Workbench.
Payables automatically creates invoice lines and distributions based on the matched
shipments and distributions.
To match purchase order shipments using Quick Match:
1.
In the Invoice Workbench, enter the invoice header information.
2.
Click Quick Match. Payables automatically creates invoice lines based on the open,
unbilled shipments for the supplier. Invoice lines can be matched to PO shipments
that are closed for invoicing.
3.
Select the Lines tab to see the information that defaulted from the Quick Match.
Accept the defaulted information or update the following fields: Qty Invoiced, Unit
Invoices 3-37
Price, and Match Amount.
Verify that the Invoice Amount and Gross Total for the lines match or the invoice
will not pass validation.
4.
Click Discard to discard any lines that you do not want to include on the invoice.
5.
Click Distributions to view the distributions that were defaulted in from the
purchase order for each line.
Purchase Order Matching Restrictions
CAN'T MATCH TO PROCUREMENT CARD POs: If a purchase order will be
fulfilled in the procurement card process, you can't match an invoice to it.
QUANTITY INVOICED: In the Match to Purchase Orders and Match to Purchase
Order Distributions windows, the Quantity Invoiced must be in the same unit of
measure as the purchase order shipment. In the Match to Receipts and Match to Receipt
Distributions window, the Quantity Invoiced must be in the same unit of measure as
the receipt.
QUANTITY INVOICED: You must enter a negative Quantity Invoiced if the invoice
amount is negative, and a positive Quantity Invoiced if the invoice amount is positive.
You cannot enter a negative amount that reduces the quantity invoiced to less than
zero.
UNIT PRICE: You cannot adjust the Unit Price if you are matching to an amount-based
purchase order with a monetary unit price of 1. For example, 1 USD or 1 GBP.
CONTROL/ACTUAL QUANTITY AND TOTAL: In the Match to Purchase Order
Distributions window, the Control Quantity and Total must equal the Actual Quantity
and Total.
AMOUNTS: Credit memos and debit memos must be entered with negative amounts.
All match amounts must be negative as well.
Matching to Receipts
The process for matching to receipts, is the same as matching to purchase orders;
however, to match to receipt, ensure the following prerequisites are complete:
•
Invoice Match Option for the purchase order shipment is set to Receipt.
•
A purchase order for the same supplier and currency as the invoice you are
entering is approved and open, and has at least one receipt entered against it.
If the Invoice Match option for the supplier site is set to receipt then the match button
will default to Receipt and you can use the Match to Receipt window to match receipts
to invoices.
You can also match to purchase orders in the Lines tab of the Invoice Workbench. Enter
3-38 Oracle Payables User's Guide
a PO Number and a Receipt number to match to a receipt line.
Payables automatically creates distributions for the matched to receipt lines.
See: Matching to Purchase Orders, page 3-34.
Advances and Progressive Contract Financing
Oracle Payables, Purchasing and Services Procurement provides an integrated solution
to automate acquisition of complex services. Complex service contracts are
characterized by:
•
High dollar value projects.
•
Long lead time delivery schedules.
•
Progress payments based on work completion.
•
Advances and progress based financing options.
•
Retainage options.
Oracle Payables provides the functionality to release progress payments, release and
recoup advances, apply retainage on invoices, and release retained funds. Advances are
generally one-time prepayments made before work on a contract begins, while contract
financing infuses money to the supplier as work progresses. Oracle Payables ensures
that the amounts financed are recovered by automatically applying financing to
subsequent invoices per the specific terms captured in the purchase order.
For more information, see: Complex Work in the Procurement Suite, Oracle Purchasing
User's Guide.
Prerequisites
Before you enter invoices for complex service work contracts, you must do the
following:
•
Create a document style in Oracle Purchasing.
•
Create a service procurement purchase order in Oracle Purchasing.
•
Create a retainage account in Financials Options setup.
•
Define matching tolerances in the Invoice Tolerances Template.
•
Specify supplier terms and controls in the supplier setup.
•
Define approval rules in Oracle Approvals Management.
Invoices 3-39
Document Styles
Document styles are created and used in Oracle Purchasing to enable complex payment
terms on a service procurement purchase order. To match a prepayment invoice created
in Oracle Payables to a services procurement purchase order created in Oracle
Purchasing, you must select an appropriate document style when creating the purchase
order. An appropriate document style is one that has been enabled for Advances or
Contract Financing.
For details on creating document styles, see: Defining Document Styles, Oracle
Purchasing User's Guide.
Service Procurement Purchase Order
Advances are entered on the purchase order by choosing the appropriate document
style and then entering an Advance Amount in the Financing region of a purchase
order line(s). The Recoupment Rate in the same region represents the percentage the
supplier will be paid on subsequent invoices until the advance is fully recouped. For
example, if a recoupment rate of 20% is entered, then the deploying company may pay
the supplier 80% of the first progress invoice. That is, 20% of the progress invoice may
be paid by recouping the advance until the advance is fully exhausted. The distribution
for the advance is entered in the Distributions subtab of the purchase order. A purchase
order must be approved and open before it can be matched to a prepayment.
Contract financing is entered on the purchase order by choosing the appropriate
document style and then adding Pay Items for each purchase order line. Distributions
for each Pay Item are entered in the Distributions subtab of the purchase order. The
distribution account is populated on the prepayment created in Payables when the
prepayment is matched to the purchase order. A purchase order must be approved and
open before it can be matched to a prepayment.
For details on creating services procurement purchase orders, see: Entering Complex
Work Purchase Order Pay Items, Oracle Purchasing User's Guide and Entering Complex
Work Purchase Order Lines, Oracle Purchasing User's Guide.
Retainage Account Setup
Define the retainage account for the operating unit in the GL Accounts region on the
Accounting tab of the Financials Options window (Setup > Options > Financials Options
> Accounting tab). Oracle Payables uses this account to record the distribution on
progress invoices and subsequent retainage release invoices for funds withheld from
suppliers.
Invoice Tolerances Setup
Use the Invoice Tolerances Template to define the matching tolerances policy for
variances between the procurement contract or the work to date represented by the
approved work confirmations. For more information on setting up invoice tolerances,
see: Invoice Tolerances, Oracle Payables Implementation Guide.
3-40 Oracle Payables User's Guide
Supplier Terms and Controls Setup
Set up supplier's terms and control defaults using the Suppliers page. You can specify
the Payables invoice management defaults, such as the invoice match option for the
supplier and the retainage rates for the supplier sites. These values default on the
purchase order. For more information on setting up your suppliers, see: Entering
Supplier Information, Oracle iSupplier Portal Implementation Guide.
Approval Management Setup
Oracle Approvals Management provides you the ability to configure rules for
approving business transactions or activities. Although this setup is optional, Oracle
recommends enabling workflow approval to automate the approval process for your
complex service contracts. For more information on setting up invoice approvals, see:
Setting Up Invoice Approval Workflow, Oracle Payables Implementation Guide.
Entering Prepayments for Advances and Contract Financing
You can enter prepayment invoices for complex service contracts using the:
•
Invoice Workbench window.
•
Quick Invoices window.
•
Create Invoices page in the iSupplier Portal.
This section includes the following topics:
•
Procedure for entering prepayment invoices for advances or contract financing in
the Invoice Workbench window.
•
Procedure for entering prepayment invoices for advances or contract financing in
the Quick Invoices window.
For information on creating self-service invoices using the iSupplier Portal, see: Oracle
iSupplier Portal Integration, page 3-167.
Entering Prepayment Invoices for Advances or Contract Financing in the Invoice Workbench Window
To enter prepayment invoices for advances or contract financing in the Invoice
Workbench window, perform the following steps.
1.
In the Type field, select the Prepayment option as the invoice type.
Note: The Prepayment option includes advances and contract
financing.
2.
In the PO Number field, optionally enter the associated service procurement
purchase order number or select it from the list of values, after which information
Invoices 3-41
defaults in the following fields from the purchase order: Supplier, Supplier
Number, Supplier Site, and prepayment payment terms.
Note: The PO Number list of values lists all service procurement
purchase orders that have advance or contract financing pay items.
3.
In the Invoice Num field, enter the supplier invoice number.
4.
In the Invoice Amount field, enter the amount of the prepayment.
5.
Match the prepayment invoice to the purchase order by performing a standard
Match.
An advance prepayment invoice is matched to a purchase order number, line
numbers, and distributions. Pay items are not matched for an advance, since an
advance is paid once before any work commences and is not based on performance.
A contract financing prepayment invoice is matched to a purchase order number,
line numbers, pay items (shipments), and distributions.
Note: Oracle Payables ensures that the amounts financed and later
recovered never exceed the allowable amounts designated by the
specific terms captured in the purchase order.
You can match a prepayment invoice to purchase order from all invoice entry
interfaces in payables without any hold or system restriction, even when the
purchase order shipment was created with match option set as Receipt irrespective
of the match approval level. In case of non-prepayment invoices, an error displays.
6.
To enter search criteria to find available purchase orders with available advances or
contract financing terms, select the Match button.
Review the information and select the rows you wish to match the prepayment
invoice to by selecting the corresponding Match check box.
Note: The information in the Payment Type field of the Match to
Purchase Orders window indicates whether the service
procurement purchase order row is an advance or contract
financing. The Shipment Item Description field provides a
description of the item ordered on the purchase order for which the
Advance was provided. The Shipment Item Description field
provides a description of the pay item on the purchase order for
contract financing.
Adjust the value in the Match Amount field, if needed, based on the supplier's
invoice.
3-42 Oracle Payables User's Guide
If the advance, or pay item for contract financing, has multiple distributions on the
purchase order and you wish to match to a particular distribution, select the
Distribute button.
Once done with your selection, select the Match button in the Match to Purchase
Orders window. Oracle Payables populates the invoice lines in the Lines tab and
creates the distributions for the advance or contract financing lines.
7.
To manually enter lines for the advance, select the Lines tab.
Enter values in the Amount, PO Number, PO Line fields and Optionally enter a
value in the PO Distribution field.
Note: The list of values for the PO Line Number and PO
Distribution fields provide additional information to help you
choose the correct value. This extra information includes PO
descriptions, Supplier Item Numbers, Amounts Unbilled, and
Need-by Dates.
8.
Save your work.
Once you save your work, Oracle Payables matches the prepayment invoice to the
purchase order.
For more information on the fields in the Invoice Workbench window, see: Invoices
Window Reference, page 3-317.
Entering Prepayments for Advances or Contract Financing in the Quick Invoices Window
To enter prepayment invoices for advances or contract financing in the Quick Invoices
window, perform the following steps:
1.
Enter a unique value for the quick invoice batch.
2.
In the Type field, select the Prepayment option as the invoice type.
The Prepayment option includes advances and contract financing.
Note: If the Type is Prepayment, the Prepayment on Invoice check
box, Prepayment Number, Prepayment Line Number, Prepay
Apply Amt, and Prepayment GL Date fields become inactive. These
fields refer to applying a prepayment to an invoice, and not to
creating a new prepayment.
3.
In the header fields, enter the Supplier, Supplier Site, Invoice Number, and Invoice
Amount.
4.
In the Invoice Lines region:
Invoices 3-43
•
Select Item in the Type field of the Lines region..
Note: Freight and Miscellaneous line types cannot be imported
for prepayments.
•
Enter the Amount, PO Number, PO Line Number, and optionally, the PO
Distribution Number.
For contract financing, also enter the PO Shipment field.
5.
Select the Create Invoices button to start the import process.
For more information on entering quick invoices, see: Quick Invoices Window
Reference, page 3-127.
Validating Prepayment Invoices
Oracle Payables validates invoices prior to paying or creating accounting entries. For
more information on validating invoices, see: Invoice Validation, page 3-172.
To validate a prepayment invoice, perform the following steps.
1.
To confirm that the prepayment has been entered correctly, select the Actions
button in the Invoice Workbench window.
The Invoice Actions popup appears.
2.
Select the Validate check box and then select the OK button.
If the prepayment invoice is validated, the status in the Status field is Unpaid,
which means that the prepayment invoice is ready to be paid.
Note: The prepayment invoice status of Unpaid applies only to
prepayment invoices. A prepayment cannot be drawn down until it
is paid.
Tolerances and Holds
Tolerances are used to control acceptable prepayment invoice variances of supplier
invoices for price, quantity, and amount information compared with what is stipulated
in the contract. The follows types of tolerances are used:
•
quantity-based tolerances for goods procurement
•
amount-based tolerances for services procurement
Tolerance templates are used to control tolerances across organizations for any supplier
site. You can create multiple templates for invoice tolerances in the Invoice Tolerances
3-44 Oracle Payables User's Guide
window, but you can only assign one set of tolerances per supplier site.
The Invoice Tolerances window enables you to designate the type of tolerance template
as either Goods or Services. If you select the Goods template type, then holds placed for
Ordered, Maximum Ordered, Received, and Maximum Received tolerances are based
on quantity. Similarly, if you select the Services template type, then holds placed for
Ordered, Maximum Ordered, Received, and Maximum Received tolerances are based
on amount. You can create two sets of tolerances for each supplier site; one for Goods
and one for Services.
The tolerance templates are applied during invoice validation per invoice line
depending on the PO Line Type and Pay Item Line Type. For example:
•
If the PO Line is Fixed Price and the Pay Items are Lump Sum, the system uses the
Services template assigned to the supplier site.
If the Services template type is applied, the price tolerance is disabled, since price
validations are applicable for services.
•
If the PO Line is Fixed Price and the Pay Items are rate based, the system uses
Goods template assigned to the supplier site.
While it is a Goods template, it represents quantity-based matches.
•
If the PO Line is Fixed Price and the Pay Items are Milestone, the system does not
use a tolerance template, because any variance is not acceptable.
Oracle Payables places a milestone hold for goods if the price and amount are not
exact or if the quantity billed is over the quantity ordered.
During the validation process, a matching hold is placed on prepayment invoices if the
amount ordered, received, maximum ordered, maximum amount received, or
milestone tolerances are violated. For details on matching holds, see: Matching Holds,
page C-9.
Confirming Work
A work confirmation is information that confirms that work was delivered by a certain
supplier at a specific price on a specific date as specified by a specific work confirmation
number, which is associated with a purchase order number.
During validation, you can use 2 or 3-way matching to verify work confirmation. If you
are comfortable with a supplier's historical performance, 2-way matching with control
back to the purchase order may be adequate for internal controls. On the other hand, if
a supplier is new or you prefer increased control when tracking the work performed,
you can optionally use 3-way matching.
Advance prepayments can only be 2-way matched, that is, verifying that the purchase
order and the invoice match within accepted tolerance levels, since there is no work or
deliverable associated with an advance. For contract financing prepayments, you can
use 2-way or 3-way matching. Three-way matching verifies that the purchase order, the
invoice, and receiving information match within accepted tolerance levels.
Invoices 3-45
The work confirmation receipt is the only type of receipt allowed for complex service
contracts. If the amount of work completed is equal to the amount billed on the invoice,
then the invoice is eligible for payment. If the amount of work completed is less than
the amount of work billed on the invoice, then the invoice is placed on a matching hold.
Funds Checking
If the Budgetary Control feature is enabled, the Funds Check functionality verifies that
sufficient funds are available to pay an invoice. If sufficient funds are available, funds
reserve occurs during validation. Oracle Payables totals distribution amounts by
account and checks whether any of these totals exceed available funds for the
distribution account. If a single account fails funds checking, the entire invoice fails
funds checking. Funds can also be checked manually.
Encumbrancing Prepayments
If budgetary control and encumbrance functionality are enabled, Purchasing and
Payables create encumbrances and encumbrance reversals against the budgets defined
in Oracle General Ledger. Encumbrances are anticipated expenditures. Advances and
contract financing prepayments are always matched to a contract line pay item and
recouped from an invoice delivery item for that same contract line.
Note: Oracle Payables only encumbers upon delivery and not when the
prepayment invoice is entered.
Calculating Taxes on Advances and Contract Financing
Oracle Payables integrates with Oracle E-Business Tax to provide tax services for
invoices. For complex service contracts the system calculates taxes depending on the
type of invoices and your configuration. This table represents how tax is calculated:
Tax Calculations
Invoice Type
Tax Calculation
Standard
•
Tax is calculated on progress to-date
invoices, net of retainage based on the tax
drivers.
•
Tax is calculated on final delivery
invoices based on the tax drivers.
3-46 Oracle Payables User's Guide
Invoice Type
Tax Calculation
Prepayments
•
Tax is calculated on the advance if you
create a tax rule for advances.
•
Tax is calculated on progress treated as
financing if you create a tax rule for
contract financing.
•
Tax is reversed on the prepayment
recoupment either by recalculating the
prepaid tax based on today's rates or
prorating the prepaid tax based on the
recoupment amount.
Retainage Release
Tax is calculated on retained amounts ready to
be released based on the original invoice's tax
drivers.
Prerequisites
Before the system can calculate taxes on your complex service invoices, you must
configure tax rules in E-Business Tax. To set up taxes for complex service contracts,
complete the following steps in E-Business Tax:
1.
Select the applicable tax regime code and tax on the Tax Rules page.
2.
Create a tax rule for all transactions on the Create Tax Rule: General Information
page.
3.
Add a line class condition in the Additional Factors Available on Transaction Lines
region of the Create Tax Rule: General Information page.
Add P2P Advance if you want to create a tax rule for advances. Add P2P: Contract
Financing if you want to create a tax rule for contract financing.
4.
Assign a tax rate for when the condition is true on the Create Tax Rule: Condition
Results page.
5.
Specify your recoupment tax treatment in the Applied Amount Handling field on
the Create Taxes page.
For more information on tax setup, see: Setting Up Taxes on Invoices, page 3-190.
Retainage
Supplier invoices are managed and paid as specified by the complex payment terms of
Invoices 3-47
the associated service procurement contract. Service procurement payment scenarios
exist in numerous industries. For example, during the procurement of equipment that
has a long production lead time, such as engineered-to-order items, periodic progress
payments are paid to suppliers by the deploying company. The progress payments are
based on the costs incurred by the supplier or upon delivery of specified milestones
contained in the contract.
Retainage is the act of withholding a portion of a payment until a substantial portion or
all of the work is completed. It is a common practice in project-based construction and
public sector service procurement contracts and is generally used in projects with a high
value or with long-term contracts. A portion of a progress payment is generally
withheld by the buying organization until all work in the contract is complete and
accepted. The percentage withheld is negotiated, defined in the contract, and is based
on the risk factors involved. These risk factors include the performance and reliability of
the supplier.
The retained amount is based on the contractual terms defined in the service
procurement contract or purchase order line. A contract line can be associated with one
or more progress payments. After performing a portion of the contractual work, the
supplier sends a progress invoice to the buying organization, requesting payment
against the service procurement contract line or purchase order.
The progress invoices submitted by a supplier are recorded as Standard Invoices in
Oracle Payables. Oracle Payables withholds a portion of a progress invoice during
matching to these payment lines (2-way matching) or to the receipts of these payment
lines (3-way matching). The retained amount is represented as negative distribution
amounts of type Retainage to the matched invoice line.
Note: No manual override or manual entry of retainage amounts is
allowed.
Oracle Payables supports progress invoices with the following invoice amounts:
•
net of retainage
•
gross of retainage
Net of Retainage Invoice Amount Example
The following tables in this section illustrate an invoice amount that includes retainage
as it would appear in the Invoice Workbench windows if the Net of Retainage check
box is enabled in the default folder of the Invoice Workbench window. This example
shows an invoice that is a progress payment of $100.00 matched to a pay item that has
two distributions. The retainage rate at the contract line is 15%.
3-48 Oracle Payables User's Guide
Invoice Header
Invoice Number
Supplier
Invoice Amount
Date
Net of
Retainage
Check Box
Enabled
INV101
BVC Inc.
$85.00
10/01/2006
Yes
Invoice Lines
Line
Number
Type
Amount
PO
Number
PO Line
Pay Item
Retained
Amount
Retained
Amount
Remaini
ng
1
Item
$100.00
CONS101
1
1
-$15.00
$15.00
Invoice Lines Running Totals
Gross
Retainage
Net Amount
$100.00
-$15.00
$85.00
Since the Net of Retainage check box is selected, the invoice validation process
compares $85.00, the net amount, to the invoice amount entered in the invoice header
region of $85.00 to determine if the invoice should be placed on a line variance hold.
Invoice Distributions
Line
Number
Distributi
on
Number
Type
Amount
Account
Related
Retainag
e
Distributi
on
PO
Distributi
on
1
1
Item
$50.00
01-Charg
e1
Inv101-11
1
Retained
Amount
Remaini
ng
Invoices 3-49
Line
Number
Distributi
on
Number
Type
Amount
Account
Related
Retainag
e
Distributi
on
PO
Distributi
on
Retained
Amount
Remaini
ng
1
2
Item
$50.00
01-Charg
e2
Inv101-12
2
1
3
Retainage
-$7.50
01-Retain
age
Inv101-11
1
$7.50
1
4
Retainage
-$7.50
01-Retain
age
Inv101-12
2
$7.50
Gross of Retainage Invoice Amount Example
The following tables in this section illustrate an invoice amount that does not include
retainage as it would appear in the Invoice Workbench windows if the Net of Retainage
check box in the default folder of the Invoice Workbench window is disabled. This
example shows an invoice that is a progress payment of $100.00 matched to a pay item
that has two distributions. The retainage rate at the contract line is 15%.
Invoice Header
Invoice Number
Supplier
Invoice Amount
Date
Net of
Retainage
INV101
BVC Inc.
$100.00
05/01/2005
No
Invoice Lines
Line
Number
Type
Amount
PO
Number
PO Line
Pay
Items
Retained
Amount
Retained
Amount
Remaini
ng
1
Item
$100.00
CONS101
1
1
-$15.00
$15.00
3-50 Oracle Payables User's Guide
Invoice Lines Running Totals
Gross
Retained
Net Amount
$100.00
-$15.00
$85.00
Since the Net of Retainage check box is disabled, the invoice validation process
compares $100.00, the gross amount, to the invoice amount entered in the invoice
header region of $100.00 to determine if the invoice should be placed on a line variance
hold.
Invoice Distributions
Line
Number
Distributi
on
Number
Type
Amount
Account
Related
Retainag
e
Distributi
on
PO
Distributi
on
Retained
Amount
Remaini
ng
1
1
Item
$50.00
01-Charg
e1
Inv101-11
1
1
2
Item
$50.00
01-Charg
e2
Inv101-12
2
1
3
Retainage
-$7.50
01-Retain
age
Inv101-11
1
$7.50
1
4
Retainage
-$7.50
01-Retain
age
Inv101-12
2
$7.50
Invoice Lines and Retainage
Oracle Payables retains applicable retainage on all progress payment invoices. Progress
payment invoices are standard invoices matched to a service procurement purchase
order or receipt. Progress payment invoices have pay items of types Rate, Milestone, or
Lump Sum. During the matching process, Oracle Payables calls the Oracle Purchasing
API to retrieve the amount to retain. The retainage information is stored in the matched
invoice item line and the system creates negative retainage distributions prorated to the
item distributions.
Discarding Invoice Lines with Retainage
Discarding an invoice line means that you remove it from visibility in the Lines tab of
the Invoice Workbench window, but the data remains in the database.
Invoices 3-51
The discard function is used to discard any lines that you do not want to include on the
invoice. By discarding the entire line, all its distribution lines are reversed
automatically. With the introduction of Invoice Lines, when you match a line to a PO,
you cannot reverse individual distributions within the invoice line. From the Invoice
Lines window, discard the entire matched line, which automatically reverses the
underlying distributions.
You can not reverse a distribution line once any charge is allocated to it. Once the tax is
allocated to the item distribution, the system does not allow you to reverse this
distribution which is also the case for the Tax distribution if it is Permanent. In such
cases, you should discard the Item line and not the distribution. This automatically
reverses the Item and Tax distributions as well. Then, you can create new item line and
validate the invoice.
If you discard an item line with retainage, the retained amount of the pay item is
reduced. When the reversing distributions are created, the retainage distributions are
also reversed. If the invoice amount is gross of retainage, the gross amount of the
payment schedule is increased.
If a line carries retainage information and some or all of the related retainage releases
have been billed, then the original invoice line cannot be discarded, since the retainage
release lines contain references to the original standard invoice line.
Important: Discarding retainage release line leaves incorrect balances.
Invoice Line Corrections with Retainage
Price, quantity, and amount corrections are allowed for a base-matched item line. If,
however, an item line carries retainage, and some or the entire retained amount has
been released, no corrections are allowed on the item line.
Note: You cannot correct an item line with released retainage.
Line-Level Matching/Corrections and Retainage Computation
After amount information is entered in the purchase order, the PO API is called to
retrieve the amount to retain and displays it by populating the Retained Amount field
in the Lines tab. Also the matching/corrections API takes the retained amount and
creates the necessary retainage distributions if the Net of Retainage check box is
selected. In cases where the Net of Retainage check box is disabled, the matching API
also updates the payment schedules.
Retainage Release
Retainage release is the act of releasing, or paying, that portion of a payment that was
withheld until a substantial portion or all of the service procurement work is
completed. The amounts retained during the life of the contract must be released and
paid to the supplier or sub-contractor once all or a substantial portion of the work is
completed. Retainage terms in a service procurement contract are agreed upon by the
3-52 Oracle Payables User's Guide
buyer and the supplier and are defined in the contract. Oracle Payables receives any
required contract data from Oracle Purchasing, Oracle Projects, and Oracle Contracts.
Once the release criteria are met, suppliers request a release of the retained amount by
submitting a document called a Retainage Release Request.
Oracle Payables uses the Retainage Release Request to create a type of invoice called
Retainage Release. A retainage release invoice has lines, which are copied from the
original standard progress invoices, which show an amount left to be released.
Creating Retainage Release Invoices
Note: Retainage release invoices can only be entered manually in the
Invoice Workbench window.
Entering Retainage Release Invoices
To create retainage release invoices, perform the following tasks:
1.
Navigate to the Invoice Workbench window.
2.
In the Operating Unit field, select the applicable operating unit from the list of
values in which the retainage release invoice will be created.
3.
In the Type field, select the Retainage Release invoice type from the list of values.
4.
In the header region, enter a purchase order number for which you want the
retainage released in the PO Number field or select it from the list of values.
All the information defaults from the associated purchase order.
Note: If you do not provide a purchase order number, you must
provide supplier information so the system can default other
invoice header information.
5.
In the Invoice Amount field, enter the gross invoice amount, which includes tax.
6.
In the Release Amount Net of Tax field, enter the release amount net of tax, which is
the invoice amount without tax.
The system automatically selects the invoice lines that can be released.
7.
Enter any other required header information.
8.
Select the Match button.
The Find Retained Invoice Lines window appears.
•
Enter the applicable invoice line search criteria and select the Find button.
The Release Retainage window appears. Invoice lines appear that match the
Invoices 3-53
search criteria, which have unreleased retainage.
•
Select the Select check boxes for the applicable pay items and the system
defaults the retainage amounts that can be released.
Note: You can accept the defaulted amount or manually enter
any amount less than or equal to the defaulted amount in the
Release Amount field.
9.
•
Optionally, select the View PO button to access detailed purchase order
information.
•
After entering the amount to release in the Release Amount field, select from
the following:
•
Select the Release button to prorate the release amount to all the invoice
lines that are matched to a pay item and not fully released.
•
Select the Lines button and the system navigates to the Retainage Release
Lines window and queries the item lines that are matched to the pay item.
The lines are sorted by creation date. You can now perform the following
tasks:
•
Select the Select check box for each line for which you want to release
retainage. When a line is selected, the system defaults the amount that
can be released. If necessary, you can override the amount.
•
Select the Invoice Overview button to navigate to the Invoice Overview
window and view the complete details of the invoice.
•
Select the Release button. Based on your selection, the system creates
retainage release lines and retainage distributions.
When you select the Match button, the system does the following:
•
creates retainage release lines
•
creates retainage reversing distributions and copies the same account and
project information from the original distribution
•
updates the original retained item line, retainage distributions, and the pay
item with the amount released
Creating and Adjusting Payment Schedules for Invoices with Retainage
When an invoice amount entered is net of retainage, as indicated by the selected Net of
3-54 Oracle Payables User's Guide
Retainage check box at the invoice header, there is no impact to the creation of the
payment schedule or adjustments.
When an invoice amount entered is gross of retainage, the payment schedule is
adjusted. The adjustment reduces the gross invoice amount in the payment schedule
and occurs at the following event points:
•
anytime retainage is computed on an invoice
•
when an invoice line with retainage is discarded
•
when an invoice with retainage is cancelled
Discountable Basis of Payment Schedules for Invoices with Retainage
Whenever payment schedules are recreated, the amounts applicable to a discount take
retainage into account and are net of retainage.
Tax Calculation on Invoices with Retainage
Tax calculation on invoices with retainage is shown in the table below. In this example,
if the progress payment invoice is $100.00 and the retainage is 15%, the invoice amount
will be $85.00 plus VAT (10%) of $8.50 equals a total invoice due the supplier of $93.50.
Example of Tax Calculation on an Invoice with Retainage
Details
Value
Progress Payment
100.00
Less Retainage
15.00
Amount Due
85.00
VAT
8.50
Total Due to Supplier
93.50
Validating Invoices with Retainage
Validating invoices with retainage impacts holds, variance calculations, and
withholding tax.
Holds on Invoices with Retainage
The Line Variance hold is placed on an invoice when the invoice amount is unequal to
the sum of all invoice lines. This hold determination considers whether the Net of
Retainage check box is enabled or disabled. The following table describes the rules for
determining the line variance hold for invoices with retainage.
Invoices 3-55
Hold Determination Rules for Invoices with Retainage
Net of Retainage Check Box
Hold Determination Rule
Enabled
Invoice Amount = Sum of all the line amounts
- Sum of all the Lines Retained Amount. If this
is not the case, the Line Variance hold is
applied.
Disabled
Invoice Amount = Sum of all the line amounts.
If this is not the case, the Line Variance hold is
applied.
Variance Calculation on Retainage Release Invoices
•
The Exchange Rate Variance applies to retainage release invoices. Foreign currency
invoices can have an exchange rate difference between the invoices that withheld
retainage and the retainage release invoice. The difference between these rates is
reflected as an exchange rate variance in the retainage release invoice. The variance
is charged to the System Gain or Loss account.
The following tables in this section illustrate an Exchange Rate Variance example.
Assume the invoice is a progress payment for $100.00 CAD, the functional currency is
USD, and the exchange rate is .1 matched to a pay item that has two distributions. The
retainage rate at the contract line is 15%.
Invoice Header
Invoice Number
Supplier
Amount
Date
Net of
Retainage
INV101
BVC Inc.
$85.00
05/01/2006
Yes
Invoice Lines
Line
Number
Type
Amount
PO
Number
PO Line
Pay Item
Retained
Amount
Retained
Amount
Remaini
ng
1
Item
$100.00
CONS101
1
1
-$15.00
$15.00
3-56 Oracle Payables User's Guide
Invoice Lines Running Total
Gross
Retainage
Net Amount
$100.00
-$15.00
$85.00
Since the Net of Retainage check box is disabled, the Invoice Validation process
compares $85.00, the net amount, to the invoice amount of $85.00 in the header to
determine if the invoice should be placed on a line variance hold.
Invoice Distributions
Line
Number
Distributi
on
Number
Type
Amount
Account
Related
Retainag
e
Distributi
on
PO
Distributi
on
Retained
Amount
Remaini
ng
1
1
Item
$50.00
01-Charg
e1
Inv101-11
1
1
2
Item
$50.00
01-Charg
e2
Inv101-12
2
1
3
Retainage
-$7.50
01-Retain
age
Inv101-11
1
$7.50
1
4
Retainage
-$7.50
01-Retain
age
Inv101-11
2
$7.50
Assume the retainage is released when the exchange rate is 0.2 between the CAD and
USD currencies. A retainage release invoice with an Exchange Rate Variance is created
as follows:
Invoice Header
Invoice Number
Supplier
Amount
Functional
Currency
Amount
Date
INV102
BVC Inc.
$15.00
$3.00
05/01/2006
Invoices 3-57
Invoice Lines
Line
Number
Type
Amount
Functio
nal
Curren
cy
Amount
PO
Number
PO Line
Pay
Item
Retaine
d
Invoice
Retaine
d
Invoice
Line
1
Retaina
ge
Release
$15.00
$3.00
CONS1
01
1
1
INV101
1
Invoice Distributions
Line
Number
Distributio
n Number
Type
Amount
Functional
Currency
Amount
Account
Variance
Related
Distributio
n
1
1
Retainage
$7.50
$0.75
01-Retaina
ge
Inv101-1-1
1
2
ERV
$0.75
01-Loss
Inv101-1-2
1
3
Retainage
$0.75
01-Retaina
ge
Inv101-1-1
1
4
ERV
$0.75
01-Loss
Inv101-1-1
$7.50
Retainage release invoices can have Tax Rate and Tax Exchange Rate Variances.
Withholding Tax on Invoices with Retainage
Payables calculates withholding taxes on invoices during the invoice validation process
or during the payment calculation. Invoices with retainage impact the taxable amount
withheld, based on when the withholding tax is calculated.
If the withholding tax is calculated during the invoice validation process, then the
taxable amount withheld is the gross amount. If the withholding tax is calculated
during the payment calculation, then the taxable amount withheld is net of retainage.
Withholding taxes are not calculated on retainage release invoices if the calculation is
done during the invoice validation process. instead, the withholding taxes are
calculated during the payment calculation.
3-58 Oracle Payables User's Guide
Accounting for Invoices with Retainage and Retainage Releases Invoices Using Subledger Accounting (SLA)
The following example illustrates the accounting entries created by Oracle Payables for
retainage and retainage release invoices. The sample data includes a progress pay item
in a services procurement contract for $100.00, and the retainage rate is 15%. There is a
10% tax that is 0% recoverable. The progress payment invoice is created by matching to
the progress pay item. The amounts include:
•
Invoice Amount: $93.50
•
Item Amount: $100.00
•
Retainage: $15.00
•
Tax: $8.50
The related retainage release invoice includes the following amounts:
•
Invoice Amount: $16.50
•
Retainage: $15.00
•
Tax: $1.50
Accrual Basis Accounting Entries for Invoices with Retainage and Retainage Release
Invoices
The tables below illustrates the accrual basis accounting entries for invoices with
retainage and retainage release invoices.
Invoice Entry
Distribution Description
Debit
Expense
100.00
Non-Recoverable Tax
8.50
Credit
Retainage
15.00
Liability
93.50
Invoices 3-59
Payment Entry
Distribution Description
Debit
Liability
93.50
Cash
Credit
93.50
Release Invoice Entry
Distribution Description
Debit
Non-Recoverable Tax
1.50
Retainage
15.00
Liability
Credit
16.50
Release Payment Entry
Distribution Description
Debit
Liability
16.50
Cash
Credit
16.50
Cash Basis Accounting Entries for Invoices with Retainage and Retainage Release
Invoices
The tables below illustrates the cash basis accounting entries for invoices with retainage
and retainage release invoices.
Invoice Entry - no entry.
Payment Entry
Distribution Description
Debit
Expense
100.00
3-60 Oracle Payables User's Guide
Credit
Distribution Description
Debit
Non-Recoverable Tax
8.50
Credit
Retainage
15.00
Cash
93.50
Release Invoice Entry - no entry.
Release Payment Entry
Distribution Description
Debit
Non-Recoverable Tax
1.50
Retainage
15.00
Cash
Credit
16.50
Automatically Recouping Advances and Contract Financing Payments
Oracle Payables ensures that amounts financed, such as prepayments, and later
automatically recouped or recovered, never exceed the allowable amounts specified by
the terms in the fixed price contract.
Overview
Recoupment is the automatic process of recovering prepaid amounts when invoicing
for progress or for the final delivery of goods or services, based on specific terms
specified in the services procurement contract. It is basically a prepayment distribution
tied to an item line. Recoupment, a common business practice in Federal Government
contracts, settles advances and contract financing paid to a supplier against the delivery
invoice. When the supplier or contractor submits invoices for the project, any
prepayments are recouped from the previous advances or contract financing.
Recoupment rules present in the service procurement contract enable Oracle Payables
to automatically draw against the prepayments and reduce the amount due on the
delivery invoice. Automatic recoupment occurs as part of the matching process at the
following event points in Oracle Payables: header-level matching, line-level matching,
and the open interface import.
Advances and contract financing prepayments are automatically deducted from the
Invoices 3-61
standard invoice delivery payments for the contract line. The advanced or financed
prepayment items are matched to a specific contract line in a service procurement
purchase order. They are applied to, or recouped from, the same contract line with the
delivery of the item, up to the unpaid invoice amount. Recoupment amounts are
automatically calculated for every standard invoice item line that is matched to a
service procurement purchase order delivery pay item or shipment. It is based on the
total available amount of financed pay items or shipments for that same contract line.
Recoupment treats advances and contract financing prepayments differently, as the
following table describes:
How Recoupment Treats Advances and Contract Financing Prepayments Differently
Prepayment
Recoupment
Advance
The progress payments and the final delivery
invoice are all considered progress payments.
That is, each of the progress payments and the
final delivery invoice are all portions of the
total amount due the supplier. Progress
payments can be based on a milestone, a rate,
or a lump sum.
Contract Financing
All progress payments are called
prepayments. The prepayments are recouped,
or drawn down, against the total amount due.
The final delivery invoice is for the total
amount due, rather than a portion of the total
amount due.
Manual recoupment is unavailable. You can, however, manually change the
automatically generated recouped distributions by discarding the standard invoice item
line, correcting the service procurement contract line, and then re-entering the standard
invoice item line.
The order of a recoupment is on a first-in, first-out (FIFO) basis by the prepayment
invoice payment date, with contract financing recouped first and then advances. After
the recouped amounts are calculated, the payment schedules are adjusted for the
amount remaining. You can view the recouped amounts in the View Prepayment
Applications tab in the Invoice Workbench window.
Matching Progress Invoices to Service Procurement Purchase Orders
Since a recoupment is a prepayment distribution that is tied to an item line, the
recoupment distributions are created automatically as part of the matching process.
Recoupment amounts are automatically calculated for every standard (progress)
invoice item line that is matched to a service procurement purchase order delivery pay
3-62 Oracle Payables User's Guide
item or shipment and are based on the total available amount of the financed pay items
or shipments for the contract line item. If prepayments are available to apply, Oracle
Payables determines the maximum amount to recoup for the line item. After calculating
and subtracting retainage, the available prepayments are applied on a FIFO basis
according to the prepayment payment date.
Matching Rules for Recoupment
If at least one standard (progress) invoice line is matched to a service procurement
purchase order actual delivery pay items, Oracle Payables performs calculations and
comparisons to determine the correct amount to apply as follows:
1.
The amount applied is equal to the lesser of the amount available to apply or the
maximum amount to recoup.
The amount available to apply depends on the availability of payments that can be
applied to each of the standard invoice item lines that are matched to a service
procurement actual delivery pay item. The prepayments available for consideration
are the available advance or contract financing pay items that are from the same
purchase order line as that of the standard (progress) invoice line.
2.
Oracle Payables calculates the amount to recoup according to the following rules:
1.
Retainage is calculated first, if applicable.
The maximum amount to recoup is based on the following formulas:
•
If (Gross Invoice Line Amount)(Recoupment Rate) > (Gross Invoice Line
Amount Net of Retainage), then Maximum Amount to Recoup = Amount
Net of Retainage.
•
If (Gross Invoice Line Amount)(Recoupment Rate) < (Gross Invoice Line
Amount Net of Retainage), then Maximum Amount to Recoup = (Gross
Invoice Line Amount)(Recoupment Rate).
The amount that is applied is the lesser of the Amount Available to Apply
or the Maximum Amount to Recoup.
3.
The available prepayment lines that are matched to a service procurement purchase
order are applied to the standard (progress) invoice amount of the invoice
containing the lines that are matched to the same service procurement purchase
order. The FIFO basis is used according to the prepayment payment date. These
amounts are applied first, then the remaining available prepayments, until the
prepayments applied equal the value of the amount to apply.
Manually Applying and Unapplying Prepayment Invoices
You can manually apply prepayment invoices to standard invoices by using the
Apply/Unapply Prepayments window in the Invoice Workbench. This window can be
Invoices 3-63
accessed by navigating from the Actions button in the Invoice Workbench. Since the
recouped amounts are calculated during the matching process, they are defaulted and
are available upon entering this window. The amount remaining in the payment
schedules is adjusted based on both the retained and recouped amounts.
You can only apply the available prepayment invoices that are not matched to the
financing pay items and do not total more than the amount remaining in the
Apply/Unapply Prepayments window. The recouped amounts cannot be displayed or
unapplied from within the Apply/Unapply Prepayments window.
Calculating the Recoupment Amount
Oracle Payables determines how much of the prepaid amount to recoup, based on
which ever is less:
1.
The gross amount of the invoice line multiplied by the recoupment rate.
2.
The matched line balance after retainage
3.
The unapplied advance balance.
Recoupment Example
The table below shows a recoupment example where the prepayment amount is $40.00,
the recoupment rate is 80%, and the retainage rate is 15%. The invoice line amount is
$10.00.
Recoupment Example
Description
Amount
Invoice Line
$10.00
Retainage
-$1.50
3-64 Oracle Payables User's Guide
Calculation
$10.00 x 15% = $1.50
Description
Amount
Calculation
Recoupment
-$8.00
Lesser of:
Total Payment Due
•
$10.00 x 80% = $8.00 (line
item amount available)
•
$10.00 - $1.50 = $8.50
(amount due after
retainage)
•
$40.00 - $0.00 = $40.00
(remaining prepaid
amount)
$0.50
Adjusting Payment Schedules
Creating the header of a standard invoice generates the payment schedule for the
invoice. When prepayments are applied to the standard invoice, Oracle Payables adjusts
the payment schedule. Entering a progress invoice with recoupment results in an
adjustment to the payment schedule and a reduction of the gross amount.
Recoupment events that result in an automatic adjustment to payment schedules are the
following:
•
Calculating recoupment for a progress invoice, such as matching to purchase
orders, making corrections, and line-level matching.
•
Discarding an item with a prepayment distribution results in an increase in the
gross amount.
•
Canceling an item with a prepayment distribution results in an increase in the gross
amount.
Correcting Prices, Quantities, and Amounts
You can perform price, quantity, and amount corrections to reflect adjustments of unit
price, quantity, and amount previously billed through a specific invoice matched to a
purchase order or receipt. The corrections can be performed in the context of matching
to a purchase order or receipt line. Access the Corrections window to make your
corrections.
If the original base-matched invoice has an amount recouped, then the corrections that
result in increases to the original base-matched invoice should update the Amount
Invoices 3-65
Recouped information in the PO shipment in the purchase order entity. The corrections
that result in decreases to the base-matched invoice do not update the amount recouped
information in the PO shipment.
Viewing Recouped Amounts
You can view recouped amounts from the Invoice Workbench window as follows:
•
View Prepayment Applications tab: you can view the prepayment item line
descriptions created for each recoupment distribution. The value for Amount
Applied is also available, which is the sum of the recouped distributions.
•
Lines tab: you can view the prepayment invoice number, prepayment invoice line
number, and recoupment rate fields for each invoice line.
Corrections
Corrections enable you to adjust the invoiced price, quantity, or amount of previously
matched purchase order shipments, distributions, or receipts. You can use a correction
when a supplier sends an invoice for a change for an invoice you have already matched
to a purchase order. This existing matched invoice, also known as the base-matched
invoice, is the invoice that the correction is adjusting, and it represents the actual
quantity, unit price, and amount being charged for the purchased goods.
To record a correction enter a Standard invoice to record a price increase, or enter a
Credit Memo or Debit Memo to record a price decrease.
Price corrections adjust the invoiced unit price of previously matched purchase order
shipments, distributions, or receipts, without adjusting the quantity billed.
You can record a simple price decrease correction by entering a credit or debit memo
and matching to a base-matched invoice. However, we strongly recommend that you
record all price corrections by matching to a purchase order or receipt.
Note: In amount matching of purchase orders, you cannot perform
price corrections. See Amount Matching of Purchase Orders., page 3299
You can enter a correction only if all of the following are true:
•
the invoice type of the base-matched invoice is Standard or Mixed.
•
the amount of the correction will not reduce the total amount billed for the
shipment to be less than zero.
•
Rules enforced for Selection of Invoice Lines:
•
Line must be fully distributed.
3-66 Oracle Payables User's Guide
•
Line cannot be already discarded.
•
Line cannot represent a Price or Quantity Correction or Invoice Line correction.
•
Line cannot be PO/RCV matched.
•
Line cannot represent a Prepayment Application or Unapplication.
•
Line cannot be for Withholding Tax.
•
Line must have an outstanding amount available for Correction and they need
to use match option as PO instead of invoice.
Invoice Validation and the Weighted Average Price
When Invoice Validation checks whether the invoice price is within the tolerance
allowed, it checks the weighted average price of the base matched invoice and all the
price corrections associated with the base matched invoice.
To calculate the weighted average unit price, Payables uses this equation: (quantity *
unit price) + (quantity * unit price) . . . / quantity invoiced for the base-matched invoice.
For example, the following table shows an invoice matched to a purchase order, and a
subsequent price correction for the invoice:
Transaction
Quantity
Unit Price
Amount
Base Matched Invoice
10
1.00
10.00
Price Correction
5
.20
1.00
The weighted average price in this example is 1.10 because (10 * 1.00) + (5 * .20) / 10 =
1.10.
However, if you provide no values for the quantity and unit price then the system uses
the net amount of the price correction in the equation. For example, the following table
shows a price correction with a negative amount but no values for Quantity or Unit
Price:
Transaction
Quantity
Unit Price
Amount
Base Matched Invoice
10
1.00
10.00
Price Correction
null
null
<1.00>
Invoices 3-67
The weighted average price is 9 because (10 * 1.00) + (-1.00) / 10 = 9.
Entering the Base Matched Invoice Number
When you enter a correction in the Invoice Workbench or Payables Open Interface, you
provide the number of the base-matched invoice when:
•
you enter the Invoice Num field of the Find Purchase Orders for Matching window
during purchase order matching.
•
you enter the Invoice Num field of the Find Receipts for Matching window during
receipt matching.
•
you select an invoice in the Match to Invoice window when you match the price
correction credit or debit memo directly to the base matched invoice.
•
you provide a value in the
AP_INVOICE_LINES_INTERFACE.PRICE_CORRECT_INV_NUM column when
you enter a price correction in the Payables Invoice Open Interface.
Recording Price, Quantity, or Amount Corrections
Use a price correction when a supplier sends an invoice for a change in unit price for an
invoice you have matched to a purchase order or receipt.
To record a price, quantity, or amount corrections in the Corrections Window:
1.
Enter the invoice.
•
If you are recording a price increase, enter a Standard or Mixed invoice.
Payables then automatically defaults the supplier and supplier number from
the purchase order to the Invoices window.
•
If you are recording a price decrease, enter a Credit Memo or Debit Memo type
invoice. See: Entering Credit/Debit Memos, page 3-90.
Enter all basic invoice information (see: Entering Basic Invoices, page 3-14) but do
not manually enter the distributions that will be part of the price correction.
2.
Click Corrections. The Find Document for Corrections window appears.
3.
Select the type of correction you want to enter: Price, Quantity, or Amount.
4.
Query the invoice or purchase order that you want to correct. Click Find.
The window displays the available purchase order shipment lines based on your
correction type and query. The type of correction that you can make depends on the
type of purchase order line you are correcting:
•
Goods. You can make price or quantity corrections.
3-68 Oracle Payables User's Guide
•
Services. You can make amount corrections on all services, with the exception
of Rate Services.
•
Rate Services. You can only make Quantity corrections for Rate Services.
If the purchase order line is a Milestone, then you cannot enter corrections. In this
case, you must completely reverse the invoice.
5.
Select the line that you want to correct and enter the correction details. Note that the
change is the difference between the original price, quantity, or amount, and the
new price, quantity, or amount. For example, if the original unit price was $100.00
and the supplier is decreasing the price by $10.00, enter -10.00 in this field. If the
invoice Type is Credit or Debit Memo, the value in the Unit Price field must be
negative.
•
Price Correction. Enter the price change in the Unit Price field.
•
Quantity Correction. Enter the quantity change in the Correction Qty field.
•
Amount Correction. Enter the amount change in the Correction Amount field.
Adjust the invoiced unit price of a previously matched purchase order shipment by
matching a price correction to it. To record a price increase for a purchase order
shipment, enter the Unit Price for the incremental amount of the price correction,
and enter either Quantity Invoiced or Match Amount for each shipment you want
to match to. If you enter a value for Quantity Invoiced on a price correction, the
quantity is used only to calculate the Match Amount (Quantity Invoiced x Unit
Price = Match Amount). Payables does not record this quantity in the Invoiced
Quantity field on the credit/debit memo distribution because a price correction does
not involve the movement of goods, only an adjustment in the price of previously
invoiced goods.
6.
Click Correct to complete the correction.
7.
If you want to match in further detail, you can match to specific purchase order
distributions:
•
Click Distribute.
•
Select the purchase order distribution you want to match to and enter the
appropriate details.
8.
Choose Correct to save your match.
9.
To review the new invoice distributions, choose the Distributions button in the
Invoices window.
Invoices 3-69
Related Topics
Invoice Overview, page 3-231
Purchasing Integration, page 3-293
Taxes on Invoices, page 3-190
Price Corrections, page 3-66
Entering Freight on Invoices, page 3-14
Final Matching Invoices and Final Closing Purchase Orders
Final matching an invoice to a purchase order indicates that no more invoices should be
matched to the purchase order. To final match, select the Final Match option in the
Invoice Lines region or the enable mark the Final Match check box that is available on
every PO line during matching. If you select Final Match and you match to an purchase
order, the system only sets the purchase orders shipment level to Finally Closed. The
Header and Lines Closure status shows Closed. If you match to a purchase order
shipment, the system updates the closure status of the shipment to Finally Closed when
you validate the invoice.
In Purchasing, you can finally close a purchase order at the following levels: header,
release, line, or shipment. When you finally close at one level then all sublevels are also
finally closed. No further actions can be performed against a purchase order level that is
finally closed.
If a PO that has multiple lines is finally closed as the line level , then the shipment is
stamped as Finally Closed, and at the header level it is stamped as Closed if there are
any open Lines. Whereas, if the PO is finally closed at the shipment level, then the
corresponding line and header are stamped as Closed and not as Finally Closed.
If the Show Finally Closed POs profile option is set to No, then during invoice entry
Payables does not display purchase orders that are finally closed. If the profile option is
set to Yes then Payables displays these purchase orders but you can't match to them.
If an invoice is matched to a purchase order shipment that then becomes finally closed
before validation of the invoice, Invoice Validation applies a Finally Closed PO hold on
the invoice. You cannot manually release this hold. You must reverse the match in the
Distributions window and resubmit Invoice Validation to release this hold. You can
then match the invoice to a different purchase order or enter distributions manually.
If you final match an invoice to a purchase order and the invoice has an exception that
causes Invoice Validation to place a hold on the invoice, Payables also places a Can't
Try PO Close hold on the invoice. To release this hold, you must release the other holds
on the invoice and resubmit Invoice Validation.
If you use automated receipt accrual in Purchasing and you final match an invoice to a
purchase order shipment that is not fully delivered (quantity delivered is not equal to
quantity received), Payables places a Can't Close PO hold on the invoice. If you
manually release the hold, Payables disables the Final Match check box for any
3-70 Oracle Payables User's Guide
distribution on that invoice that is matched to the shipment.
If you are using encumbrance accounting and you mark an invoice distribution as a
final match to a purchase order, the system creates reversing journal entries for all
outstanding encumbrances on that purchase order.
Note: You cannot final match to a purchase order when you are
matching to receipts. Also, you cannot final match a prepayment.
Prerequisite
•
Enable the Allow Final Matching Payables option. See: Matching Payables Options,
Oracle Payables Implementation Guide.
To final match a purchase order:
Note: Final Match only if you are certain this is a final match against the
related purchase order. Once you validate a final matched invoice
distribution, you cannot update the Final Match check box for the
distribution.
•
When you are matching an invoice or a credit/debit memo to a purchase order,
check the Final Match option in the Match to Purchase Orders window.
Related Topics
Closing Purchase Orders, page 3-305
Entering Basic Invoices, page 3-14
Scheduling Invoice Payments, page 3-30
Entering Purchase Order Matched Invoices, page 3-32
Entering Credit/Debit Memos, page 3-90
Invoice Tolerances, Oracle Payables Implementation Guide
Purchasing Integration, page 3-293
Final Match (with Budgetary Control), Oracle General Ledger User Guide
Viewing Purchase Order Information
To view purchase order information:
•
Choose the View PO button in the Match to Purchase Orders window to navigate to
the Purchase Order Shipments window.
Invoices 3-71
•
Choose the View PO button in the Match to Distributions window to navigate to
the Purchase Order Distributions window.
Related Topics
Payment Overview, page 5-63
Purchasing Integration, page 3-293
Prepayments
A prepayment is a type of invoice you enter to make an advance payment to a supplier
or employee. For example, you need to pay a deposit on a lease, or pay an employee an
advance for travel expenses. You can later apply the prepayment to one or more
invoices or expense reports you receive from the supplier or employee to offset the
amount paid to them.
A supplier might send an invoice that references a prepayment. If a supplier reduces
the invoice amount by the amount of the prepayment and associated tax, you can use
the Prepayment on Invoice feature to enter the invoice. See: Entering Invoices that
Reference Prepayments, page 3-81.
You cannot apply prepayments to standard invoices when there are no item
distributions or item lines without a valid distribution set.
You can enter two types of prepayments: Temporary and Permanent. Temporary
prepayments can be applied to invoices or expense reports you receive. For example,
you use a Temporary prepayment to pay a hotel a catering deposit. When the hotel's
invoice arrives, apply the prepayment to the invoice to reduce the invoice amount you
pay. Permanent prepayments cannot be applied to invoices. For example, you use a
Permanent prepayment to pay a lease deposit for which you do not expect to be
invoiced.
In the Invoice Workbench you can enter and apply prepayments. In the Quick Invoices
window you can enter a Prepayment type invoice.
You enter a prepayment as you enter any other invoice. However, you additionally
specify 1) the prepayment type, Temporary or Permanent, and 2) the settlement date,
the date after which the prepayment can be applied to an invoice. You can apply a hold
to a prepayment if you want to control payment of it. You can also enter an invoice
amount that includes a prepayment.
On a prepayment, you can enter any number of distributions, either manually, or
automatically by purchase order matching, distribution sets, or allocating. You can also
take discounts on prepayments.
You can apply paid Temporary prepayments on and after the prepayment settlement
date. You can apply only Item distributions from the prepayment. The prepayment
remains available until you apply the full amount of the prepayment Item distributions
to one or more invoices. You can review the Prepayment Status Report to check the
3-72 Oracle Payables User's Guide
status of all prepayments in Payables. See: Prepayments Status Report, page 9-82.
When you enter a Standard invoice in the Invoice Workbench, or enter an expense
report in the Expense Reports window, Payables notifies you if you have available
prepayments for the same supplier.
You apply prepayments to invoices and expense reports differently, depending on
where you enter them: Invoice Workbench, Quick Invoices, Expense Reports window,
or Oracle Internet Expenses. See the window-specific documentation for details.
When you apply a prepayment, Payables creates a negative amount Prepayment type
distribution on the invoice, and reduces the prepayment's available applicable amount.
For example, if you apply a $100 Prepayment distribution to an invoice, Payables
creates a negative $100 Prepayment distribution, and reduces the Amount Available on
the prepayment Item distribution by $100. The account of the Prepayment distribution
on the invoice defaults from the Item distribution on the prepayment.
When you apply a prepayment, in addition to updating fields in the Apply/Unapply
Prepayments window, Payables updates the following fields. For Quick Invoices and
Expense Reports, these values appear after import:
•
•
For the invoice:
•
Invoice Workbench: Prepaid Amount; Status is updated to reflect that the
invoice has been paid or partially paid
•
Distributions window: Prepayment Number; Prepayment Distribution
For the prepayment:
•
Invoice Workbench: If you have applied all Item distributions, the invoice
Status will change from Available to Fully Applied
•
Distributions window: Prepay Amt Remaining
This discussion includes the following topics:
•
Foreign Currency Prepayments, page 3-74
•
Entering Prepayments, page 3-74
•
Entering Invoices that Reference Prepayments, page 3-81
•
Applying and Releasing Holds on Prepayments, page 3-75
•
Paying Prepayments, page 3-75
•
Applying Prepayments to Invoices, page 3-75
•
Applying Prepayments to Expense Reports, page 3-80
Invoices 3-73
•
Withholding Tax When Applying Prepayments, page 3-80
•
Unapplying Prepayments, page 3-82
•
Cancelling Prepayments, page 3-83
•
Find Prepayments to Apply Window, page 3-85
•
Find Invoices to Apply Window, page 3-85
•
Recording a Refund of a Prepayment, page 3-84
•
Apply/Unapply Prepayments Window Reference, page 3-86
For information on how taxes are applied to prepayments, see: Taxes on Invoices, page
3-190.
Foreign Currency Prepayments
Payables uses the exchange rate from the invoice when it accounts for the applied
Prepayment and associated tax distributions. This credits the prepaid asset account for
the correct amount. Because the prepayment application pays the invoice, Payables then
records any gain or loss between the functional currency amount of the payment
(original prepayment) and the functional currency amount of the invoice (invoice
amount that the prepayment relieved). If the exchange rate accounting causes unequal
debits and credits for the transaction, Payables accounts for that difference in a
rounding entry to balance the transaction.
Related Topics
Prepayments, page 3-72
Entering Prepayments
You can enter a Prepayment type invoice in the Invoice Workbench.as well as in the
Quick Invoices window.
Optional Requirements
•
(Optional) Enter a prepayment account at the supplier site.
•
(Optional) Set a default value for the prepayment payment terms in the Payables
Options window. If you do not enter a default value, payment terms default from
the supplier site.
Related Topics
Implementing Sequential Voucher Numbering, Oracle Payables Implementation Guide
3-74 Oracle Payables User's Guide
Applying and Releasing Holds on Prepayments
To prevent payment of a prepayment, you can apply one or more holds to the
prepayment or you can hold the scheduled payment. Apply these holds as you would
for any other invoice. See: Applying Holds, page 3-210.
You release holds from a prepayment just as you would for any other invoice. See:
Releasing Holds, page 3-214.
Related Topics
Prepayments, page 3-72
Paying Prepayments
Pay a prepayment just as you would any other invoice. However, you can partially pay
a prepayment; but you must fully pay it. See: Creating Single Payments, page 5-13, or
Creating Multiple Payments, page 5-25. You must fully pay a prepayment before you
can apply the prepayment to an invoice.
Related Topics
Prepayments, page 3-72
Applying Prepayments to Invoices and Expense Reports
You can apply the available amount of Item type distributions from a Temporary type
prepayment to one or more invoices to offset the amount you pay on the invoice(s). If
you entered the prepayment as a Permanent type and want to apply it, you can query
the prepayment in the Invoices window and change the Prepayment Type to
Temporary.
If you use Automatic Offsets then your setting for the Prevent Prepayment Application
Across Balancing Segments Payables option, Oracle Payables Implementation Guide
controls whether you can apply a prepayment to an invoice or expense report with a
different balancing segment.
Prerequisites
•
The invoice type is Standard, Mixed, or Expense Report.
•
Today's date is on or after the Settlement Date of the prepayment.
•
The prepayment application GL date must be on or after the latest GL Date used on
both the Prepayment and Standard invoice distributions.
•
The prepayment is type Temporary, fully paid, validated, not cancelled, has no
active holds, and has not already been fully applied.
Invoices 3-75
•
The prepayment has the same supplier, invoice currency and payment currency as
the invoice.
•
If the prepayment has a value in the Prepayment PO Number field, then the invoice
must be matched to the same purchase order.
You can apply a prepayment in the following ways:
•
Applying Prepayments in the Invoice Workbench, page 3-76
•
Applying Prepayments in the Quick Invoices Window, page 3-78
•
Applying Prepayments to Invoice Records in the Payables Open Interface, page 379
•
Applying Prepayments to Expense Reports, page 3-80
Prepayment Application Restrictions
ENCUMBRANCE: If you use encumbrance accounting, you must enter a GL date in a
period that is within the latest encumbrance year.
Applying Prepayments in the Invoice Workbench
When you apply a prepayment to an invoice, you can see all available prepayment Item
distributions for the same supplier in the Apply/Unapply Prepayments window. You
can partially apply a Prepayment distribution by applying only a portion of its available
amount.
To apply a prepayment, you can either create or query the prepayment and then select
the invoice to which the prepayment will be applied, or you can create or query the
invoice and then select the Prepayment distributions you want to apply. If you want to
apply specific Prepayment Item distributions to the invoice, then you must query the
invoice and apply the prepayment to the invoice. Otherwise, Payables will apply the
amount of the application across the available Prepayment Item distributions, starting
with the first Prepayment Item distribution, up to the application amount.
When you apply a prepayment, you can print a Prepayment Remittance Notice, which
you can send to the supplier. This notice states that a prepayment has been applied to
an invoice and this may result in a decreased payment or nonpayment of the invoice.
Applying Prepayments in the Invoice Workbench
To apply a prepayment to an invoice in the Invoice Workbench:
1.
In the Invoices window, query either the prepayment or the invoice to which you
want to apply it.
2.
Choose the Actions button and select the Apply/Unapply Prepayment check box.
3-76 Oracle Payables User's Guide
Choose OK. The Apply/Unapply Prepayments window opens. This window shows
different information depending on what you queried, an invoice or a prepayment.
For details on any field, see: Apply/Unapply Prepayments Window Reference, page
3-86.
•
If you initially queried a prepayment, Payables displays all invoices in the
apply prepayments window that are not fully paid and to which the
prepayment can be applied. If you want to limit available choices, enter a query
or use the Find Invoices to Apply window by choosing Find from the View
menu.
Check the Apply check box for each Prepayment distribution you want to apply
to the invoice.
If the invoice references a prepayment, check the Prepayment on Invoice check
box for each prepayment distribution that reduced the amount of the invoice.
Enter the amount to apply for each prepayment distribution.
Optionally change the GL Date, which is the accounting date for the new
Prepayment distributions that Payables creates when you apply a prepayment.
This date must be after the latest accounting date on any distribution for either
prepayment or invoice and must be in an open period. If you want to see more
information on an invoice, select it and choose the Invoice Overview button.
•
If you initially queried an invoice, Payables displays all validated and paid
Prepayment distributions in the Apply Prepayments window that you can
apply to the invoice. If you want to limit available choices, enter a query or use
the Find Prepayments to Apply window by choosing Find from the View
menu.
Check the Apply check box for each Prepayment distribution you want to apply
to the invoice. Enter the amount to apply for each prepayment. Optionally
change the GL Date, which is the accounting date for the new Prepayment
distributions that Payables creates when you apply a prepayment. If you want
to see more information on a prepayment select it and choose Invoice
Overview.
3.
If you want to print a Prepayment Remittance Notice for the supplier, select the
Print check box.
4.
Choose the Apply/Unapply button to apply the prepayment amounts you specified
and to save your work.
5.
Review the new Prepayment distributions for the invoice in the Distributions
window. On the Prepayment distributions you can adjust the values in the
description fields.
6.
Save any changes and validate the invoice. Any unpaid amount remaining on the
Invoices 3-77
invoice is ready for payment.
Applying Prepayments in the Quick Invoices Window
For Quick Invoices, you specify the prepayment information when you enter the
invoice record. During import Payables applies the prepayment. You can also apply
prepayments to invoices in the Invoice Workbench after you import them.
Note that for Quick Invoices invoice records Payables applies the prepayment during
import, so the available prepayment amount is available to apply to other invoices until
import.
You can apply a specific prepayment or multiple prepayments to an invoice. If you
enter only a prepayment amount and do not identify a specific prepayment, Payables
applies available prepayments for that supplier, in order of oldest prepayment to the
newest, up to the prepayment amount. You can specify the first prepayment to apply. If
the prepayment amount you enter exceeds the available amount on the specified
prepayment, Payables then applies other available prepayments, in order of oldest to
newest, up to the remaining prepayment amount.
When you enter an invoice record in the Quick Invoices window, Payables does not
notify you if you have available prepayments for the same supplier. You can submit the
Prepayments Status Report to get the prepayment details you need to successfully
apply the prepayment.
You can apply one or all prepayment Item distributions. If you do not specify a value
for Prepayment Distribution, Payables applies the prepayment amount across all
available prepayment Item distributions in chronological order, starting with the first
prepayment Item distribution, up to the prepayment amount. You cannot apply more
than the total amount of available prepayment Item distributions, and you cannot apply
more than the total amount of the Standard invoice you are entering.
Additional Prerequisite for Quick Invoices
•
Get up-to-date prepayment information from the Prepayments Status Report. See:
Prepayments Status Report, page 9-82.
To apply a prepayment to an invoice in the Quick Invoices window:
1.
In the Quick Invoices window, enter a Standard type invoice record.
2.
Enter the following fields to apply a prepayment to the invoice during import.
•
Prepayment Number: Invoice number of the prepayment.
•
Prepayment Distribution: Distribution number of the prepayment Item
distribution you want to apply. Leave blank to prorate the amount across all
available prepayment Item distributions.
•
Prepay Apply Amt: Amount of the prepayment you want to apply.
3-78 Oracle Payables User's Guide
•
Prepayment GL Date: Accounting date for the prepayment application. This
will be the GL Date on the Prepayment distribution that import creates for the
invoice.
3.
If the supplier invoice references the prepayment, then enable the Prepayment on
Invoice check box.
4.
Submit Payables Open Interface Import to import the invoice record. Payables
applies the prepayment amount to the invoice during import.
5.
View the new distributions for the Standard invoice in the Distributions window.
On the Prepayment distributions you can adjust the value in the Description field.
6.
Save any changes and validate the invoice. Any remaining unpaid amount on the
invoice is ready for payment.
Related Topics
Prepayments, page 3-72
Applying Prepayments in the Payables Open Interface
Payables Open Interface Import applies prepayments. You can also apply prepayments
to invoices in the Invoice Workbench after you import them.
For invoice records in the Payables Open Interface, Payables applies the prepayment
during import, so the available prepayment amount is available to apply to other
invoices until import.
You can apply a specific prepayment or multiple prepayments to an invoice. If you
enter only a prepayment amount and do not identify a specific prepayment, Payables
applies available prepayments for that supplier, in order of oldest prepayment to the
newest, up to the prepayment amount. You can specify the first prepayment to apply in
the PREPAY_NUM column. If the prepayment amount you enter exceeds the available
amount on the specified prepayment, then Payables applies other available
prepayments, in order of oldest to newest, up to the remaining prepayment amount.
If you specify a prepayment to apply, you can apply one or all prepayment Item
distributions. If you do not specify a value for PREPAY_DIST_NUM, Payables applies
the prepayment amount across all available prepayment Item distributions in
chronological order, starting with the first prepayment Item distribution, up to the
prepayment amount.
You cannot apply more than the total amount of available prepayment Item
distributions, and you cannot apply more than the total amount of the invoice record.
You cannot enter a number for prepayment amount that exceeds the unpaid invoice
amount.
After import you can view the new distributions for the Standard invoice in the
Invoices 3-79
Distributions window. On the Prepayment distributions you can adjust the value in the
Description field.
The following open interface columns are relevant to applying a prepayment in the
Payables Open Interface. You must enter at least either a prepayment amount or a
prepayment number. For more details on any column, see: Table Descriptions, Oracle
Payables Reference Guide.
•
PREPAY_NUM
•
PREPAY_DIST_NUM
•
PREPAY_APPLY_AMOUNT
•
PREPAY_GL_DATE
•
INVOICE_INCLUDES_PREPAY_FLAG
Related Topics
Prepayments, page 3-72
Applying Prepayments to Expense Reports
In the Expense Reports window, you apply prepayments, also known as advances, to
expense reports during expense report entry. You can specify whether you want
Payables to apply to an expense report all outstanding and available advances, one
specific advance, one specific advance Item distribution, or a certain maximum amount
of advances. Unless you specify a specific advance to apply, Payables applies all
outstanding, available advances, starting with the oldest, up to the amount of the
expense report. If you do not specify an advance Item distribution to apply, then
Payables applies available advance Item distributions, starting with the one with the
lowest distribution number. See: Applying Advances Against Expense Reports, page 47.
For expense reports entered in Internet expenses, advances are applied during Expense
Report Export if the Apply Advances Payables option is enabled. Payables applies all
outstanding, available advances, starting with the oldest, up to the amount of the
expense report.
Related Topics
Prepayments, page 3-72
Withholding Tax When Applying Prepayments
If you use automatic withholding tax, Payables creates the correct withholding tax
distributions. If your Withholding Tax Payables option is set to Apply Withholding Tax
3-80 Oracle Payables User's Guide
at Invoice Validation Time, then you might want to time the entry of the prepayment
application before the invoice is validated. If you apply the prepayment before the
invoice is validated, Payables creates a withholding tax distribution net of the
prepayment amount. If you validate the invoice first, Payables creates a withholding tax
distribution based on the taxable invoice amount. When the prepayment is applied then
you will have to manually adjust the withholding tax amount and the withholding
invoice if your Withholding Tax Payables option is set to create withholding invoice at
invoice validation time or at payment time.
Related Topics
Prepayments, page 3-72
Entering Invoices that Reference Prepayments
You can enter supplier invoices where the invoice amount includes prepayments.
If you receive a supplier invoice, and the invoice amount has been reduced because of
prepayments that the supplier has received, you need to indicate that the invoice
amount includes one or more prepayments in one of two ways:
•
Quick Invoices: When you enter the invoice in the Quick Invoices window, enable
the Prepayment on Invoice check box.
•
Invoice Workbench: When you apply a prepayment to an invoice in the Invoice
Workbench, enable the Prepayment on Invoice check box in the Apply/Unapply
Prepayments window.
When you indicate that the invoice amount includes one or more prepayments, the
following conditions are true:
•
After the prepayment application, the negative distributions have the Prepayment
on Invoice check box checked in the Distributions window.
•
Distribution Total: The Distribution total includes the Prepayment distributions and
any associated tax distributions.
•
Amount Paid: The amount paid on the invoice does not include the prepayments
that the supplier referenced on the invoice.
Because the Distribution Total includes prepayments, you need to ensure that you have
applied prepayments before you submit the invoice for Invoice Validation.
Important: Since the invoice amount includes prepayments, you should
not use Distributions Sets to create your invoice distributions when
using the Prepayment on Invoice feature.
Invoices 3-81
Unapplying Prepayments
If you mistakenly apply a prepayment to an invoice, you can unapply it. It is then
available to apply to another invoice. When you unapply a prepayment, you must
unapply the full prepaid amount. Payables increases the amount available for the
prepayment by the unapplied amount. Payables creates a positive amount Prepayment
distribution on the invoice, with the same attributes as the existing Prepayment
distribution it is reversing. Payables then updates the status of the invoice to unpaid or
partially paid.
You can review in the Distributions window the Prepayment distributions applied to an
invoice.
You unapply prepayments in the Invoice Workbench. However, if the prepayment was
applied before your Payables system was upgraded to Release 11i, you unapply the
prepayment by submitting the Unapply Preupgrade Prepayment program from the
Submit Request window.
To unapply a prepayment in the Invoice Workbench:
1. In the Invoice Workbench query the invoice or the prepayment.
2.
Choose Actions and select the Apply/Unapply Prepayment check box. Choose OK.
Payables displays all existing prepayment applications. Select each Prepayment
distribution you want to unapply by checking the Unapply check box. You cannot
modify the prepayment amount because you must unapply the complete amount
that you previously applied.
If you want to limit available prepayment choices, enter a query or use the Find
Prepayments to Apply window by choosing Find from the View window. If you
want to see more information on a prepayment or an invoice, select it and choose
Invoice Overview.
If you want to print a Prepayment Remittance Notice for the supplier, select the
Print check box.
3.
Choose the Apply/Unapply button to unapply the prepayment amount(s) and save
your work.
4.
If you had manually adjusted any amounts on the invoice to account for tax, then
undo those adjustments.
Unapplying Prepayments Applied Before Upgrading to Release 11i
If you applied a prepayment to an invoice before upgrading to 11i, you cannot unapply
the prepayment in the Invoice Workbench. To unapply this prepayment, you must
submit the Unapply Preupgrade Prepayment program from the Submit Request
window. You cannot unapply more than one prepayment application at a time.
Note that accounting for this is different from the procedure described for prepayment
3-82 Oracle Payables User's Guide
unapplication event. Because prepayments were different before Release 11i, accounting
for this unapplication will be a payment adjustment on the invoice and an invoice
adjustment for the prepayment.
Prerequisite
•
The prepayment was applied before Payables was upgraded to Release 11i.
To unapply a prepayment by submitting the Unapply Preupgrade Prepayment program:
1.
In the Name field of the Submit Request window, choose Unapply Preupgrade
Prepayment. The Parameters window opens.
2.
Enter the report parameters to specify the prepayment you want to unapply:
3.
•
Supplier Name.
•
Invoice Number. The list of values includes only invoices that had prepayment
applications that were applied before the upgrade.
•
Prepayment Number. The list of values shows only prepayments that were
applied to the invoice number you entered in the Invoice Number parameter.
•
GL Date. The accounting date on which the unapplication is recorded.This
should be in an open or future period.
In the Submit Request window, choose the Submit button to unapply the
prepayment.
Related Topics
Invoice Validation, page 3-172
Prepayments, page 3-72
Cancelling Prepayments
You can cancel prepayments if they have not been paid or applied to invoices. To cancel
an applied prepayment, you must first unapply the prepayment and void the payment
document that paid the prepayment.
To cancel an unapplied prepayment:
1.
In the Invoices window query and select the prepayment.
2.
Choose the Actions button and select Cancel Invoices.
Payables automatically creates reversing distributions for the prepayment and
reduces the prepayment amount to zero.
Invoices 3-83
To cancel an applied prepayment:
1.
Fully unapply the prepayment. See: Unapplying Prepayments, page 3-82.
2.
Void the payment document used to pay the prepayment. See: Voiding Payments,
page 5-68.
3.
Cancel the prepayment (see above, To cancel an unapplied prepayment).
Related Topics
Prepayments, page 3-72
Recording a Refund of a Prepayment or Advance
Note: We recommend that to record a refund, you enter a standard
invoice and apply the prepayment to it. Then enter a debit memo and
pay it with a Refund payment in the Payments window. See: Refunds
for Prepayments, page 5-20
Alternatively, record the refund by using the following method.
Recording Refunds by Paying a Standard Invoice
You can record a refund from a supplier that pays back an unused prepayment or part
of a prepayment. When you do this, Payables reverses the prepayment so that it is no
longer outstanding and so that you can no longer apply the prepayment to an invoice.
The net effect is a debit to your cash (asset) account in the amount of the refund and a
credit to the prepayment account in the amount of the refund.
You can use exactly the same method to record a refund from an employee for an
advance.
Prerequisites
•
You have entered and paid a prepayment or advance.
•
The supplier or employee has refunded the unused portion of the prepayment.
•
If the supplier or employee has not refunded the entire prepayment, apply the
appropriate amount of the prepayment to an invoice or expense report.
To record a refund of a prepayment:
1.
In the Invoice Workbench, enter an invoice in the amount of the refund from the
supplier. Enter Standard for the type. Enter a description on the invoice to indicate
that you are retiring a prepayment. Create an Invoice distribution for the amount of
the refund to debit your cash account.
3-84 Oracle Payables User's Guide
2.
Choose the Actions button to navigate to the Invoice Actions window. Select the
Apply/Unapply Prepayment check box and choose OK.
3.
Select the prepayment you want to apply. Enter the refund amount in the Amount
To Apply field. Optionally change the GL Date.
4.
Choose the Apply/Unapply button to apply the prepayment amount to the invoice
you entered for the refund and to save your work.
This fully retires the prepayment. This credit balances the debit you entered on the
invoice (Step 1) to the Cash account.
Related Topics
Prepayments, page 3-72
Find Invoices to Apply Window
When you are in the Apply/Unapply Prepayments window you can narrow your search
for invoices to apply by using the Find Invoices to Apply window.
To use the Find Invoices to Apply window:
1.
In the Apply/Unapply Prepayments window, choose Find from the View menu.
Payables opens the Find Invoices to Apply window.
2.
Enter any search criteria to narrow your search:
3.
•
Invoice Number
•
Supplier Site
•
range of Invoice Dates
•
range of Invoice Amounts
Choose Find to have Payables list in the Apply/Unapply Prepayments window all
invoices that match your search criteria.
Related Topics
Prepayments, page 3-72
Find Prepayments to Apply Window
When you are in the Apply/Unapply Prepayments window you can narrow your search
for prepayments to apply by using the Find Prepayments to Apply window.
Invoices 3-85
To use the Find Prepayments to Apply window:
1.
In the Apply/Unapply Prepayments window, choose Find from the View menu.
Payables opens the Find Prepayments to Apply window.
2.
Enter any search criteria to narrow your search:
3.
•
Prepayment Number. Invoice Number of the prepayment.
•
Prepayment Dates. Range of invoice dates for the prepayment(s).
•
Supplier Site.
•
Earliest Settlement Dates. Range of settlement dates.
•
Prepayment Amounts Available. Range of original invoice amounts for the
prepayment(s).
Choose Find to have Payables list in the Apply/Unapply Prepayments window all
prepayments that match your search criteria.
Related Topics
Prepayments, page 3-72
Apply/Unapply Prepayments Window Reference
Payables provides two ways to apply prepayments to an invoice. You can do either of
the following:
•
Create or query an invoice and apply one or more prepayments to the invoice.
•
Create or query the prepayment and apply it to one or more invoices.
Selecting an Invoice and Applying it to a Prepayment
When you select an invoice and choose the Apply/Unapply Prepayment option in the
Invoice Actions window, the Apply/Unapply Prepayments window opens. It
automatically displays all prepayments that have been applied to the invoice, and all
available Prepayment distributions that you can apply to the invoice. Payables displays
prepayment item type distributions that meet the following criteria: same supplier, and
invoice currency as the invoice. The prepayment's Settlement Date is on or before
today's date. The prepayment is type Temporary with a status of Available.
If you use Automatic Offsets, you can set up Intercompany Accounting in Oracle
General Ledger to ensure that the prepayment application is balanced by balancing
segment. For more information on applying prepayments when using automatic offsets,
see: Automatic Offsets and Payment Processing, page 10-12. For information on setting
up Intercompany Accounting, see: Intercompany Accounting, page 10-31.
3-86 Oracle Payables User's Guide
Invoice Amount. Amount of the invoice. All amounts displayed in this window are in
the invoice currency.
Invoice Amount Unpaid. Amount of the invoice that is unpaid by payments and
prepayments excluding tax. You can apply remaining prepayments up to this amount If
prepayment invoice has tax, then it should be applicable to the standard invoice up to
the standard invoice amount excluding tax subject to available amount on prepayment
devoid of tax.
If standard invoice has tax and prepayment invoice has no tax, then apply the complete
prepayment amount subject to the constraint that prepayment application amount is
lesser or equal to the invoice amount.
Apply. Use the Apply check box to select prepayments to apply to the invoice.
Prepayment on Invoice. (check box) Enable this check box if the invoice references a
prepayment (the invoice amount has been reduced by the prepayment amount and any
associated tax).
Amount To Apply. Enter the amount of the prepayment Item distribution you want to
apply. This amount cannot exceed the amount of the Prepayment distribution that is
unapplied. The total amount of prepayments you apply cannot exceed the unpaid
amount of the invoice.
GL Date. Accounting date of the prepayment application. Payables will default the
latest GL Date used on the invoice and prepayment invoice distributions. This value
will be the GL Date on the Prepayment distribution that Payables creates.
Prepayment Number. Invoice number of the prepayment.
Line Num. Displays the line number.
Amount Available. Amount of the prepayment that you can apply. This is the original
distribution amount minus any existing amounts applied to invoices.
Amount of Included Tax. Displays the tax amount included.
Site. Payables displays the supplier site to which the prepayment was paid.
Print. To print a Prepayment Remittance Notice for the supplier when you apply a
prepayment, choose this option. The Prepayment Remittance Notice is a letter notifying
the supplier that you have applied a prepayment to an outstanding invoice. Payables
prompts you to enter the following information for the letter signature block: Name of
Sender, Title of Sender, Phone of Sender. See: Prepayments Remittance Report, page 9123.
Description. Payables displays the description of the selected distribution. This value
defaults to the new Prepayment distribution, and you can modify the description in the
Distributions window.
PO Num/Receipt Num. If the Prepayment distribution was purchase order matched,
Payables displays the transaction to which it was matched.
For details on how Payables builds the GL accounts for matched prepayments when the
Build Prepayment Accounts When Matching Payables option is enabled, see: Build
Invoices 3-87
Prepayment Accounts When Matching, Oracle Payables Implementation Guide.
Buttons
Invoice Overview. If you select a Prepayment record and then choose this button,
Payables opens the Invoice Overview window and displays information on the
prepayment.
Apply/Unapply. Choose this button to apply or unapply selected prepayment amounts.
You can review the updated distributions for the invoice in the Distributions window.
Existing Prepayment Applications
This region of the window shows all prepayment amounts you have already applied to
the invoice. It shows the amount applied, the GL date and tax code on the invoice
Prepayment distribution, the prepayment invoice number and distribution number, and
the prepayment's supplier site. It also shows the description and account description of
the prepayment Item distribution, as well as the purchase order number or receipt
number if the Item distribution was matched.
If you unapply a Prepayment distribution, you must unapply the full amount that you
previously applied. You select the Unapply check box to identify a distribution you
want to unapply.
Selecting a Prepayment and Applying It to an Invoice
If you select a prepayment and choose the Apply/Unapply Prepayment option in the
Invoice Actions window, Payables displays invoices that meet the following criteria:
same supplier and invoice currency as the prepayment. The invoice date is on or after
the date of the prepayment.
If you enable Automatic Offsets and choose Balancing Segment, you can still select
prepayments and apply them to your invoices. However, you can select only one
invoice at a time for prepayment application. Payables automatically applies the
prepayment amount across prepayment distributions, according to the balancing
segments on the invoice distributions. If you have multiple balancing segments, each
time you make a prepayment application, Payables applies only those prepayment
distributions that share the same balancing segment. For more information on applying
prepayments when using automatic offsets, see: Automatic Offsets and Payment
Processing, page 10-12
Prepayment Amount. Amount of the prepayment in the invoice currency.
Prepayment Amount Remaining. Amount of the prepayment that is unapplied to
invoices and available for application.
Apply. Use the Apply check box to select invoices to which you will apply the
prepayment.
Amount To Apply. Enter the prepayment amount you want to apply. This amount
cannot exceed the Invoice Amount Unpaid. The total amount of invoices you apply
3-88 Oracle Payables User's Guide
cannot exceed the Prepayment Amount Remaining.
GL Date. Accounting date of the prepayment application. Payables will default the
latest GL Date used on the invoice and prepayment invoice distributions. This value
will be the GL Date on the Prepayment distribution that Payables creates.
Invoice Number. Invoice to which you are applying the prepayment.
Amount Unpaid. Amount of the prepayment that you can apply. This is the original
invoice amount minus withholding tax and any existing prepayments or payments.
Site. Invoice supplier site.
Print. To print a Prepayment Remittance Notice for the supplier when you apply a
prepayment, choose this option. The Prepayment Remittance Notice is a letter notifying
the supplier that you have applied a prepayment to an outstanding invoice. Payables
prompts you to enter the following information for the letter signature block: Name of
Sender, Title of Sender, Phone of Sender. See: Prepayments Remittance Report, page 9123.
Description. Payables displays the description of the selected invoice.
Existing Prepayment Applications
This region of the window shows all invoices to which the prepayment has been
applied. It shows the amount applied, the GL date and tax value on the invoice
Prepayment distribution, the invoice number that the prepayment has been applied to,
and the invoice supplier site. It also shows the Prepayment distribution number,
description and account description of the prepayment Item distribution, as well as the
purchase order number or receipt number if the Item distribution was matched.
If you unapply a Prepayment distribution, you must unapply the full amount that you
previously applied. You select the Unapply check box to identify a distribution you
want to unapply.
Buttons
Invoice Overview. If you select an invoice record and then choose this button, Payables
opens the Invoice Overview window and displays information on the invoice.
Apply/Unapply. Choose this button to apply or unapply selected prepayment amounts.
You can review the updated distributions for the invoice in the Distributions window.
Related Topics
Prepayments, page 3-72
Applying Prepayments to Invoices, page 3-75
Unapplying Prepayments, page 3-82
Invoices 3-89
Credit and Debit Memos
Enter a credit or debit memo to record a credit for goods or services purchased.
Credit/debit memos are netted with basic invoices at payment time.
•
Credit Memo. Negative amount invoice created by a supplier and sent to you to
notify you of a credit.
•
Debit Memo. Negative amount invoice created by you and sent to a supplier to
notify the supplier of a credit you are recording. Usually sent with a note explaining
the debit memo. See: Invoice Notices, page 3-221.
This discussion includes the following topics:
•
Entering Credit/Debit Memos, page 3-90
•
Matching Credit/Debit Memos to Purchase Orders and Invoices, page 3-91
•
Clearing a Credit, page 3-95
Entering Credit/Debit Memos
To enter a credit/debit memo:
1. In the Invoice Workbench enter either the Credit Memo or Debit Memo Invoice
Type. Enter a negative invoice amount and all basic invoice information. See:
Entering Basic Invoices, page 3-14.
Enter Immediate Payment Terms, if appropriate.
2.
Enter distributions. You can enter them manually (see: Entering Invoice
Distributions, page 3-18) or enter them automatically in one of the following ways:
•
Enter a skeleton Distribution Set. See: Distribution Sets, Oracle Payables
Implementation Guide
•
Match to the original invoice you entered. See: Matching Credit/Debit Memos
to Purchase Orders and Invoices, page 3-91.
•
Match to a purchase order or receipt. See: Matching Credit/Debit Memos to
Purchase Orders and Invoices, page 3-91.
Related Topics
Recording a Refund from a One Time 1099 Supplier, page 3-103
3-90 Oracle Payables User's Guide
Matching Credit/Debit Memos to Purchase Orders and Invoices
When you enter a credit/debit memo, you can match it to existing invoice(s), purchase
orders, or receipts to have Payables automatically copy the accounting information and
create invoice distributions for the credit/debit memo.
For example, if you receive a credit for items you returned to a supplier, you can enter a
credit memo and match it to the original invoice you entered to ensure that the credit
memo distributes the credit to the same accounts originally charged.
If you match a credit memo to an invoice for the full amount of the invoice, then the
allocations on the invoice are copied to the credit memo. If you match a credit memo to
only a portion of the invoice, then no allocations are copied to the credit memo. You can
manually allocate credit memo distributions, or you can allow Payables to allocate
during Invoice Validation of the credit memo.
Payables calculates discounts on credit and debit memos if the following conditions are
met:
•
You match them to invoices you paid using a discount.
•
You use the same payment terms that were used on the original invoice
•
The credit memo must be paid within the terms of the discount.
You can match to an invoice even if it is paid and posted. You can match the credit
memo to multiple invoices, and at different levels of detail. Your available choices
depend on whether the originating invoice was purchase order matched or not.
If the original invoice is not purchase order matched (basic invoice), you can:
•
Match to an invoice. Payables prorates your credit amount based on the invoice
distribution amounts of the original invoice. Payables automatically creates invoice
distributions for the credit/debit memo based on the distributions of the original
invoice.
•
Match to specific invoice distributions. You can allocate the credit amount to
specific invoice distributions of the original invoice. Payables automatically creates
invoice distributions for the credit/debit memo based on the original invoice
distribution that you select. For example, you order three chairs for three different
departments and return one. You can match a credit/debit invoice to the original
distribution for that department to ensure that the credit matches the charge.
If the original invoice is purchase order matched, you can:
•
Match to specific invoice distributions. You can allocate the credit amount to
specific invoice distributions of the original invoice. Payables automatically creates
invoice distributions for the credit/debit memo based on the original invoice
distributions that you select. For example, you may order three chairs for three
different departments and return one. You can match a credit/debit invoice to the
Invoices 3-91
original distribution for that department to ensure that the credit matches the
charge.
Payables updates the quantity billed for each of the originally matched purchase
order shipments and their corresponding distributions by the credit quantity you
enter. Payables also updates the amount billed on the purchase order distributions.
•
Match to purchase order shipments. Payables prorates, based on the quantity
billed, your credit amount across all purchase order distributions associated with
the purchase order shipment to which you match the credit/debit memo. Payables
automatically creates invoice distributions for the credit/debit memo based on the
purchase order distributions associated with the purchase order shipment you
match to.
Payables updates the quantity billed for each purchase order shipment and its
corresponding distributions by the amount of the credit/debit memo. Payables also
updates the amount billed on the originally matched purchase order distributions.
•
Match to purchase order distributions. Payables automatically creates invoice
distributions for the credit/debit memo based on the purchase order distributions.
Payables updates the quantity billed for each purchase order shipment and its
corresponding distributions by the amount of the credit/debit memo. Payables also
updates the amount billed on the originally matched purchase order distributions.
•
Match to a Receipt. Match credit and debit memos to receipts when you return
goods to a supplier after you enter an invoice for the goods.
•
Automatic Debit Memos. If you enable the supplier site option, Create Debit Memo
From RTS Transaction, then for each receipt transaction selected in the Receiving
Returns window that is a Return to Supplier (RTS) transaction, the system
automatically creates one debit memo in Payables. The debit memo is prorated
across all purchase order distributions associated with the selected receipt
transaction. The debit memo is automatically matched to the purchasing document
(purchase order or receipt) that is specified on the purchase order shipment being
returned.
Note: If creating the debit memo would reduce the invoice quantity
billed below zero, then the system does not automatically create the
debit memo.
•
Record a Price Correction. Use a price correction when a supplier sends an invoice
for a change in unit price for an invoice you have already matched to a purchase
order or receipt. You can record a price correction by selecting Price Correction in
the Find window when you match a credit/debit memo to a purchase order
shipment, purchase order matched invoice distribution, or receipt. When you
record a price correction for a credit/debit memo, you are recording a price decrease
3-92 Oracle Payables User's Guide
from the original invoice.You must specify the number of the original invoice in the
Find window.
Payables updates the invoiced unit price of previously matched purchase order
shipment or distributions without adjusting the quantity billed so you can track
price variances; Payables also updates the amount billed on the originally matched
purchase order distributions.
See: Recording Price Corrections in the Invoice Workbench, page 3-68
Matching Credit/Debit Memos to Invoices
You can match credit and debit memos to invoices only in the Invoice Workbench, not
in Quick Invoices.
To match a credit/debit memo to an invoice or invoice line:
1.
In the Invoice Workbench, enter a Credit Memo or Debit Memo type invoice. See:
Entering Credit/Debit Memos, page 3-90.
Enter a negative invoice amount and all basic invoice information but do not
manually enter the distributions. See: Entering Basic Invoices, page 3-14.
2.
In the Match Action field, select PO to correct a matched invoice line or Invoice to
correct an unmatched invoice line. Click the Corrections button.
3.
In the Find Documents for Correction window, enter search criteria for the invoice.
4.
Choose the Find button. Payables navigates to the Invoice Corrections window.
To see more information about an invoice, select it and choose the Invoice
Overview button.
5.
Select the invoice and enter a Credit Amount.
To match in further detail, choose the Select Lines button. Select each invoice line
you want to match to and enter a Credit Amount.
6.
Choose the Corrections button to correct the invoice.
To review the new invoice lines, choose the lines tab from the Invoices window.
When you create a Credit memo to correct an unmatched invoice, an error displays.
Matching Credit/Debit Memos to Invoices Using Quick Credit
Use Quick Credit to create a credit or debit to completely reverse an existing invoice
record.
To enter a credit/debit memo using quick credit:
1.
In the Invoice Workbench enter a Credit Memo or Debit Memo Invoice Type. Enter
a negative invoice amount and all basic invoice information. See: Entering Basic
Invoices 3-93
Invoices, page 3-14.
Enter Immediate Payment Terms, if appropriate.
2.
Check the Quick Credit check box.
3.
Enter the invoice number to be credited in the Credited Invoice field.
For Quick Credit the following conditions apply:
•
The correcting Invoice Type must be either Credit or Debit Memo and a new record.
Credited Invoice must be for the same Supplier as the Credit or Debit Memo.
•
Credited Invoice cannot be a Credit Memo, Debit Memo or Prepayment type
Invoice.
•
Credited Invoice cannot be cancelled.
•
Credited Invoice cannot contain Price or Quantity Corrections.
•
Credited Invoice cannot contain Prepayment Applications.
•
Credited Invoice cannot contain Withholding Tax.
Matching Credit and Debit Memos to Purchase Orders and Receipts
Each purchase order shipment indicates whether you should match to either a purchase
order or receipt. You can match only to the document type (purchase order or receipt)
specified by the purchase order shipment.
To match a credit/debit memo to a purchase order shipment or receipt in the Invoice
Workbench:
1.
Enter a Credit Memo or Debit Memo type invoice. See: Entering Credit/Debit
Memos, page 3-90.
Enter a negative invoice amount and all basic invoice information but do not
manually enter the distributions. See: Entering Basic Invoices, page 3-14.
2.
In the Invoice Workbench, select either Purchase Order or Receipt from the Match
Action field. Choose the Match button. Payables opens the Find Purchase Orders
for matching window or the Find Receipts for Matching window.
3.
Enter search criteria for the document you want to match to and choose the Find
button. Payables navigates to either the Match to Receipts or Match to Purchase
Orders window.
4.
Create invoice distributions by matching to one or more purchase order shipments
or receipt lines.
3-94 Oracle Payables User's Guide
•
To match to purchase order shipments, select the shipment and enter either a
Quantity Invoiced or Match Amount. Payables automatically calculates the
remaining field (Quantity Invoiced x Unit Price = Match Amount). You can
optionally change the Unit Price, which defaults from the purchase order.
•
To match to a receipt line select the receipt line and enter a value for either
Quantity Invoiced or Match Amount. Payables automatically calculates the
remaining field (Quantity Invoiced x Unit Price = Match Amount). You can
optionally change the Unit Price, which defaults from the purchase order.
Note: The Quantity Invoiced cannot reduce the Quantity Billed
below zero.
5.
If you want to match in further detail, choose the Distribute button and continue the
match at the purchase order distribution level. If you are matching to a receipt, the
Match to Purchase Order Distributions window displays items that were delivered.
6.
If you want to automatically create allocated freight or miscellaneous distributions,
enable the Freight/Misc. check box. See: Allocate window, page 3-22.
7.
Choose the Match button to create invoice distributions for the credit/debit memo
based on the matches you made.
To review the new invoice distributions, choose the Distributions button in the
Invoices window.
Validating Related Invoices
The Validate Related Invoices button validates related invoices depending on which
type of invoice is selected:
•
If you select an invoice, then Validation includes all price corrections and
credit/debit memos associated with that invoice.
•
If you select a price correction, Validation includes the base matched invoice.
•
If you select a credit/debit memo, then Validation includes all invoices associated
with the credit/debit memo.
To validate related invoices:
•
In the Invoices window, select one or more invoices and choose the Actions button.
Check Validate Related Invoices, and choose OK.
Clearing a Credit
You can clear a credit or debit memo you have entered and have been unable to include
Invoices 3-95
in a payment. For example, a supplier sends you cash in lieu of a credit invoice, and you
have already entered a debit memo. You can pay the debit memo with a refund. See:
Refunds, page 5-20.
Alternatively, you can perform the following task to enter a positive amount invoice to
balance out the impact of the credit/debit memo.
To clear a credit that will not be used:
1.
Enter a Standard type invoice for the positive amount of the credit/debit memo. For
example, if you entered a credit for -$10, enter a new invoice for $10.
Other than the invoice amount and invoice number, enter all of the same basic
invoice information you entered on the credit/debit memo.
You may want to enter a write off account on the distribution if you do not want
the accounts on the credit or debit memo to bear the impact of the unrecovered
credit.
2.
If you matched the credit/debit memo to a purchase order, match the new invoice to
the purchase order to correct the purchase order information. See: Entering
Purchase Order Matched Invoices, page 3-32.
3.
Create a zero amount payment at payment time to net the new invoice with the
credit/debit and clear both from your Invoice Aging.
Mixed Invoices
Mixed Invoices are invoices or credit/debit memos for which you can match to purchase
orders and to other invoices. Mixed invoices can be either positive or negative values.
However, you can only match a negative amount mixed invoice to a standard invoice.
To enter a Mixed invoice:
1. In the Invoice Workbench, enter a Mixed invoice Type. Enter all basic invoice
information. See: Entering Basic Invoices, page 3-14.
You can enter either a positive or negative invoice amount.
2.
Match to purchase orders, and/or invoices. See: Entering Purchase Order Matched
Invoices, page 3-32, and Matching Credit/Debit Memos to Purchase Orders and
Invoices, page 3-91.
Note: You can only match a negative amount mixed invoice to a
standard invoice.
Entering Foreign Currency Invoices
When you enter an invoice in a currency other than your functional currency, Payables
3-96 Oracle Payables User's Guide
uses an exchange rate to convert the invoice and invoice distributions into your
functional currency for creating journal entries. You define your functional currency
during setup for your ledger. See: Foreign Currency Transactions, page 6-1.
To assign an exchange rate to an invoice, you can manually enter the rate when you
enter an invoice. Alternatively, you can have Payables enter an exchange rate from the
GL Daily Rates table either by entering a rate type and rate date during invoice entry or
entering them later and then using the AutoRate program.
If you match an invoice to a purchase order, Payables uses the invoice exchange rate to
create invoice distributions. Payables does not use the purchase order exchange rate. If
there is a difference between the rates, Payables records the exchange rate variance.
Related Topics
Foreign Currency Transactions, page 6-1
Foreign Currency Invoice Restrictions, page 3-100
Manual Exchange Rate Entry
Prerequisites
•
Enable the Use Multiple Currencies Payables option.
•
Enable the currencies you need in the Currencies window. See: Currencies
Window, Oracle E-Business Suite System Administrator's Guide.
To enter a foreign currency invoice with a manually entered exchange rate:
1.
In the Invoice Workbench, enter all basic invoice information, including the Invoice
Currency, and the Invoice Amount expressed in the foreign currency. See: Entering
Basic Invoices, page 3-14.
Before entering distributions or matching the invoice, proceed with the next step:
2.
In the Rate Type field, enter User, and enter the Exchange Rate you want to use to
convert the invoice into your functional currency.
Optionally change the Exchange Date which defaults from the invoice GL Date.
3.
Enter the invoice distributions.
Related Topics
Foreign Currency Transactions, page 6-1
Foreign Currency Invoice Restrictions, page 3-100
Entering Purchase Order Matched Invoices, page 3-32
Entering Credit/Debit Memos, page 3-90
Invoices 3-97
Invoice Validation, page 3-172
Invoice Variances, page 3-300
AutoRate Program, page 6-11
Payables Options, Oracle Payables Implementation Guide
GL Daily Rates Table Default Exchange Rate Entry
Prerequisites
•
Define rates in the GL Daily Rates Table. See: Entering Daily Rates, Oracle General
Ledger User's Guide.
•
Enable the Use Multiple Currencies Payables option. See: Payables Options, Oracle
Payables Implementation Guide.
•
Enable the currencies you need in the Currencies window. See: Currencies
Window, Oracle E-Business Suite System Administrator's Guide.
To enter a foreign currency invoice with a GL Daily Rates Table default exchange rate:
1.
In the Invoice Workbench, enter all basic invoice information, including the Invoice
Currency, and the Invoice Amount expressed in the foreign currency. See: Entering
Basic Invoices, page 3-14.
Before entering distributions or matching the invoice, proceed with the next step.
2.
In the Rate Type field enter the type of exchange rate you want to default from the
GL Daily Rates table, such as Spot or Corporate.
Optionally change the Exchange Date, which defaults from the invoice GL Date.
Payables automatically enters the Exchange Rate from the GL Daily Rates table. If
the Exchange Rate field is null, then a rate for the Currency and Rate Type and
Exchange Date you entered is not defined in the GL Daily Rates table. If the Require
Exchange Rate Entry Payables Option is disabled, you can continue entering the
invoice, and later either enter the Exchange Rate manually or update the GL Daily
Rates table and submit AutoRate.
3.
Complete processing the invoice and save your work.
Related Topics
Foreign Currency Transactions, page 6-1
Foreign Currency Invoice Restrictions, page 3-100
Entering Purchase Order Matched Invoices, page 3-32
Entering Credit/Debit Memos, page 3-90
Invoice Validation, page 3-172
3-98 Oracle Payables User's Guide
Invoice Variances, page 3-300
Payables Options, Oracle Payables Implementation Guide
AutoRate Program, page 6-11
AutoRate Exchange Rate Entry
Prerequisites
•
Define rates in the GL Daily Rates Table. See: Entering Daily Rates, Oracle General
Ledger User's Guide.
•
Disable the Require Exchange Rate Entry Payables option. See: Payables Options,
Oracle Payables Implementation Guide.
•
Enable the Use Multiple Currencies Payables option. See: Payables Options, Oracle
Payables Implementation Guide.
•
Enable the currencies you need in the Currencies window. See: Currencies
Window, Oracle E-Business Suite System Administrator's Guide.
To enter a foreign currency invoice exchange rate with AutoRate:
1.
In the Invoice Workbench, enter all basic invoice information, including the Invoice
Currency, and the Invoice Amount expressed in the foreign currency. See: Entering
Basic Invoices, page 3-14.
Before entering distributions or matching the invoice, proceed with the next step:
2.
In the Exchange Rate region, select the Type of exchange rate you want to default,
such as Spot or Corporate.
Optionally change the Rate Date, which defaults from the invoice GL Date.
Leave the Rate field empty.
3.
Complete processing the invoice and save your work.
4.
Before you validate invoices, submit AutoRate from the Submit Request window to
have Payables automatically default exchange rates to foreign currency invoices
without exchange rates. If you do not run AutoRate before Invoice Validation,
Payables will apply No Rate holds to all foreign currency invoices without
exchange rates. No Rate holds prevent you from paying and creating journal entries
for those invoices.
Related Topics
Foreign Currency Transactions, page 6-1
AutoRate Program, page 6-11
Invoices 3-99
Foreign Currency Invoice Restrictions, page 3-100
Entering Purchase Order Matched Invoices, page 3-32
Entering Credit/Debit Memos, page 3-90
Invoice Validation, page 3-172
Invoice Variances, page 3-300
Payables Options, Oracle Payables Implementation Guide
FOREIGN CURRENCY INVOICE RESTRICTIONS:
CHANGING CURRENCY TYPES: Once you save your invoice, you cannot change the
currency. You can use the Cancel Invoice action then re-enter the invoice with the
correct currency.
NO RATE HOLD: Payables will not allow you to create accounting entries an invoice
in a currency other than your functional currency. Invoice Validation will put a No Rate
hold on a foreign currency invoice with no rate defined.
PURCHASE ORDER MATCHING: Payables will not allow you to match an invoice to
a purchase order that has a different currency.
WITHHOLDING TAX: Payables will not create a payment for a foreign currency
invoice if the following conditions are true: the invoice has a withholding tax group
assigned that is set up with either a period limit or more than one amount range.
Related Topics
Foreign Currency Transactions, page 6-1
Entering Purchase Order Matched Invoices, page 3-32
Entering Credit/Debit Memos, page 3-90
Invoice Validation, page 3-172
Invoice Variances, page 3-300
AutoRate Program, page 6-11
Payables Options, Oracle Payables Implementation Guide
Entering Invoices for Suppliers Subject to Income Tax Reporting
Requirements
If you set up a supplier as federally reportable and assign a default income tax type to
the supplier, then that value defaults down to each invoice distribution you enter for
that supplier. You can override the default Income Tax Type for an invoice distribution
in the Distributions window of the Invoice Workbench. You can also use the Update
Income Tax Details utility to make income tax type updates at any time before running
3-100 Oracle Payables User's Guide
your reports.
In the United States, you must report to the Internal Revenue Service certain types of
payments you make to 1099 reportable suppliers. Within Payables, you can designate
suppliers as federally reportable, classify their invoice distributions by 1099 MISC Type,
then at the end of the year when you submit your 1099 reports, Payables lists payments
of reportable distributions made to 1099 suppliers.
For example, you enter an invoice for a 1099 reportable supplier. The supplier's hourly
fees are reportable for U.S. 1099 reporting purposes, but reimbursable expenses, such as
travel, are not. In the Distributions window for the fee distribution you assign an
Income Tax Type; however for the travel distribution, you clear the Income Tax Type
field.
Prerequisite
•
Designate the supplier as federally reportable and record 1099 reporting
information. See: Suppliers subject to income tax reporting requirements, page 3100.
•
(Optional) Define Distribution Sets for 1099 suppliers that have Income Tax Types.
To record income tax information for an invoice:
1. In the Invoice Workbench enter all basic invoice information. See: Entering Basic
Invoices, page 3-14.
2.
Enter distributions automatically by entering a Distribution Set or by matching to a
purchase order, or choose Distributions and enter distributions manually. See:
Distribution Sets, Oracle Payables Implementation Guide, Entering Purchase Order
Matched Invoices, page 3-32, or Entering Invoice Distributions, page 3-18.
If you are entering distributions by using a Distribution Set that does not include an
Income Tax Type for any distribution, Payables automatically enters the supplier's
default Income Tax Type. If the Distribution Set has an Income Tax Type other than
the supplier's default, the Distribution Set overrides the supplier default.
3.
In the Distribution Summary optionally adjust or review the Income Tax Type and
Region for each distribution.
Clear the Income Tax Type field of any distribution that is not federally reportable.
Enter a Region to identify a distribution as applicable to United States state 1099
reporting requirements. If you enabled the Use Pay Site Tax Region Payables
Option, the default for Region is the state in the address for the supplier site for the
invoice. Alternatively, you can also enter a default Income Tax Region in the
supplier region of the Payables Options window.
Payables uses this information to group distributions by type and region on the
1099 reports. If you enable the Combined Filing Program Payables option, when
you run your 1099 reports, Payables groups all reportable distributions by state.
Invoices 3-101
Related Topics
1099 Reporting Overview, page 9-25
Entering Supplier Information, Oracle iSupplier Portal Implementation Guide
Suppliers subject to income tax reporting requirements, page 3-100
Automatic Withholding Tax Overview, page 10-15
Updating 1099 Information
You can update 1099 information for your suppliers. If you paid a supplier before you
set up the supplier as a 1099 supplier, run the Update Income Tax Details Utility. Or, if
you need to update only a few invoices, you can update the 1099 types in the
Distributions window.
Adjusting 1099 Amounts
The following are suggestions for adjusting transactions for 1099 suppliers. If you need
to add an amount to a 1099 supplier, for example if you paid the supplier through
another system, you can adjust an invoice paid during the year in the Distributions
window of the Invoice workbench. Add a distribution for the amount you want to add
for 1099 purposes, including the Income Tax Type. Also add an offsetting distribution
with a null Income Tax Type. If you did not pay the supplier during the year using
Oracle Payables, then complete the following steps:
Prerequisites
•
The supplier is recorded as a 1099 supplier. See: Suppliers Subject to Income Tax
Reporting Requirements, page 3-100.
•
Enable the Allow Pre-Date Payables option. See: Payment Payables options, Oracle
Payables Implementation Guide.
•
Enable the AP: Use Invoice Batch Controls profile option. See: Profile Options in
Payables, Oracle Payables Implementation Guide.
•
If you are already in the next year, open the last period in the prior year in both
General Ledger and Payables, for example, December 2005. Controlling the Status
of Payables Periods, Oracle Payables Implementation Guide.
•
You do not use Automatic Offsets.
•
The Allow Adjustments to Paid Invoices Payables option is enabled.
•
Set up a unique pay group, such as "1099". See: Lookups, Oracle Payables
Implementation Guide.
3-102 Oracle Payables User's Guide
To record 1099 payments made outside of Payables and from a legacy system into
Payables:
1.
Create an invoice in Payables including the income tax type for the 1099 payment
totals.
2.
Create a corresponding credit or debit memo without the income tax type.
3.
Pay both invoices with a zero amount.
Invoice Date
Invoice Number
Invoice Amount
Income Tax Type
04/24/03
125111
500.00
MISC1
04/24/03
125111CM
-500.00
Recording a Refund From a One-Time 1099 Supplier
If you get a refund from a one-time 1099 supplier, you need to record the refund in
Payables so that the 1099 reports are accurate. Enter a credit memo that you match to
the original invoice, and then pay it with a refund. See: Refunds, page 5-20.
Related Topics
1099 Reporting Overview, page 9-25
Recurring Invoices
You can enter invoices for periodic expenses for which you may not receive invoices,
such as rent. To enter recurring invoices, define a recurring invoice template, then
create invoices based on that template. With a recurring invoice template, you can do
the following:
•
Specify the intervals in which recurring invoices will be created.
•
Create up to two special one-time invoice amounts of a non-standard amount, such
as a deposit or balloon payment.
•
Define recurring invoices to increase or decrease by a fixed percentage from period
to period.
Recurring Invoices can also be used to create debit memos.
Prerequisites
Recurring invoices are affected by the following prerequisites.
Invoices 3-103
•
Special Calendars and Term Date Basis: Determine the frequency of your
recurring invoices. For example, once a week or monthly. In addition, consider how
the due date will be determined when you define your special calendar. When
Payables creates recurring invoices, the invoice date is the first date of the period in
which the recurring invoice is created. The Terms Date depends on the Terms Date
Basis setting at the supplier site. If the Terms Date Basis is System Date, then the
Terms Date is the same date that the recurring invoice was created. If the Terms
Date Basis is set to anything else, then the Terms Date is the invoice date, the first
day of the period in which the recurring invoice is created.
•
Purchase Orders: You can use Purchasing Orders to plan for recurring invoices.
•
•
Match option: Recurring invoice processing requires that the purchase order
schedules or pay items be defined with a Match Option of Purchase Order to
prevent invoice creation conflicts if the receipt or work confirmation has not
occurred by the time of invoicing. The Match Approval Level can be 2-way,
3-way, or 4-way.
•
Attributes Inherited from the Purchase Order: While the Recurring Invoices
Template may have several tax fields, the Purchase Order attributes will take
precedence over the template. The invoices will inherit the accounting
distributions from the purchase order shipment or pay item with the line
amount being prorated if there is more than one distribution. The invoice may
also inherit the purchase order shipment or pay item descriptive flexfields if the
Payables System Option setting for Transfer PO Descriptive Flexfield
Information is set to yes.
•
Quantity: If the purchase order shipment or pay item is quantity based,
Payables calculates the quantity by subtracting the calculated tax from the
amount then dividing it by the unit price. This is important to evaluate when
defining your template amounts to avoid matching holds on the resulting
invoices.
•
Blanket Purchase Orders: If you are using a blanket purchase order, to avoid
errors, enter the revision number and verify it each time you create invoices
from the template.
Distribution Sets: If not using a purchase order, define a Distribution Set for
default accounts, distributions, and line descriptions. For example, define a
Distribution Set to split a monthly recurring rent amount to different departments
that share the rented space. The line amount to be distributed will be the invoice
amount minus calculated tax. The invoices' line description will be inherited from
the Distribution Set if one is defined. If the Distribution Set does not have a
description, the invoice will inherit the value for Line Description from the
Recurring Invoices template. The invoice will also inherit the Descriptive Flexfields
from the Distribution Set.
3-104 Oracle Payables User's Guide
•
Payment Attributes: By anticipating the attributes needed for payment and fiscal
reporting of the recurring invoices, you can either define these on the Supplier Site
for defaulting to the Recurring Invoice template or enter them directly on the
template. Payment attributes consist of pay group, payment priority, payment
method, remit to bank account, delivery channel, bank charge bearer, payment
reason, and payment reason comments. Note that the Payment Method may also
default based on a company policy.
•
Withholding Tax: If applicable, the withholding tax group defined on the template
will be used as a basis for withholding from invoices created from a template. If the
Payables System Option Setting for Apply Withholding Tax has been defined with
either At Invoice Validation or Payment, the value will default from the supplier
site or can be entered directly in the template.
•
1099 Reporting: If the supplier is defined as 1099 Reportable, the invoice will inherit
the Income Tax Type from the supplier site.
•
Document Sequencing: If the Document Sequencing profile option is defined as
Always Used or Partially Used, you must define a sequence as Automatic. The
sequence should be assigned to the Recurring Standard Invoices category for
invoices and Debit Memo Invoices for debit memos.
•
Invoice Approval Workflow: If you want your recurring invoices to go through an
approval process, enable the Use Approval Workflow Payables Option and
configure approver rules in Approvals Management. If your approver requirements
include the requester, enter the requester on the recurring invoice template. If you
do not want your recurring invoices to require approval, even though you have
enabled the Payables Option, uncheck the Approval Workflow Required check box
on the Control tab on the Recurring Invoices template.
Creating a Recurring Invoice Template
To create a recurring invoice template
1.
Define a template for each operating unit, supplier, and supplier pay site, as
needed.
2.
Choose a calendar, then enter the total number of invoices you want to create over
the life of the template. In the first field, enter the first period for which you want to
create an invoice.
3.
In the Invoice Definition tabbed region, enter the template Number, which must be
unique for the supplier. When you create invoices based on a template, Payables
creates the invoice number for each invoice by appending the name of the recurring
invoice period to the template number.
The template description defaults onto the header of the invoices created.
Invoices 3-105
4.
Select the Distribution Origin you want to use. You create distributions for the
recurring invoices either by using a Distribution Set or by matching to a purchase
order shipment or pay item. This can be done by navigating to the Lines Definition
tab.
5.
Optionally, enter the GL Date, which will default to each invoice you create with
this template. Unless you will create all of your invoices while the accounting
period for this GL date is Open or Future, leave this field blank to have Payables
use the beginning date of the recurring invoice's period. The GL date can be
changed in the Invoice Definitions tab.
6.
In the Amounts tabbed region, enter the amount for the first invoice or enter in a
Control amount and Payables will calculate the First Amount. The Control Amount
is the total amount available for the creation of invoices (including tax).
Note: When creating a recurring invoice template based on a
purchase order, enter a positive amount. Entering a negative
amount may result in a credit memo. You cannot create purchase
order-matched templates that result in credit memos.
7.
If you want the invoices to increase or decrease by a set percentage from period to
period, enter the percentage in the Change field. For example, if you pay rent once
per month and your rent increases 1% per month, enter 1 here.
8.
If you want to create a special invoice amount to record a deposit or balloon
payment, enter one or two Special Invoice Amounts and the Periods in which you
want to create invoices for them. When Payables creates the invoice for that period,
the invoice amount equals the special amount.
9.
Payables displays the Next Amount, which is the amount of the next invoice that
Payables will create from this template.
10. In the Control tabbed region, optionally enter a Hold name to prevent the creation
of invoices using this template.
11. Enter an Expiration Date when you no longer want to use the template to create
invoices even though there may be periods left.
Related Topics
Recurring Invoices Window Reference, page 3-109
Recurring Invoice Restrictions, page 3-108
Entering Recurring Invoices, page 3-103
Creating Recurring Invoices, page 3-107
3-106 Oracle Payables User's Guide
Withholding Taxes from Recurring Invoices, page 3-108
Taxes on Invoices, page 3-190
Foreign Currency Transactions, page 6-1
Adjusting Invoices, page 3-271
Scheduling Invoice Payments, page 3-30
Creating Recurring Invoices
In the Control Payables Periods window, ensure that the periods you create invoices in
have a status of Open, Future, or Never Opened.
Prerequisites
•
Define a recurring invoice template. See: Defining a Recurring Invoice Template,
page 3-105.
To create recurring invoices:
1. In the Recurring Invoices window, query the recurring invoice template from which
you want to create invoices. Enter in the Number of Invoices field the number of
invoices you want to create. Choose Create Invoices.
2.
Payables opens the Create Invoices window and displays the number of invoices
you selected. For example, your template is for monthly invoices starting in January
and you have already created two invoices. If you entered 2 for Number of
Invoices, Payables displays the March and April invoices.
3.
If you want to include the invoices in an invoice batch, enter a Batch Name. This
name will appear on your reports and will help you locate the batch online. You can
enter the name of an existing batch or a new batch name. You can enter a Batch
Name only if the AP: Use Invoice Batch Controls profile option is enabled.
4.
If you are using Foreign Currency, enter Exchange Rate information. See: Foreign
Currency Transactions, page 6-1.
5.
Choose OK to create the invoices. The new invoices are now regular invoices and
must be validated before you can pay them or create journal entries for them. If you
enabled the Invoice Approval Workflow Required check box, then all of your
recurring invoices will go through the Invoice Approval Workflow process.
6.
If you have enabled the Invoice Amount Limit or Hold Unvalidated Invoices
supplier site holds, Payables places those invoices on hold as it creates them.
You can review and adjust the distributions or scheduled payment of a recurring
invoice by querying the invoice in the Invoices window.
Invoices 3-107
Related Topics
Recurring Invoices Window Reference, page 3-109
Defining a Recurring Invoice Template, page 3-105
Withholding Taxes from Recurring Invoices, page 3-108
Adjusting Invoices, page 3-271
Recurring Invoice Restrictions, page 3-108
Creating Recurring Credit/Debit Memos
To create recurring credit memos or debit memos:
•
Define a recurring invoice template as usual, but enter negative invoice amounts.
See: Defining a Recurring Invoice Template, page 3-105.
Note: You cannot create recurring credit memos that are
purchase-order matched.
Withholding Taxes from Recurring Invoices
To withhold taxes from a recurring invoice:
•
When you define a recurring invoice template, enter the Withholding Tax Group in
the Invoice Definitions tab. This group will be applied to all invoices you create for
that template.
Related Topics
Automatic Withholding Tax Overview, page 10-15
Withholding Tax Groups, Oracle Payables Implementation Guide
Recurring Invoices Window Reference, page 3-109
Defining a Recurring Invoice Template, page 3-105
Entering Recurring Invoices, page 3-103
RECURRING INVOICE RESTRICTIONS:
SEQUENTIAL NUMBERING. You must use automatic sequential numbering for
recurring invoice voucher numbers.
NO REMAINING PERIODS: If the template has no remaining periods, you cannot
create any invoices.
CHANGING TEMPLATE FIELDS AFTER CREATING AN INVOICE: You cannot
3-108 Oracle Payables User's Guide
update the following fields in the recurring invoice template after you have created an
invoice: Supplier Name, Number, Site, First and Next Periods, Template Number,
Currency, GL Date, First Amount, Change, Number of Regular Invoices, Release Total,
Amount Remaining, and Next Amount.
Related Topics
Taxes on Invoices, page 3-190
Foreign Currency Transactions, page 6-1
Adjusting Invoices, page 3-271
Scheduling Invoice Payments, page 3-30
Recurring Invoices Window Reference
Operating Unit - The operating unit for which the template is defined.
Number of Invoices. This field is located at the bottom of the window. Enter the
number of invoices you want to create, then choose the Create Invoices button to create
the invoices.
Supplier Region
Site. The supplier pay site for which a template is defined. This field is entered
automatically if only one pay site exists for a supplier.
Calendar Region
Name. Calendar name representing frequency of invoice creation (e.g. Monthly). To
enter a calendar name, you must first define the calendar as a Recurring Invoice type
calendar in the Special Calendar window.
Number of Periods. Total number of invoices to be made over the life of a template. If
you change the number of periods, then this value must be less than the original
number of periods.
First. The first period for which a recurring invoice will be created. The period cannot
be Closed or Permanently Closed.
Next. Payables displays the next recurring invoice period for which an invoice can be
created with a template. The First period is used as the default for the Next period until
the first invoice is created.
Periods Remaining. Payables displays the number of periods remaining for which you
have not yet created invoices. If you change the Number of Periods value, then the
system reduces the value in the Periods Remaining field by the same amount.
Invoice Definition Tab
Number. Template Number, which must be unique for a supplier. When you create
Invoices 3-109
invoices based on a template, Payables creates the invoice number for each invoice by
appending the name of the recurring invoice period to the template Number.
Currency. Currency for invoices created from a template. Default is the functional
currency unless the supplier site has a different default.
Description. Template description used as the distribution descriptions if no purchase
order or Distribution Set description is available.
Withholding Tax Group. The withholding tax group that will be used as a basis for
withholding from invoices created from a template. This defaults from the supplier site.
Accounting Region
Liability Account. Account where invoice liability will be recorded. This will be
defaulted to all invoices created from a template.
GL Date. Date to recognize the invoice liability. The GL Date is used as a default
accounting date for each invoice. If you do not enter a GL Date, the beginning date of
each invoice's period will be each invoice's default GL Date.
Line Definition Tab
Origin Region
Select either Set or PO to choose whether invoice distributions are created by a
Distribution Set or a purchase order. Then enter the specific source:
Name. If you choose Set, enter the name of a Full Distribution Set.
Num. Purchase order number.
Line. Purchase order line.
Shipment. Purchase order shipment. If you select a purchase order shipment, during
invoice creation Payables automatically matches the invoices created to the purchase
order shipment. It prorates across all purchase order distributions to create the invoice
distributions. For example, you have a blanket purchase order for car leases. You enter
the purchase order number, line, and shipment on a template to create lease invoices,
and Payables will match each invoice created by the template to the purchase order
shipment.
Release. Releasing a Purchase Order.
Amounts Tab
First Amount. Amount of first invoice created by a template, excluding any special
payment such as a deposit. Used with the Change percentage to calculate incremental
invoice amounts. Used with the Number of Regular Invoices to calculate the Control
Total.
Next Amount. Amount of the next scheduled recurring invoice.
3-110 Oracle Payables User's Guide
Change. Percent change to increase or decrease the amount per period. For example, if
you pay rent once per month and your rent increases 1% per month, enter 1 here.
Number of Regular Invoices. Total number of periods defined for a template.
Special Invoice Amount1 / Amount2. One time special payment such as a deposit or
balloon payment including the regular periodic payment. It is the only amount paid in
that period.
Period. Period in which you want to pay the Special Invoice.
Control Total. Total amount available for creation of invoices. Payables enters this
number for you if you enter the First Amount and the Number of Regular Invoices.
After you create a recurring invoice, you can change the value in the Control Total field.
If you change the value in this field, then the system automatically updates the values
in the Released Total and Amount Remaining fields.
Released Total. Sum of the invoice amounts that have been created using the template.
Amount Remaining. Funds available for invoice creation using a template. Payables
displays the Control Total minus the Released Total.
Tax Tab
For a description of the fields on this tab, see: Invoice Workbench Window Reference,
page 3-317
Control Tab
Approval Workflow Required. If this option is enabled then when Payables creates
invoices using this template it will set each invoice's approval status to Required. The
invoices will then need to be approved before they can be paid.
Hold. Hold name to automatically prevent the creation of invoices using a template.
Release the hold by clearing this field.
Expiration Date. Last day you can create invoices using a template. Before this date you
can create invoices with invoice dates after the Expiration Date.
Requestor. The name of the requestor.
Payment Tab
Terms. Terms you want to use to create a scheduled payment for each invoice you
create from a template.
Pay Group. Pay Group name associated with a template. Default Pay Group name for
all invoices created with a template.
Payment Method. Payment method for invoices created from a template.
Pay Alone. Pay alone invoices are paid on separate payment documents.
Payment Reason. Indicates the reason for payment.
Invoices 3-111
Payment Reason Comments. Enter the comment for the reason.
Delivery channel. Enter the mode of delivery.
Remittance message 1. Enter the message o remittance.
Remittance message 2. Enter the message o remittance.
Remittance message 3. Enter the message o remittance.
Remit to Supplier Name. Enter or accept the Remit to Supplier Name if you want to
pay to the Third Party. This field is mandatory and enable you to record the Third Party
supplier to whom the payments are to be made.
Remit to Supplier Site. Enter or accept the Remit to Supplier Site if you want to pay to
the Third Party. This field is mandatory and enable you to record the Third Party
supplier to whom the payments are to be made. The Remit To Supplier Site list of
values displays only those supplier sites that are attached to the selected Remit To
Supplier Name for which the relationship is defined and is active as on Invoice date.
Remit-To Bank Account Region
Bank Account Name/Number. If you are paying your supplier electronically, then
enter the supplier bank account name and number to which you will remit payment.
Payables defaults the supplier site's primary account, if there is one for the payment
currency. If none exists at the site level, Payables defaults the primary bank account
from the supplier level, if one exists. You can change the account by choosing from the
list of values another account with the same currency.
If the value in the Payment Method field of the Template Definition region is Electronic,
then Payables displays the bank and branch associated with the supplier bank account
that you selected.
Remit-To Bank Region
Bank/Branch Name/Number. Payables displays the Bank and Branch associated with
the supplier bank account you select.
Buttons
Create Recurring Invoices. After you have created a template and entered in the
number of invoices that you want to create, click this button. This button opens the
Create Invoices window where you can review invoice information before confirming
that you want to create the invoices
RECURRING INVOICES WINDOW RESTRICTIONS:
CREATE INVOICES BUTTON: The button is enabled only if Number of Periods
Remaining is greater than zero, the system date is earlier than the expiration date, and
there is no hold on the recurring invoice template.
UPDATES: In the Recurring Invoices window, all the fields except for Liability
Account cannot be updated after the first invoice has been created.
3-112 Oracle Payables User's Guide
NO REMAINING PERIODS: You cannot create an invoice if a template has no
remaining periods.
Related Topics
Entering Recurring Invoices, page 3-103
Defining a Recurring Invoice Template, page 3-105
Creating Recurring Invoices, page 3-107
Withholding Taxes from Recurring Invoices, page 3-108
Special Calendar, Oracle Payables Implementation Guide
Quick Invoices
You can enter invoices in either the Quick Invoices window or the Invoice Workbench.
The Quick Invoices window is the quickest way to enter most invoices. Use this
window to enter a large volume of invoices that do not require extensive online
validation or extensive online defaulting of values.
Note: Speed up invoice record entry by customizing Quick Invoices
folders. You can resize, rename, move, and hide fields to meet your
needs. See: Customizing the Presentation of Data in a Folder, Oracle
Applications User's Guide.
Invoices 3-113
This section includes the following topics:
•
Quick Overview, page 3-114
•
Entering Invoice Records in the Quick Invoices Window, page 3-116
•
Entering Purchase Order Matched Invoices in the Quick Invoices, page 3-117
•
Entering Price Corrections in the Quick Invoices, page 3-121
•
Finding Invoice Records in the Quick Invoices, page 3-122
•
Modifying Invoice Records in the Quick Invoices Window, page 3-124
•
Adding Invoice Records to An Existing Quick Invoices Batch, page 3-124
•
Creating Invoices From Quick Invoices Invoice Records Import, page 3-125
Related Topics
Quick Invoices Window Reference, page 3-127
Quick Invoices Identification Window Reference, page 3-126
Quick Invoices Overview
Payables uses information you enter in the Quick Invoices window to create invoices in
Payables. You enter invoice header and line information in this window. This
information is stored in the Payables Open Interface tables. Because the system
performs limited validation and defaulting of invoice values while you are entering
invoices, you can enter invoices more quickly in the Quick Invoices window than you
can in the Invoice Workbench (the Invoice Workbench is the Invoices window and its
associated windows).
3-114 Oracle Payables User's Guide
For a text description of the previous graphic, see: Text Description of the Quick
Invoices Window Graphic, Oracle Payables User's Guide.
After you enter invoice records in the Quick Invoices window, you can submit a
customized workflow program to automate your processes for managing invoices. For
example, you can customize the workflow program to validate the cost center on all
invoices before you import them.
You then submit the Payables Open Interface Import Program to validate the values
you entered, provide any default values, and then create invoices with distributions and
scheduled payments in the regular Payables tables.
After import, Payables provides a report that lists invoice records that were successfully
imported and any that could not be imported because they had invalid or missing
information. You can query the rejected invoice records in the Quick Invoices window,
correct them, and then resubmit them for import.
When you import invoice records successfully, Payables creates regular invoices that
you can view, modify, and validate in the Invoice Workbench.
After you successfully create invoices based on data in the invoice records, you can
purge the invoice records from the Payables Open Interface tables.
Related Topics
Submitting the Payables Open Interface Import Program, page 3-143
Payables Open Interface Troubleshooting, page 3-150
Invoices 3-115
Payables Open Interface Purge Program, page 3-151
Payables Open Interface Workflow, Oracle Payables Implementation Guide
Payables Open Interface Import Report, page 3-153
Payables Open Interface Tables, Oracle Payables Reference Guide
Entering Invoice Records in the Quick Invoices Window
When you enter invoice records in the Quick Invoices window, you group the invoice
records by assigning the same batch name to each invoice. When you enter a value for
Quick Invoices Batch in the Quick Invoices Identification window, the system assigns
that Quick Invoices Batch name to each invoice record you enter. You can use the Quick
Invoices Batch name to query the group of invoice records in the Quick Invoices
window, and to identify a group of invoice records that you want to import together.
Note that if you use invoice batch control and you want to maintain the grouping of
invoices after import, then when you submit import for the Quick Invoices batch, you
can assign an Invoice Batch name to the group of invoices that Payables creates. You
can then use the Invoice Batch name to query the same group of invoices in the Invoice
Workbench.
Entering a Basic Invoice Record in the Quick Invoices
Prerequisites
•
Define suppliers with at least one pay site. See: Entering Supplier Information,
Oracle iSupplier Portal Implementation Guide.
•
If you don't want to use Quick Invoices as the source for all Quick Invoices batches,
define additional values for the import Source in the Oracle Payables Lookups
window (optional). See: Lookups, Oracle Payables Implementation Guide.
•
Customize your Quick Invoices folder forms to hide fields you don't use. See:
Customizing the Presentation of Data in a Folder, Oracle Applications User's Guide.
To enter a basic invoice record in the Quick Invoices window:
1.
Navigate to the Quick Invoices. The Quick Invoices Identification window opens.
Enter a unique value for the batch. For the Source, enter Quick Invoices, or a source
you defined in the Oracle Payables Lookups window. The Quick Invoices Batch and
Source values in the Quick Invoices Identification window will default to all invoice
records you enter.
2.
In the Quick Invoices window, enter the invoice header information. The following
header fields are required:
•
Supplier or Supplier Num
•
Site
3-116 Oracle Payables User's Guide
•
Invoice Amount
Enter at least one invoice line. The following fields are required for each invoice
line:
•
Line Type
•
Amount
For descriptions of the other fields, see: Quick Invoices Window Reference, page 3127.
3.
To add a new record in the Quick Invoices batch, use the [down arrow] key or select
the New Record icon from the toolbar. Perform step 2 for each invoice record.
4.
If you want to import your invoice records now, choose the Create Invoices button
and see: Creating Invoices From Quick Invoices Invoice Records (Invoice), page 3125. Or, you can import the batch later. See: Submitting the Payables Open Interface
Import Program, page 3-143.
5.
Save your work.
Related Topics
Quick Invoices, page 3-113
Entering Purchase Order Matched Invoice Records in the Quick Invoices Window
When you enter a purchase order matched invoice record, the import process
automatically creates invoice distributions for you based on your match. You can match
to a purchase order receipt, and you can match to a purchase order at different levels:
purchase order header, purchase order line, purchase order shipment, purchase order
distribution.
Tip: When you are matching to a purchase order, also open the View
PO window to have easy access to purchase order information.
Note: During import, the system does not check quantity or unit price
tolerances. If the invoice exceeds the tolerances you have set in the
Invoice Tolerances window, Payables applies a system hold on the
invoice at Invoice Validation time.
Invoices 3-117
Matching to a Purchase Order at the Quick Invoices Header Level
Prerequisites
•
Your purchasing information must be generated in Oracle Purchasing or
transferred to Oracle Purchasing tables from an external purchasing system.
•
A purchase order for the same supplier, supplier site, and currency as the invoice
record you are entering must be approved and open.
•
The purchase order is Standard, has only one line, and all shipments have the same
match option (purchase order or receipt).
To enter a purchase order matched invoice record at the header level:
1.
In the Quick Invoices window, enter an invoice record.
Enter a value in the invoice header for PO Number. If you want the purchase order
terms to default to the invoice record then leave the Terms field empty.
2.
Enter line information. The only required fields are Type and Amount.
3.
Optionally enter a value for either Quantity Invoiced or PO Unit Price. During
import the system provides the other value (Quantity Invoiced x PO Unit Price =
Amount).
4.
Save your work. The invoice record is ready for import. After you create invoices
from the invoice records, you can view the distributions created by the match in the
Distributions window of the Invoice Workbench.
Matching to a Purchase Order Shipment or Distribution in the Quick Invoices
Prerequisite
•
A purchase order for the same supplier, supplier site, and currency as the invoice
record you are entering must be approved and open.
•
The Match option on the purchase order shipment is set to Purchase Order.
To enter a purchase order matched invoice record at the shipment or distribution level:
1.
In the Quick Invoices window, enter an invoice record.
If you want the payment terms to default from the purchase order enter a PO
Number and do not provide a value for Terms. The payment terms will default
from the purchase order you identify here in the invoice record header.
2.
In the Invoice Lines region, enter at least one line. Enter Item as the line type and
enter the Amount.
Important: For purchase order matched lines, do not provide
3-118 Oracle Payables User's Guide
distribution information by entering a Distribution Set or Projects
information, or the invoice will not import successfully. Also, do
not enable the Prorate Across check box on purchase order
matched lines.
3.
For each line you want to match, enter the PO Number.
If you are matching to a blanket purchase order, you must also provide values for
both Release Number and PO Shipment Number.
4.
Enter values in the relevant fields to match the invoice line to whatever level of
detail you want: purchase order line, shipment, or distribution:
•
PO Shipment. To match to a shipment, enter the PO Line Number and PO
Shipment Number. If you are matching to a purchase order line with multiple
shipments, you must enter a value here. If you don't know the shipment
number, and if the shipment has a unique Ship-To location for the purchase
order, then you can match to the shipment by entering the Ship-To location
exactly as it appears on the shipment.
Note: If you match to a purchase order with only one line and
only one shipment, then only the purchase order number is
required. Also, if you enter a PO Line information, and that PO
Line has only one shipment, then you are not required to enter
shipment information.
•
PO Distribution. To match to a purchase order distribution, enter the PO Line
Number, PO Shipment Number, and PO Distribution Number. If you want the
GL Account populated with an Overlay GL Account, then you must specify the
purchase order distribution.
5.
Optionally enter a value for either Quantity Invoiced or PO Unit Price. During
import the system provides the other value (Quantity Invoiced x Unit Price =
Amount).
6.
Save your work. The invoice record is ready for import After you create invoices
from the invoice records, you can view and modify the distributions created by the
match in the Distributions window of the Invoice Workbench.
Matching to Receipts in the Quick Invoices
You can match to a receipt associated with a purchase order shipment. Specify the
purchase order number and the receipt to which you want to match.
Invoices 3-119
Prerequisite
•
The Match option on the purchase order shipment is set to Receipt.
To enter a receipt matched invoice record:
1.
In the Quick Invoices window, enter an invoice record.
If you want the payment terms to default from a purchase order, enter a PO
Number in the header and do not provide a value for Terms. The payment terms
will default from the purchase order you identify here in the invoice record header.
2.
In the Invoice Lines region, enter at least one line. Enter Item as the line Type and
enter the Amount.
Important: For receipt matched lines, do not provide distribution
information by entering a Distribution Set or Projects information,
or the invoice will not import successfully. Also, do not enable
Prorate Across check box for purchase order matched lines.
3.
For each line you want to match, enter the PO Number, Line Number, and
Shipment Number.
If you enter a PO number of a blanket purchase order, then you must provide
values for both Release Number and PO Shipment Number.
4.
If you want the line to have the same account as the purchase order distributions
for the receipt, then do not enter a value for Account. If you want to assign a
particular account to the new invoice distributions, then enter that account.
5.
Enter a Receipt Number and a Receipt Line Number. You can use the list of values
to find out additional information associated with the receipt number, including
packing slip and receipt date.
6.
If you want to match further to the associated purchase order distributions, then
enter the PO Line Number and PO Shipment Number. If you don't know the
shipment number, and if the shipment has a unique Ship-To location for the
purchase order, then you can match to the shipment by entering the Ship-To
Location exactly as it appears on the shipment. Then enter the PO Distribution
Number.
7.
Optionally enter a value for either Quantity Invoiced or PO Unit Price. During
import the system provides the other value (Quantity Invoiced x Unit Price =
Amount).
8.
Save your work. After you create invoices from the invoice records, you can view
and modify the distributions created by the match in the Distributions window of
the Invoice Workbench.
3-120 Oracle Payables User's Guide
Related Topics
Quick Invoices, page 3-113
Quick Invoices Window Reference, page 3-127
Entering Price Corrections in the Quick Invoices, page 3-121
Entering Price Corrections in the Quick Invoices
You use a price correction when a supplier sends you an invoice for a change in Unit
Price. You can record a price correction when you match a Credit or Standard invoice
record to a previously matched purchase order and adjust the invoiced unit price.
Tip: We strongly recommend that you use the Invoice Workbench,
rather than the Quick Invoices window to enter price corrections in this
version of Payables. Entering in the Invoice Workbench allows you to
specify more detailed information, so Invoice Validation can properly
validate that the price is within the appropriate tolerance.
For more information, see: Price Corrections, page 3-66.
Prerequisite
•
A purchase order for the same supplier, supplier site, and currency as the invoice
record you are entering must be approved and open.
To record a price correction in the Quick Invoices window for a purchase order shipment
or distribution:
1.
In the Quick Invoices window, enter the invoice record. If you are recording a price
increase, enter a Standard type invoice record. If you are recording a price decrease,
enter a Credit type invoice record.
2.
In the Lines region, enter the line information. Enter Item as the line type.
Important: For purchase order matched lines, do not provide
distribution information by entering a Distribution Set or Projects
information, or the invoice will not import successfully. Also, do
not enable the Prorate Across check box on purchase order
matched lines.
3.
For each line you want to match, enter the PO Number. If you are matching to a
blanket purchase order, then you must provide values for both Release Number
and PO Shipment Number.
4.
Enter values in the relevant fields to match the invoice line to whatever level of
detail you want: purchase order line, shipment, or distribution:
Invoices 3-121
•
PO Line. If you want to match to a purchase order line, enter the PO Line
Number. If you don't know the line number and if the line has a unique
inventory item or unique item description for the purchase order, then you can
match to the line by entering either the Inventory Item ID or the PO Item
Description exactly as it appears on the purchase order line.
•
PO Shipment. If you want to match to a shipment, then enter the PO Lines and
PO Shipment Number. If you don't know the shipment number, and if the
shipment has a unique Ship-To location for the purchase order, then you can
match to the shipment by entering the Ship-To Location exactly as it appears on
the shipment.
•
PO Distribution. If you want to match to a purchase order distribution, enter
values for PO Line, PO Shipment, and PO Distribution Number.
5.
Check the Price Correction check box in the Invoice Lines region.
6.
Enter the Unit Price for the incremental amount of the price correction. During
import the system provides the value for Quantity Invoiced (Quantity Invoiced x
PO Unit Price = Amount).
7.
Save your work. After you create invoices from the invoice records, you can view
and modify the distributions created by the match in the Distributions window of
the Invoice Workbench.
Related Topics
Quick Invoices, page 3-113
Quick Invoices Window Reference, page 3-127
Finding Invoice Records in the Quick Invoices Window
You can query any invoice record in the Quick Invoices window if you entered it in the
Quick Invoices window and you have not yet purged the invoice record from the
Payables Open Interface tables. If you have successfully imported the invoice record,
we recommend that you view it in the Invoice Workbench, where you can see the new
distributions, scheduled payments, and defaults that were assigned during import.
To find invoice records that are in the same Quick Invoices batch, you can use the Quick
Invoices Identification window. Or, to find invoice records regardless of Quick Invoices
batch, you can perform a query directly in the Quick Invoices window. For example, to
see all invoice records that have been rejected in all batches, you can query all invoices
with the Status of Rejected.
If you entered invoices in the Payables Open Interface from other sources such as
e-Commerce Gateway or your credit card enterprise and you want to view or modify
them, do not use the Quick Invoices window. Use the Open Interface Invoices window
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instead.
Prerequisites
•
You entered the invoice record using the Quick Invoices window.
•
The invoice record has not been purged from the Payables Open Interface tables.
To find invoice records using the Quick Invoices Identification window:
1.
The Quick Invoices Identification window and the Quick Invoices window appear.
2.
In the Quick Invoices Identification window, identify the invoice records you want
to find by entering values for Quick Invoice Batch and Source. You can additionally
search for invoice records by Status. If you leave Status null, then the query will
retrieve records regardless of status (unprocessed, rejected, and processed).
3.
Choose the Find button. The Quick Invoices window displays all invoice records
that match your search criteria.
4.
Use the [down arrow] key, or choose Next Record from the Go menu until the
Quick Invoices window displays the invoice record you want to see.
To find invoice records by performing a query in the Quick Invoices window:
1.
Navigate to the Quick Invoices. The Quick Invoices Identification window and the
Quick Invoices window appear.
2.
Go directly to the Quick Invoices window. Do not use the Quick Invoices
Identification window.
Note: If you use the Quick Invoices Identification window, the
Source and Quick Invoices Batch values for each invoice record will
default from the Quick Invoices Identification window and will
limit your query to that invoice batch and source.
3.
From the Query menu, choose Enter.
4.
Enter the identifying information in one or more fields. Or, to query all unpurged
invoice records, enter no information.
5.
From the Query menu, choose Run. The Quick Invoices window displays all
invoice records that match your search criteria.
6.
Use the [down arrow] key, or choose Next Record from Go menu until the Quick
Invoices window displays the invoice record you want to see.
Related Topics
Quick Invoices, page 3-113
Invoices 3-123
Modifying Invoice Records in the Quick Invoices Window
In the Quick Invoices window, you can modify any invoice record you entered in the
Quick Invoices window but have not successfully imported. If you have successfully
imported an invoice record and want to modify it, you must use the Invoice
Workbench.
When correcting problems with invoice records rejected during import, you can find
the rejection reason by looking at the Payables Open Interface Import Report, or you
can query the record in the Quick Invoices window and choose the Rejections button to
see the rejection reason in the Rejections window. For a more detailed explanation of
the rejection, see: Payables Open Interface Import Report, page 3-153.
Prerequisites
•
You have not successfully imported the invoice record. (Imported invoice records
have a status of "Processed").
•
You have not purged the invoice record.
•
Payables Open Interface Import is not currently processing the invoice record.
To modify an invoice record in the Quick Invoices window:
1.
Find the invoice record. See: Finding Invoice Records in the Quick Invoices
Window, page 3-122.
2.
Change the invoice record.
3.
Save your work.
If you are ready to submit Payables Open Interface Import, choose the Create
Invoices button and see: Creating Invoices From Quick Invoices Invoice Records
(Import), page 3-125.
Related Topics
Quick Invoices, page 3-113
Adding Invoice Records to an Existing Quick Invoices Batch
You can add invoice records to a Quick Invoices Batch at any time. Either query an
existing batch and add invoice records to it, or add invoice records to an existing batch
by using the same Source and Batch Name when you enter new invoice records.
Prerequisite
•
At least one invoice in the existing batch has not been purged.
To add an invoice records to an Quick Invoices batch:
1.
In the Quick Invoices Identification window specify the Quick Invoices Batch and
3-124 Oracle Payables User's Guide
Source of the existing Quick Invoices batch.
2.
3.
View the existing batch, or add invoice records without viewing the batch first:
•
To see the batch first, choose the Find button. The Quick Invoices window
displays the invoice records in the Quick Invoices batch. To create a new record,
either choose New Record from the menu, or use the [down arrow] key until
the Quick Invoices window opens a new record.
•
To add an invoice record to the batch without seeing the existing invoice
records in the batch, choose the Enter button in the Quick Invoices
Identification window.
Enter the invoice record in the Quick Invoices window.
Related Topics
Quick Invoices, page 3-113
Quick Invoices Identification Window Reference, page 3-126
Creating Invoices From Quick Invoices Invoice Records (Import)
The Payables Open Interface Import Program creates invoices using the invoice records
you entered in the Quick Invoices window. Once import creates invoices in Payables,
you can view and modify them in the Invoice Workbench. You can also pay the invoices
after you validate them.
There are two ways you can submit Payables Open Interface Import for invoice records
you have entered in the Quick Invoices window: Use the Create Invoices window, or
submit the Payables Open Interface Import Program from the Submit Request window.
If you submit import from the Submit Request window, you can optionally specify only
the Source, and not the Quick Invoices Batch Name (Group parameter). To submit the
request from the Submit Request window, see: Submitting the Payables Open Interface
Import Program, page 3-143.
Prerequisite
•
If you use Open Interface Workflow, submit it before importing invoices. If you use
workflow but have not yet submitted workflow for your invoice records, the
invoice records can still be imported. See: Payables Open Interface Workflow,
Oracle Payables Implementation Guide.
To create Payables invoices by using the Create Invoices window:
1.
In the Quick Invoices window, choose the Create Invoices button.
2.
The Create Invoices window opens. Payables defaults values for the Source and
Batch based on the last selected invoice record. You can override these values.
Invoices 3-125
3.
If you want to apply a hold to all invoices you are importing, enter a Hold Name.
If you use invoice batch control, then enter a value for Invoice Batch. Payables uses
the Quick Invoices Batch name as a default. You can override this value.
If you want to assign a GL Date to any invoice record in the Quick Invoices batch
that does not already have a GL Date at the line or header level, enter a value for
the GL Date parameter.
If you want to purge invoice records from the interface tables after you successfully
create new invoices from them, enable the Purge option. Purging does not affect
invoice records that are rejected during import. Alternatively, you can purge the
invoice records later.
If you want to summarize the Audit section of the Payables Open Interface Import
Report, select the Summarize Report option. If you do not select this option and you
are importing a large number of invoice records, this report could be very lengthy.
4.
Click the Ok button. Payables submits the Payables Open Interface Import Program
for the invoice records that match the Source and Batch parameters you specified in
the Create Invoices window.
After you choose the Create Invoices button, Payables displays the following
message: Payables Open Interface Import is processing your invoices. You can
query the status in the Requests window by using the following request ID:
[concurrent request ID number].
When your request has completed, you can view the invoices in the Invoice
Workbench. They are ready for validation.
Related Topics
Payables Open Interface Import Troubleshooting, page 3-150
Quick Invoices, page 3-113
Quick Invoices Identification Window Reference
When you navigate to the Quick Invoices window, the Quick Invoices Identification
window opens. Use this window to assign Source and Batch names to the invoice
records. You can then use these values to identify invoice records for queries, and for
import.
When you enter invoice records, the Source and Quick Invoices Batch name values
default from the values currently in the Quick Invoices Identification window.
Source. Enter Quick Invoices, or enter a value that you defined in the Oracle Payables
Lookups window. If you enter a user-defined source, then use it only for one particular
source type. For example, if you define a source name that you use for Quick Invoices
invoice records, do not use it for any other method of entering data in the Payables
Open Interface tables. At import time, the Source differentiates between invoice records
3-126 Oracle Payables User's Guide
you enter in the Quick Invoices window; credit card records from your credit card
issuer; lease invoices from Property Manager; lease invoices from Oracle Assets, and
invoice records you load using Oracle e-Commerce Gateway or SQL*Loader.
Quick Invoices Batch. A Quick Invoices Batch is used to group invoice records that
you enter in the Quick Invoices window. You can add invoice records to a batch at any
time. You can use the batch name to specify a group of invoice records you want to
query, import, or purge together. You can import data in concurrent processes for the
same Source by specifying a unique group (batch) for each request. This reduces the
processing time of your import. For example, if you enter 200 invoice records, instead of
submitting import for a single batch of 200 invoices, you can submit two batches at the
same time for faster processing.
Note that if you use batch control for your invoice batches (the AP: Use Invoice Batch
Controls profile option is enabled) and you want to maintain the grouping of invoices
after import, then when you submit import for the Quick Invoices batch, you can assign
an invoice batch name to the group of imported invoices. You can then query the
invoice group in the Invoice Workbench by using the Invoice Batch name.
Status. Use this field to query invoice records with a particular status. You can query
Rejected or Processed invoice records by specifying those statuses. If you provide no
value for Status when you perform a query, the system retrieves invoice records
regardless of status.
•
Rejected. The import process has rejected the invoice. Read the Payables Open
Interface Import Report to find the reason for the rejection. Correct the invoice in
the Quick Invoices window and resubmit the import program.
•
Processed. The invoice record has been successfully imported into Payables. You
can query and modify the invoice in the Invoice Workbench. The invoice is ready
for validation.
•
Null. The invoice record has not been processed by import.
Related Topics
Quick Invoices, page 3-113
Quick Invoices Window Reference, page 3-127
Quick Invoices Window Reference
Enter invoice header and line information in this window. When you submit Payables
Open Interface Import, Payables creates invoices with distributions and scheduled
payments based on the invoice records you enter in this window. After an invoice
record is imported successfully, you can view, modify, and validate it in the Invoice
Workbench.
You can modify invoice records in the Quick Invoices window if they have not been
imported or purged. After you purge an invoice record from the Payables Open
Invoices 3-127
Interface tables, you can no longer query or modify the invoice record in the Quick
Invoices window.
Fields that are validated online have the following designation in this document: (LOV).
This indicates that you can select from a list of valid, active values. Also, if you enter an
invalid or inactive value in one of these fields, then the list of values will appear
automatically. For information on the validation that Payables performs during the
import process, see the Payables Open Interface Import Report, page 3-153, and see the
validation information in the column descriptions of the Payables Open Interface Table
Descriptions, Oracle Payables Reference Guide.
Tip: Customize your Quick Invoices folder forms to prevent yourself
from entering values that could cause rejection of the invoice during
import.
Quick Invoices Header Region
Enter the invoice header information in this region. The following information is
required: Supplier Site, Invoice Amount, and either Supplier Number or Supplier
Name.
Date Invoice Received. The date you receive an invoice.
If your Terms Date Basis Payables option is set to Invoice Received, and you provide a
value, Payables will use this value as the Terms Date. If you don't provide a value here,
then the invoice will be rejected.
Description. Description of goods and services listed on the invoice. During import,
this value is the default for invoice header description. The description appears on the
payment document remittance, and you can include it when you transfer journal entries
to your general ledger.
Discountable Amount. Invoice amount applicable to discount. If you don't enter a
value, during import Payables defaults the Invoice Amount as the Discountable
Amount value.
Document Category. (LOV) Payables uses the document category to assign a unique
voucher number to an invoice. Enter a document category only if all of the following
conditions are true. If one or more of the following conditions are not true, then the
invoice record will be rejected during import.
•
You use automatic sequential voucher numbering (your Sequential Numbering
profile option is set to either "Partial" or "Always").
•
Your Document Category Override Payables option is enabled.
•
The document category you enter has a valid sequence assigned to it.
If you enter a value for Document Category, then Payables will ignore any value you
3-128 Oracle Payables User's Guide
enter for Voucher Number in this window.
Payables predefines a document category for each invoice type. The predefined
document category will default to the invoice during import if you use automatic
sequential voucher numbering, you do not enter a value in this Document Category
field, and the Sequential Numbering profile option is set to Always. If you do not use
voucher numbering (your Sequential Numbering profile option is set to "Not Used"),
then do not enter a value, or import will reject the invoice.
Exchange Date/ Exchange Rate. Foreign currency rate information that Payables uses
to convert a foreign currency invoice amount to your functional currency. If a rate is
available based on the Exchange Rate Type and Exchange Date that you enter, then the
Quick Invoices window will display it. Do not overwrite any value that the system
provides in this window or the invoice record will be rejected during import. If you
have enabled the Require Exchange Rate Entry option in the Financials Options
window and the exchange rate type is User then you must enter a value for Exchange
Rate or the invoice record will be rejected. See: Foreign Currency Transactions, page 61 and Entering Foreign Currency Invoices, page 3-96.
Exchange Rate Type. (LOV)Type of exchange rate between the invoice and your
functional currency. If you have entered a foreign currency invoice record and do not
enter a value for Exchange Rate Type, then during import Payables defaults the
exchange rate type from the Exchange Rate Type field in the Payables Options window.
•
User. An exchange rate entered by you manually during invoice entry or payment
time. If you have enabled the Require Exchange Rate Entry option in the Payables
Options window and the exchange rate type is User, then you must enter a value
for Exchange Rate or the invoice record will be rejected.
•
Spot. A daily exchange rate that is a quoted market rate. When you specify a Spot
rate type, Payables automatically enters the invoice Exchange Rate from the GL
Daily Rates table.
•
Corporate. A standard market rate determined by senior management for use
throughout your organization. When you specify a Corporate rate type, Payables
automatically enters the invoice Exchange Rate from the GL Daily Rates table.
•
User-defined. An exchange rate type you define in the Define Daily Conversion
Rate Types window. You can define as many exchange rate types as you need.
When you specify a user-defined rate type, Payables automatically enters the
invoice exchange rate for you from the GL Daily Rates table.
GL Date. The default GL Date for the distributions for this invoice. Must be in an open
or future period. During import, Payables looks for a GL Date value to assign to the
invoice distribution. Payables assigns a value from the first source it finds, and it
searches the following sources in the following order: 1) GL Date field in invoice record
line, 2) GL Date field in invoice record header, 3) GL Date parameter from import
submission, 4) GL Date Basis Payables option. If the system searches at the GL Date
Basis level, the following occurs: If the GL Date Basis option is set to Goods
Invoices 3-129
Received/Invoice Date, then Payables uses the Goods Received Date, if it is populated.
If not, then Payables uses the Invoice Date. If the GL Date Basis option is set to Goods
Received/System Date, then Payables uses the Goods Received Date, if it is populated. If
it is not, then Payables uses the system date at time of import.
If the Use PO Encumbrance option is enabled in the Financials Options window, then
the date must be in the current encumbrance year.
Date Goods Received. The date you receive goods for invoice records.
If your Terms Date Basis Payables option is set to Goods Received, then if you provide a
value, Payables will use this value as the Terms Date, and if you don't provide a value
here, Payables will reject the invoice.
Invoice Amount. Total amount of the invoice. If you enter a Credit invoice, the amount
must be a negative number. If you enter a Standard invoice, the amount must be zero or
greater.
Invoice Curr. (LOV)The currency of the invoice. The Quick Invoices window defaults
the supplier site currency. You can override this value. After you import your invoice,
you cannot change the currency. You can use the Invoice Actions window to cancel the
invoice, then re-enter the invoice with the correct currency.
If you enter a currency other than your functional currency, then you must provide
exchange rate information.
Invoice Date. Date on the invoice. If you do not enter a value, then import uses the
system date at the time of import as the default. Payables may use the Invoice Date as
the Terms Date and GL Date for an invoice, depending on your system setup. If your
GL Date Basis is Invoice Date, then the Invoice Date must be in an open or future
period.
Invoice Num. The invoice number provided by the supplier on the invoice. You can
record supplier invoices for an operating unit with same invoice numbers for invoices
provided they originate from different supplier party sites . If you do not enter a value,
then during import, Payables uses the system date at the time of import as a default.
Invoice Type. (LOV) The type of invoice. Standard and Credit are the only invoice
types you can enter in this window. If you do not enter a value for this field then a
value will be assigned during import based on the amount of the invoice.
•
Standard. A trade invoice you receive from a supplier. The amount of a Standard
invoice must be zero or greater.
•
Credit. Credit Memo. A negative amount invoice you receive from a supplier
representing a credit for goods or services purchased. Note that in the Quick
Invoices you can match a credit memo to a purchase order to perform a price
correction, but you cannot match a credit memo to an invoice. If you want to match
to an invoice, then use the Invoice Workbench.
Liability Account. (LOV) Account for the invoice liability. Payables uses this account
when you create accounting entries for your invoices if you use accrual basis
3-130 Oracle Payables User's Guide
accounting. Payables credits an amount equal to the sum of your invoice distributions.
You cannot enter more than one Liability account for an invoice. The Quick Invoices
window provides the supplier site Liability account as a default. You can override this
value. Payables defaults this value to invoice distributions during import.
Pay Alone. A Pay Alone invoice is paid with its own payment document without
including other invoices for the supplier. The Quick Invoices window defaults to each
record the Pay Alone value for the supplier site. You can override this value.
Payment Curr. (LOV) If the Invoice Currency is not a fixed-rate currency, then the
Payment Currency will be the same as the Invoice Currency and you cannot enter a
value in this field.
If the payment currency is a fixed-rate currency, such as euro or another EMU currency,
you can change it to an associated currency. For fixed-rate currencies, the payment
currency value defaults from the supplier site. If the supplier site has no default
payment currency, the value defaults from the Invoice Currency. If you change the
Invoice Currency then the value for Payment Currency will change to the value for
Invoice Currency.
Pay Group. (LOV) Use Pay Group to group in a payment batch invoices from multiple
suppliers. The Quick Invoices window defaults the supplier site's Pay Group. You can
override this value.
Payment Method. (LOV) The payment method you use to pay the supplier site. The
Quick Invoices window defaults the supplier site's Payment Method to this field. You
can override this value. During import Payables defaults this Payment Method to all
scheduled payments of the invoice.
Payment Rate. If you are making a payment in a different currency than the invoice,
and both currencies are associated fixed-rate currencies, Payables displays the fixed
cross rate. You cannot update this value in this window.
Payment Rate Date. The date the Payment Rate is effective. If the payment currency
and invoice currency are associated fixed-rate currencies, then when you enter the
Invoice Date, Payables enters the invoice date value as the payment rate date.
Payment Rate Type. If the Payment Currency is different from the Invoice Currency
and both are fixed-rate currencies, Payables displays EMU Fixed.
PO Number. (LOV) If you are matching the entire invoice record to a purchase order,
then enter the number of a valid, open purchase order that has not been final matched.
The purchase order must be for the supplier site you entered. The list of values displays
all available purchase orders for the supplier site you specified. If you match to a
purchase order, then during import Payables uses purchase order information to create
invoice distributions. If you want to override the account default that the purchase
order provides, then see: Account Overlay in Payables Interface Import, Oracle Payables
Reference Guide.
If you do not enter a value for PO Number at the header, then you can still enter a PO
Number for any line. However, if you want the invoice to use terms from a purchase
order, you must enter the purchase order here. Payables uses terms from the purchase
Invoices 3-131
order you identify in this field if you match to a purchase order and do not enter a value
for terms on the invoice record.
Prepay Apply Amt. If you are applying prepayments, the maximum currency amount
of the prepayments you want to apply to an invoice. If you specify a prepayment
number and leave this field blank, then Payables enters the unapplied prepayment
amount up to the amount of the invoice. Payables ensures that the prepayment amount
does not exceed the invoice amount.
Note: The prepayment is not actually applied until the import process.
Therefore, to prevent overapplication of an prepayment, you cannot
select a prepayment number that has been applied to another invoice
record that has not yet been imported.
Prepayment Distribution. (LOV) Distribution number of a specific Item distribution on
the specified prepayment that you want to apply. Leave this field blank to apply all
available prepayment Item distributions, starting with the lowest distribution number
first, up to the amount of the invoice. This field is enabled after you enter a valid value
for the Prepayment Number field.
Prepayment GL Date. Accounting date for the application of the prepayment. This will
be the GL date on the new Prepayment type distribution on the imported invoice.
Prepayment on Invoice. (check box). Enable this check box if you are entering an
invoice that references a prepayment that the supplier received, and the invoice amount
is reduced by the amount of the prepayment and any associated tax. See: Entering
Invoices that Reference Prepayments., page 3-81
Prepayment Number. (LOV) Invoice number of a specific prepayment you want to
apply. Leave this field blank if you do not want prepayments applied to the invoice.
Requester. Person who requested the goods or services on the invoice. If you use
Invoice Approval Workflow, you can define rules that use this value to generate a
hierarchical list of approvers for the invoice.
Site. (LOV) The supplier site address to which you want to remit payment. This site
must be a pay site. If you print checks, Payables prints this address on the check. The
Quick Invoices window defaults this value if you enter a supplier with only one active
pay site.
Supplier. (LOV) Supplier Name. You must specify a valid supplier in either the
Supplier field or the Supplier Number field.
Supplier Num. (LOV) Supplier number. You must specify a valid supplier in either the
Supplier field or the Supplier Number field.
Remit to Supplier Name. Enter or accept the Remit to Supplier Name if you want to
pay to the Third Party. This field is mandatory and enable you to record the Third Party
supplier to whom the payments are to be made.
Remit to Supplier Site. Enter or accept the Remit to Supplier Site if you want to pay to
3-132 Oracle Payables User's Guide
the Third Party. This field is mandatory and enable you to record the Third Party
supplier to whom the payments are to be made. The Remit To Supplier Site list of
values displays only those supplier sites that are attached to the selected Remit To
Supplier Name for which the relationship is defined and is active as on Invoice date.
Terms. (LOV) Payment terms. This value defaults from the supplier site. You can
overwrite that value.
If you're matching to a purchase order and want to use the purchase order's terms, then
make sure this field is blank.
The import process uses the invoice amount, payment terms, and terms date to create
one or more scheduled payments for each invoice record. You define terms in the
Payment Terms window. See also: Payment Terms, Oracle Payables Implementation Guide.
Transaction Code. USSGL Transaction Code. The import program imports any USSGL
information that you enter in this field.
Voucher Num. Manual voucher number assigned to the invoice for internal tracking
purposes. This value will be validated for uniqueness. If you use automatic sequential
numbering (your Sequential Numbering profile option is set to "Partial" or "Always"),
then during import, Payables ignores any value you enter here. Do not enter a value
with more than 9 digits or Payables will have problems processing the invoice.
Withholding Tax Group. (LOV) Enter a value if you want to apply multiple
withholding taxes to this invoice. This value defaults from the supplier site.
You can also enter a value for Withholding Tax Group at the invoice line level. Any
value you enter in the Withholding Tax Group field for an invoice line will override any
value you enter here in the header.
Workflow Status. If you use Oracle Open Interface Workflow, this field shows you the
workflow status of the invoice record.
•
Processing. Workflow is currently processing invoice record.
•
Processed. Workflow has processed the invoice record and it is ready for import.
•
Not Applicable. All invoices are saved with this status. You can customize
workflow to select invoice records with this status. Invoice records with this status
can be imported before workflow processing.
[] (Descriptive Flexfield). You use descriptive flexfields to record custom data. The
flexfield you use in this window will provide values to the invoice descriptive flexfield
in Payables. Therefore, the structure of the information you enter in these columns
(datatypes, value sets) must match the structure of the descriptive flexfield segments
you have defined in the Invoices window or you will experience validation problems
when you try to access this information in the Invoice Workbench.
[ ] (Localization Descriptive Flexfield). If you are using a localization, you must enter
appropriate values in this flexfield or the invoice will be rejected. For more information
see your localization guide.
Invoices 3-133
Display Only Region
Invoice Total. Payables displays the value you entered for Invoice Amount so you can
compare it to the line total.
Lines Total. The sum of the amounts in the Lines region for this invoice record. The
sum of the invoice lines does not need to equal the Invoice Total when you submit
import. For example, you may have a $10 tax line with a VAT tax that has an offsetting
tax. The tax amount will be zero after the invoice record is imported and validated, but
the lines will not equal the invoice total when you save the record in the Quick Invoices.
Source. Source identifier used by Payables Open Interface Import. The value should be
either Quick Invoices, or a source name you defined in the Oracle Payables Lookups
window.
Quick Invoices Batch. Name of the Quick Invoices Batch that you assigned in the Quick
Invoices Identification window.
Request ID. If you have submitted Payables Open Interface Import for this record, then
the system displays the concurrent request ID. In the Requests window, you can use the
request ID to query the status and results of the import process.
Status. The Payables Open Interface Import status of the invoice record.
•
Null. The invoice record has not been processed by import.
•
Processed. The invoice record has been successfully imported into Payables. You
can query and modify the invoice in the Invoice Workbench. The invoice is ready
for validation.
•
Rejected. The import process has rejected the invoice. Read the Payables Open
Interface Import Report or choose the Rejections button to see the reason for the
rejection. Correct the invoice in the Quick Invoices window and resubmit import.
Quick Invoices Lines Region
Use this region to enter line information for an invoice. Enter at least one invoice line
per invoice. The following fields are required in this region: Line Type and Amount.
When Payables imports the invoice record it creates one or more distributions for the
invoice based on the information you enter in this region. Payables uses distributions to
create accounting entries for invoices. An invoice can have an unlimited number of
distributions.
You can create distributions by entering lines, or you can create them automatically by
using Distribution Sets, proration of charges, or purchase order matching.
Tip: Customize your Quick Invoices folder window to hide fields for
features you don't use. This will prevent you from entering values that
3-134 Oracle Payables User's Guide
could cause rejection of the invoice during import.
1099 Type. Income tax type, for 1099 reporting purposes. If you do not use a
Distribution Set to create invoice distributions, then Payables uses the supplier site's
income tax type as the default value. If you use a Distribution Set to create invoice
distributions, then Payables uses the default income tax type from the Distribution Set
as the default value. You can enter or adjust this field regardless of whether the supplier
is defined as a 1099 supplier. Payables uses this information when you submit the 1099
Payments Report and the 1099 Form Reports. See also: 1099 Reporting Overview, page
9-25.
You can update this field of the imported invoice in the Distributions window even
after you have posted a distribution. You can use the Update Income Tax Details Utility
to make adjustments to many distributions at once. See: Update Income Tax Details
Utility and Report, page 9-11.
Account. (LOV) This value is the complete account (including balancing segment, cost
center, and account) to charge when you create accounting entries for this distribution.
Usually an expense or asset account. Do not enter a value for account if you provide
account information by using any of the following: Distribution Set, proration,
matching to a purchase order, or providing Projects information.
If you have defined a Distribution Set at the supplier site level and you do not enter
account information here, then the Distribution Set account information from the
supplier site will default to the invoice during import.
If you have Oracle Projects installed and you enter Projects information, do not enter a
value here. The Quick Invoices window will build the account for you after you save
the invoice record.
Note that if you enter values for any of the following, during import they will override
one or more segments of this account field: Overlay GL Account, Account Segment,
Cost Center Segment, Balancing Segment. See: Account Overlay in Payables Open
Interface Import, Oracle Payables Reference Guide.
Account Segment. If you want import to override the account segment of the account
for this line, then enter the overriding value. See: Account Overlay in Payables Open
Interface Import, Oracle Payables Reference Guide.
Import will reject the invoice record if you use a Skeleton Distribution Set and use the
Prorate feature for the same line.
Amount. Amount to charge to the general ledger account. If this is a foreign currency
invoice, enter the amount in foreign currency and enter exchange rate information.
Since this window does not format your amounts according to currency, be sure not to
exceed the precision of your currency. For example, if you are entering US dollars, do
not enter more than 2 numbers after the decimal. Payables does not support Extended
Precision when calculating amounts.
Balancing Segment. If you want to override the balancing segment of the account for
Invoices 3-135
this line during import, then enter the overriding value. See: Account Overlay in
Payables Open Interface Import, Oracle Payables Reference Guide.
Cost Center Segment. If you want to override the cost center of the accounting
segment of the account for this line during import, then enter the value. See: Account
Overlay in Payables Open Interface Import, Oracle Payables Reference Guide.
Description. Description of the distribution. If you do not enter a value and you match
to a purchase order, then during import, Payables assigns to the invoice the description
from the purchase order line.
Distribution Set. (LOV) Used to create invoice distributions automatically when
invoice is not matched to a purchase order or when you do not want to enter invoice
distribution information manually. If you want to use a Distribution Set, you must enter
one before you import the invoice record.
You can provide account information from only one of the following sources or the
invoice will be rejected during import: Distribution Set, purchase order, Account field,
allocation of a non-Item type line, Projects information.
Import will reject the invoice record if you use a Skeleton Distribution Set and use the
Allocate feature for the same line.
See: Account Overlay in Payables Open Interface Import, Oracle Payables Reference Guide
Final Match. You can enable this option only if the line is matched to a purchase order,
and the Allow Final Matching Payables option is enabled. For detailed information, see:
Final Matching Purchase Orders, page 3-70.
Important: Enable only if you are certain this is a final match to the
purchase order. Once you validate a final matched invoice distribution,
you cannot update the Final Match check box in the Distributions
window.
GL Date. Payables uses the GL Date as the accounting date for the invoice. The date
must be in an open or future period.
During import, Payables looks for a GL Date value to assign to the invoice distribution.
Payables assigns a value from the first source it finds, and it searches the following
sources in the following order: 1) GL Date on invoice record line, 2) GL Date on invoice
record header, 3) GL Date parameter from import submission, 4) GL Date Basis
Payables option. The following occurs if the system searches at the GL Date Basis level:
If the GL Date Basis option is set to Goods Received/Invoice Date, then Payables uses
the Goods Received Date, if it is populated. If not, then Payables uses the Invoice Date.
If the GL Date Basis option is set to Goods Received/System Date, then Payables uses
the Goods Received Date, if it is populated. If it is not, then Payables uses the system
date at time of import.
If the Use PO Encumbrance Financials option is enabled, then the date must be in the
current encumbrance year.
3-136 Oracle Payables User's Guide
Includes Tax. If the supplier site uses Line or Tax Code level automatic tax calculation,
and you are not matching to a purchase order, then you can check this check box to
indicate if a distribution amount includes a non-Use type tax (Sales, user-defined, etc.)
If you check this check box, then during Invoice Validation of the imported invoice,
Payables will use the line amount and Tax Code value to create tax distributions with
the appropriate tax codes and tax amounts. Payables then subtracts the calculated tax
from the distribution amount. For detailed information on automatic tax calculation,
see: Taxes on Invoices, page 3-190.
Income Tax Region. (LOV) Income tax region for the distribution. Do not enter a value
here unless you also enter a value for 1099 Type, or import will reject the record.
Payables orders distributions by income tax region on the 1099 Form reports. If you
enable the Combined Filing Program Payables option, when you submit the 1099
Electronic Media Report, Payables will produce K records for all tax regions
participating in the Combined Filing Program that have qualifying payments.
If you enable the Use Pay Site Tax Region option in the Payables Options window, the
default for this field during import is the supplier site's state. If you choose instead to
enter a tax region in the Income Tax Region field in the Payables Options window, the
default for this field during import is the tax region you entered. See also: 1099
Reporting Overview, page 9-25.
Line Number. Unique line number for the invoice. If no value is entered, then import
will assign numbers during import.
Match Option. This option indicates whether you are matching to a purchase order or a
receipt. Note that the match option on the purchase order shipment controls whether
you can match to receipts or purchase order.
Oracle Projects Project (LOV) /Task (LOV) /Expenditure Organization (LOV)/
Expenditure Type (LOV). If Oracle Projects is installed, enter values in these fields to
associate an invoice with a project.
Note: The values that you enter for Project, Task, and Expenditure
Organization correspond to internal IDs in the Payables Open Interface
tables. For example, the Project value that you select from the list of
values corresponds to the Project ID in the
AP_INVOICE_LINES_INTERFACE table.
The information you enter creates an account that defaults to the invoice distribution.
You can override this project information in the Distributions window, after you import
the invoice.
Note: If you enter project information, you must enter a value for Task
unless you have matched to a purchase order with project information
with a null task ID. A purchase order can have a null task ID only if its
destination is Inventory or Shop Floor. If the destination is Inventory or
Shop Floor, the project information is used by Project Manufacturing.
Invoices 3-137
Overlay GL Account. Enter a value if you want to replace any or all segments of the
complete account (for example, balancing segment, cost center, and account) for this
line. If you enter a value here, it will replace any account created from a Distribution
Set, purchase order matching, prorating non-Item type lines, or entering Projects
information. You must use the account flexfield structure of your organization. See:
Account Overlay in Payables Open Interface Import, Oracle Payables Reference Guide.
If you match to a purchase order distribution (or a purchase order shipment with one
distinct account), then after you save the record, the Quick Invoices will display the
purchase order distribution account in this field. You can overwrite that value and
perform the match with the new value you enter.
If you are matching, the Payables option Allow Matching Account Override must be
enabled.
PO Item Description. (LOV) To match to a purchase order line with a unique item
description, enter the item description exactly as it appears on the purchase order. If the
purchase order has more than one line with the same item description, then the invoice
record will be rejected.
PO Distribution Number. (LOV) If you want to match an Item type invoice line to a
purchase order distribution, then enter the purchase order distribution number.
PO Line Number. (LOV) If you want to match an Item type invoice line to a purchase
order line, then enter the purchase order line number.
PO Number. (LOV) To match an Item type invoice line to a purchase order for the same
supplier site, enter the purchase order number. You must specify the PO Number if you
want to match in greater detail to a purchase order shipment, line, or distribution. If
you are matching to a receipt, you can enter a value here to limit the list of values for
the receipt. If you enter both PO Number and Receipt Number, then the match will be
to the receipt only. Note that the match option on the purchase order shipment controls
whether you can match to receipts or purchase order.
PO Shipment Num. (LOV) If you want to match an Item type invoice line to a
purchase order shipment, then enter the purchase order shipment number.
PO Unit of Measure. (LOV) If you are matching an Item type invoice line to a purchase
order item, you can specify the item by entering a unit of measure. For example, each,
square feet, or months. This value is not required, but may be helpful during purchase
order matching.
PO Unit Price. If you are matching an Item type invoice line to a purchase order
distribution, then enter a value for either PO Unit Price or Quantity Invoiced. If you are
performing a price correction, enter the incremental amount of the price correction in
this field. During import, Payables calculates the value you do not enter (Quantity
Invoiced x Unit Price = Match Amount).
Price Correction. You use a price correction when a supplier sends you an invoice for a
change in unit price. You can record a price correction when you match a Credit or
Standard invoice to a purchase order. Adjust the invoiced unit price of a previously
matched purchase order shipment by matching a price correction to it.
3-138 Oracle Payables User's Guide
To record a price increase, match a Standard invoice record to a purchase order
shipment or distribution. To record a price decrease, match a Credit invoice record to a
purchase order shipment or distribution. Check the price correction check box, and
enter the Unit Price for the incremental amount of the price correction. Enter either
Quantity Invoiced or Match Amount. Payables will calculate the remaining field
(Quantity Invoiced x Unit Price = Match Amount).
The purchase order matched negative billing Invoice created through Quick Invoice are
not reflected in further quantity correction. The Quick Invoice window can only be used
for Price correction and not the Quantity correction.
Tip: We strongly recommend that you use the Invoice Workbench,
rather than the Quick Invoices window to enter price corrections in this
version of Payables. Entering in the Invoice Workbench allows you to
specify more detailed information, so Invoice Validation can properly
validate that the price is within the appropriate tolerance.
Projects Quantity. Enter a value if you have installed Oracle Projects and you want to
record a project quantity for the distributions that import creates from this line.
Prorate Across. Enable this check box to prorate tax, freight, or miscellaneous charges
across lines with the same Prorate Group. Or, if you do not assign a Prorate Group, then
Payables will prorate the cost to all lines during import. Payables prorates only Tax,
Freight, or Miscellaneous lines. Do not enable this check box if the line is purchase order
matched or if you are automatically calculating tax.
For other line in the prorate group, import creates a charge distribution and records the
allocation. The new charge distribution has the same GL account as the line to which
you allocate it. After Payables creates the distribution you can update the account any
time before the invoice is accounted.
Prorate Group. If you want to prorate a charge to a group of lines, enter the same value
to identify the Item lines in the group and the non-Item line you are allocating. For
example, if you want to allocate tax to two Item lines, then enter the same line group
number for the two Item lines and the Tax line. If you do not assign Prorate Groups,
and you use the Prorate Across check box for a non-Item line, then Payables will
allocate the cost to all lines during import. This functionality works only when it is used
along with Prorate Across.check box is selected.
Quantity Invoiced. Quantity Billed value you enter during a purchase order match. If
you are matching an Item type line to a purchase order distribution, then enter a value
for either Quantity Invoiced or Unit Price. During import, Payables calculates the value
you do not enter (Quantity Invoiced x PO Unit Price = Amount). If the distribution is
not matched to a purchase order distribution, Payables leaves the field blank. If this is a
price correction, this value will be zero.
Receipt Num. (LOV) If you want to match the line to a receipt, then enter the receipt
number. The list of values for this field can be limited by values you enter in other fields
such as PO Number. The list of values for this field gives additional information, such
Invoices 3-139
as the packing slip number to help you select the correct line. Note that the Quantity in
the list of values is the original quantity on the receipt, not the adjusted quantity.
Receipt Line Number. If you want to match the line to a receipt, then enter a Receipt
Number and receipt line number. To ensure that you are matching to the correct receipt,
you should also enter: PO Number, PO Line Number, and PO Shipment Number.
Recoverable. This check box indicates that the amount of a tax line is recoverable.
Recovery Rate. If you record recoverable tax, this is the rate at which tax is recoverable
for this line.
Ship-To Location. If you want to match an Item type invoice line to a purchase order
shipment, enter a value if exactly one shipment on the purchase order has the Ship-To
location you specify. Or you can match to a purchase order shipment by entering a
value for PO Shipment Num.
Statistical Quantity. Statistical quantity based on the unit of measure. For example, if
your unit of measure is barrels, you can enter the number of barrels here.
Track as Asset. If you enable this check box, Payables transfers this distribution to
Oracle Assets when you submit the Create Mass Additions for Oracle Assets Program.
You can then create assets in Oracle Assets from the imported distribution information.
If the distribution has an asset account, Payables enables this option during import and
you cannot adjust it. If the account is an expense account, Payables does not enable the
check box, but you can enable it in at anytime before the invoice accounting entries are
transferred to general ledger. For more information see: Assets Integration, page 3-284.
Transaction Code. USSGL Transaction Code. Payables Open Interface Import imports
any USSGL information that you load into the interface tables and assigns the
information to the invoices it creates.
Type. (LOV) Line Type is a required field. Valid line type values in this window are:
Item, Tax, Freight, or Miscellaneous. Payables uses Type to differentiate between item,
tax, freight, and miscellaneous charges. You can include purchase order information for
a line only if the type is Item.
During import, Payables may create more than one distribution for each line and the
distribution types may not match the line type you enter here. For example, if you enter
a tax inclusive item line, during import, Payables will create an Item and a Tax
distribution.
•
Item. Standard item such as goods or services.
•
Freight. Freight amount. For detailed information see: Entering Freight on Invoices,
page 3-14.
•
Tax. Tax amount. For detailed information on entering tax Type distributions,
see:Taxes on Invoices, page 3-190.
•
Miscellaneous.
3-140 Oracle Payables User's Guide
Withholding Tax Group. (LOV) Withholding Tax Group for the line. Enter a value if
you want to apply multiple withholding taxes to this invoice line. If you do not enter a
value, then during import, Payables will default the invoice header withholding tax
group, if you entered one. For more information, see: Withholding Tax Groups, Oracle
Payables Implementation Guide.
[ ] (Descriptive Flexfield). You use descriptive flexfields to record custom data. The
flexfield you use in this window will provide values to the invoice descriptive flexfield
in Payables. Therefore, the structure of the information you enter in these columns
(datatypes, value sets) must match the structure of the Descriptive Flexfield segments
you have defined in the Invoices window or you will experience validation problems
when you try to access this information in the Invoice Workbench.
[ ] (Localization Descriptive Flexfield). If you are using a localization, you must enter
appropriate values in this flexfield or the invoice will be rejected. For more information
see your localization guide.
Display Only Region
Buttons
Rejections. Choose this button to navigate to the Quick Invoices Rejections window.
This window displays for the current record the reason that the record was rejected
during its last submission to Payables Open Interface Import. This is the same rejection
that appears on the Payables Open Interface Import Report. For more information on
the rejection, see: Payables Open Interface Import Report, page 3-153.
Create Invoices. Choose this button to open the Create Invoices window. You can use
this window to submit import which will validate your invoice records and create
invoices from them. For more information see: Creating Invoices from Quick Invoices
Invoice Records, page 3-125.
Save and Next. Save the data and move to the next invoice.
Related Topics
Quick Invoices, page 3-113
Quick Invoices Identification Window Reference, page 3-126
Distribution Sets, Oracle Payables Implementation Guide
Entering Foreign Currency Invoices, page 3-96
Entering Invoices for Suppliers Subject to Income Tax Reporting Requirements, page 3100
Entering Project Related Invoices and Distributions, page 3-289
Taxes on Invoices, page 3-190
Invoices 3-141
Payables Open Interface Import
You can use the Payables Open Interface Import program to create Payables invoices
from invoice data in the Payables Open Interface tables. You can populate the Payables
Open Interface tables with invoice data from the following sources:
•
Quick Invoices. You can enter Standard and Credit invoices in the Quick Invoices
window.
•
Supplier invoices (ASC X12 810/EDIFACT INVOIC) transferred through Oracle
e-Commerce Gateway.
•
Supplier invoices transferred through the Oracle XML Gateway. See: Oracle XML
Gateway, Oracle Payables Implementation Guide.
•
Invoices you load from other accounting systems with a custom SQL*Loader
program. See: Using SQL*Loader to Populate the Payables Open Interface Tables,
Oracle Payables Implementation Guide.
•
Credit card transactions you have transferred using the Create Procurement Card
Issuer Invoice. See: Create Procurement Card Issuer Invoice, page 4-27.
•
Lease invoices you have transferred from Oracle Property Manager. See: Property
Manager Integration, page 3-307.
•
Lease payments you have transferred from Oracle Assets. See: Assets Integration,
page 3-284.
When the Payables Open Interface Import program is run, if the invoice has deferred
period type or deferred period number populated, then the invoice is rejected
immediately.
Note: Use Expense Report Export to export expense report data from
Oracle Internet Expenses into Payables. See: Expense Report Export
Program, page 4-11.
This section includes the following topics:
•
Submitting the Payables Open Interface Import Program, page 3-143
•
Payables Open Interface Troubleshooting, page 3-150
•
Open Interface Invoices Window, page 3-151
•
Payables Open Interface Purge Program, page 3-151
3-142 Oracle Payables User's Guide
•
Payables Open Interface Outbound Advice, page 3-152
•
Payables Open Interface Workflow, Oracle Payables Implementation Guide
•
Payables Open Interface Import Report, page 3-153
Related Topics
Payables Open Interface Tables, Oracle Payables Reference Guide
Submitting the Payables Open Interface Import Program
Use Payables Open Interface Import to create invoices from invoice records in the
Payables Open Interface tables. During the import, the program checks the supplier site
to determine which invoice tolerance template to use when checking invoices with a
source of Oracle e-Commerce Gateway. If no value for the Invoice Tolerances field is
found at the site level then tolerance checking is not performed. Otherwise, the
tolerances defined at the site level at import time will be used. The import program
checks the specific invoice tolerance template stored in the Invoice Tolerances window
to determine if the invoice falls within the defined tolerances. Payables validates invoice
records and rejects invoice records that have insufficient or invalid data. Successfully
imported invoices have distributions and scheduled payments, and can be queried,
modified and validated in the Invoice Workbench.
Tip: Set up your system to submit Payables Open Interface Import after
each business day so you don't use system resources while users are
online.
Invoices 3-143
For a text description of the previous graphic, see: Payables Open Interface Import
Graphic, page D-3.
Importing e-Commerce Gateway Invoice Records
If you are importing invoices through the Oracle e-Commerce Gateway, you can submit
the e-Commerce Invoice Inbound set. This program set submits both the e-Commerce
Gateway Program, which populates the Payables Open Interface Tables with the
electronic invoice records your supplier provides, and the Payables Open Interface
Import Program, which transfers the invoice data from the interface tables into the
invoice tables in Payables. To submit the e-Commerce Invoice Inbound transaction, see:
Running the e-Commerce Invoice Inbound Program (Oracle e-Commerce Gateway User's
Guide). The discussion below describes how you can submit the Payables Open
Interface Program separately. You may need to submit Payables Open Interface Import
separately if you have had rejections that you have fixed and want to import corrected
e-Commerce invoice records.
Payables supports the outbound application advice (824/APERAK) for e-Commerce
invoices. When you submit the Payables Open Interface Outbound Advice, Payables
creates a notification for invoices that were successfully imported and those that failed
import, and you can send this notification to your e-Commerce trading partners via the
3-144 Oracle Payables User's Guide
e-Commerce Gateway.
Importing XML Invoice Records
If your supplier is transmitting invoices through the XML Gateway, you can submit the
P2P Inbound Process Request set. This request set populates the Payables Open
Interface Tables with electronic invoice records from your supplier. It then submits the
Payables Open Interface Import Program that transfers invoice data from the interface
tables into the invoice tables in Payables.
Important: The Payables Open Interface Import Program needs to be
run for each operating unit if you have a multi-org implementation.
The request set then submits the Payables Validation and Accounting processes and
automatically generates an output file of supplier invoice rejections that is sent to a
Confirmation User Email id that is specified in the Define Bank window. This output
file includes the number of invoices that had holds applied during Invoice Validation
and any invoices that are not included in the accounting process. You need to resolve all
issues and then validate any corrected invoices before they can be selected for payment.
Additionally, data problems that your system administrator needs to address will be
automatically sent to an AP Administrator Email id that is defined in the Define Bank
window.
You may need to submit Payables Open Interface Import separately if you have had
rejections that you have fixed and want to import corrected XML Gateway invoice
records.
Importing Quick Invoices Records
When you enter invoice records in the Quick Invoices window, you can choose the
Create Invoices button to submit the Payables Open Interface Import program from the
Create Invoices window. Alternatively, you can submit the import program from the
Submit Request window, as described below.
Prerequisites
•
Enter suppliers and at least one supplier pay site in the Payables Suppliers window.
See: Entering Suppliers, page 2-11.
•
If you use Payables Open Interface Workflow, Workflow has completed processing
records.
Note: If you want Payables to import Quick Invoices invoice
records, import will select these records for import even if Payables
Open Interface workflow has not yet processed them.
Invoices 3-145
Additional Prerequisites for e-Commerce (810/INVOIC) Invoices
•
In e-Commerce Gateway, define the trading partner. See:Defining Trading Partner
Information (Oracle e-Commerce Gateway User's Guide).
•
In Oracle e-Commerce Gateway, enable the Inbound Invoice Transaction for each
supplier you define as a trading partner. See: Enabling Electronic Transactions (Oracle
e-Commerce Gateway User's Guide).
•
In Oracle e-Commerce Gateway, define any code conversions for the transaction.
See : Defining Code Conversion Categories and Assigning Categories, Overview of Code
Conversion, Defining Code Conversion Categories, Assigning Code Conversion Cross
Reference Categories, and Defining Code Conversion Cross Reference Values (Oracle
e-Commerce Gateway User's Guide). .
•
Use Oracle e-Commerce Gateway to submit the e-Commerce Gateway Invoice
Inbound Program from the Run e-Commerce Inbound Datafile Import Process
window. See: Running the e-Commerce Invoice Inbound Program (Oracle e-Commerce
Gateway User's Guide).
Additional Prerequisites for XML Gateway Invoices
•
In e-Commerce Gateway, define the trading partner. See: Defining Trading Partner
Information (Oracle e-Commerce Gateway User's Guide).
•
All invoice lines passed by the XML Gateway must be of Item, Freight, or Tax types.
For any Tax type lines, the account on the line must be derived from the account set
up on the Tax Code. For any Freight type lines, the account on the line must be
derived from the freight account set up in Payables Options
•
The Payables Open Interface Import must be run for each operating unit that
receives invoices.
Additional Prerequisites for Invoices You Transfer Using SQL*Loader
•
Use the Oracle Payables Lookups window to define a Source type lookup. In the
Type field of the Oracle Payables Lookups window, select Source. Enter any name
in the Name field, except an existing source. See: Lookups, Oracle Payables
Implementation Guide.
•
Transfer invoices into the Payables Open Interface tables. See: Using SQL*Loader to
Populate the Payables Open Interface table, Oracle Payables Implementation Guide.
Additional Prerequisites for Invoices You Transfer Using the Create Procurement
Card Issuer Invoice
•
Transfer invoices into the Payables Open Interface tables. See: Create Procurement
Card Issuer Invoice, page 4-27.
Additional Prerequisites for Invoices You Transfer from Oracle Property Manager
3-146 Oracle Payables User's Guide
•
Transfer lease invoices into the Payables Open Interface tables using the Export
Payments to Payables window in Oracle Property Manager.
Additional Prerequisites for Invoices You Transfer from Oracle Assets
•
Transfer lease payments into the Payables Open Interface tables using the Export
Payments to Payables window in Oracle Assets.
To submit Payables Open Interface Import:
1.
In the Submit Request window, choose Request in the Type field. In the Name field,
enter Payables Open Interface Import.
2.
Enter the report parameters as appropriate. For more information on report
parameters, see Payables Open Interface Import Parameters, page 3-148. In the
Source field, select the source name from the list of values.
If your records have a Group and you want to import invoices for a single group,
enter the Group. This allows you to import smaller sets of records concurrently for
the same source, which improves your performance. If you are importing invoice
records that you entered in the Quick Invoices window, enter the Quick Invoices
Batch Name as the Group.
To use invoice batch control, enter an Invoice Batch Name.
To apply a hold to each invoice this process creates, enter a Hold Name.
To summarize the Audit section of the Payables Open Interface Import report,
select the Summarize Report option. If you do not select this option and you are
importing many invoices, this report could be very long.
3.
Choose OK to save the parameters. Choose Submit to submit Payables Open
Interface Import.
When the program is complete, you can query the new invoices in the Invoice
Workbench. The new invoices are ready for validation.
Payables automatically produces a report so that you can review the invoices
Payables Open Interface Import successfully created, and those that could not be
imported. See: Payables Open Interface Import Report, page 3-153
Fix problems that are identified in the report, and then resubmit Payables Open
Interface Import.
When your Supplier Site Contact open interface import is rejected because of
duplicate site codes, then use the vendor-site-id to attach a contact to the supplier
site. If you are sure that your supplier-site-code is unique, then you can use the site
code.
•
If you entered invoice records in the Quick Invoices window, update the
records in the Quick Invoices window.
Invoices 3-147
•
To update all other types of invoice records, either use the Open Interface
Invoices window to make changes in the Payables Open Interface tables, or
purge the rejected records and load a new flat file into the interface table.
Related Topics
Payables Open Interface Import, page 3-142
Payables Options, Oracle Payables Implementation Guide
Defining Financials Options, Oracle Payables Implementation Guide
Payables Open Interface Import Troubleshooting, page 3-150
Account Overlay in Payables Open Interface Import, Oracle Payables Reference Guide
Payables Open Interface Import Parameters
Source. Choose the source of the invoices from the list of values.
•
Quick Invoices. Invoice records you entered in the Quick Invoices window. If you
did not specify a source when you entered the invoice records then Quick Invoices
was automatically entered as the Source for all invoice records during entry.
•
Oracle e-Commerce Gateway. Supplier invoices (ASC X12 810/EDIFACT INVOIC)
transferred through Oracle e-Commerce Gateway.
•
Oracle XML Gateway. Supplier invoices transferred through the Oracle XML
Gateway.
•
Procurement Card. Procurement card transactions from the procurement card
issuer.
•
Oracle Property Manager. Lease invoices from Oracle Property Manager.
•
Oracle Assets. Lease payments from Oracle Assets.
•
User-defined. Invoices you load from other accounting systems using a custom
SQL*Loader program. You define Source type lookups in the Oracle Payables
Lookups window.
Group. To limit the import to invoices with a particular Group ID, enter the Group ID.
The Group must exactly match the GROUP_ID in the Payables Open Interface tables.
You can import data in concurrent processes for the same source by specifying a unique
Group for each request. This reduces the processing time of your import. Payables
Open Interface Import imports data with the source and group combination you
specify.
If you are importing invoice records from the Quick Invoices window, enter the Quick
Invoices Batch name. If you did not enter a value for Quick Invoices Batch name during
3-148 Oracle Payables User's Guide
entry, then no value was assigned to Quick Invoices Batch Name (GROUP_ID). If you
do not specify a Group during import, Payables imports invoice records for all Quick
Invoices batches that match the Source name you specify.
Invoice Batch Name. You can enter a batch name only if you have enabled the AP: Use
Invoice Batch Controls profile option. Payables groups the invoices created from the
invoice records you import and creates an invoice batch with the batch name you enter.
If you use a batch name and some invoices are rejected during the import process, you
can import the corrected invoices into the same batch if you enter the exact Invoice
Batch Name during the subsequent import.
If you are importing invoice records that you entered in the Quick Invoices window,
you may want to enter the Quick Invoices Batch name for consistency.
If the AP: Use Invoice Batch Controls profile option is enabled and if you provide no
value for this parameter then the system provides a value for you. The value the system
provides is the concatenation of the Source and a unique sequential number. For
example, ERS: 1234.
Hold Name. If you want to apply a hold to all invoices that the invoice process creates,
enter an invoice hold name. You can define your own holds in the Invoice Hold and
Release Names window.
Hold Reason. Payables displays the invoice hold reason description.
GL Date: To assign a GL Date to any invoice in the batch that does not already have a
GL Date at the line or header level, enter a value for the GL Date parameter. If you do
not enter a value here, or at the line or header level, then during import the system
assigns a GL Date based on the GL Date Basis Payables option.
Important: If you are using encumbrance accounting, you must enter a
GL Date in a period that is within the latest open encumbrance year.
See also: Budgetary Control In Payables, page 10-26.
Purge. Enter Yes if you want Payables to delete from the Payables Open Interface tables
all successfully imported invoice records that match the Source and Group ID of this
import. Payables does not delete any invoice data for which it has not yet created
invoices. If you want to purge later, you can use the Payables Open Interface Purge
Program.
Summarize Report. If you want to summarize the audit portion of the Payables Open
Interface Import Report, enter Yes. If you do not select this option and you are
importing a large number of invoice records, this report could be very long.
Related Topics
Payables Open Interface Import, page 3-142
Invoices 3-149
Payables Open Interface Import Troubleshooting
You may experience two types of errors while trying to import invoices: incorrect data
or program failure.
Incorrect Data
The Payables Open Interface Import Report lists invoices that were not imported
correctly. If a problem exists at the invoice level, the invoice is rejected without further
validation. Examples of these fatal errors are:
•
No supplier or supplier site
•
Duplicate invoice number
If the invoice level information is correct, Payables validates all values at the line level,
and the rejections report lists all line level problems. If a distribution is rejected, the
whole invoice is rejected. An example of this type of error is:
•
Using a distribution set with a line type setting other than Item.
Correct the data in one of the following ways:
•
If you entered invoice records in the Quick Invoices window, update the records in
the Quick Invoices window.
•
Use the Open Interface Invoices window to correct problems directly in the
Payables Open Interface tables for invoice records entered in any way other than
Quick Invoices (for example, electronic payments received through the e-Commerce
Gateway or XML Gateway).
•
Submit Purge Payables Open Interface to purge the rejected records from the
Payables Open Interface tables, then import corrected data for the rejected records
into the tables.
Program Errors
If a failure occurs in the e-Commerce Gateway Program or the Payables Open Interface
Import program, you can query the program in the Requests window. Read about
errors in the log file.
Payables Open Interface Import commits in cycles of 1000. For example, if an error stops
the import program when it is validating the 350th invoice record, the system will have
already committed the first 300 invoices.
Related Topics
Payables Open Interface Import, page 3-142
3-150 Oracle Payables User's Guide
Open Interface Invoices Window
Use this window to update records in the Payables Open Interface tables. Note that this
window performs no validation. The field names in this window correspond to the
table columns. For detailed descriptions of the columns in the interface, see: Payables
Open Interface Tables, Oracle Payables Reference Guide.
The Open Interface Invoices window now contains four additional fields, Remit To
Supplier Name, Remit To Supplier ID, Remit To Supplier Site Code, and Remit To
Supplier Site ID to use with Third Party payment.
The Open Interface Invoice window includes Original Invoice Amount and Dispute
Reason options for Dispute Resolution functionality. These fields are hidden. Use Show
Fields folder option to display these fields.
Changes to the Payables Open Interface Import Program
Payables Open Interface Import API imports Invoices from external sources including
invoices from OTM. Two new fields, Original Invoice Amount and Dispute Reason, are
added. The API for Payables Open Interface Import is enhanced to capture and process
the values introduced for the Dispute Resolution functionality.
Important: We recommend that you use the Quick Invoices window to
update any invoice records you entered in the Quick Invoices window.
Related Topics
Payables Open Interface Import, page 3-142
Payables Open Interface Purge Program
Use the Payables Open Interface Purge Program after you submit the Payables Open
Interface Import program. This program purges records from the Payables Open
Interface tables (AP_INVOICES_INTERFACE and AP_INVOICE_LINES_INTERFACE).
Purge only invoices that you successfully imported, or enter Yes for Purge All to purge
all records in the table that match the Source and Group program parameters you enter.
Report Submission
You submit this program from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Selected Report Parameters
Source. Choose the source of the invoices you want to purge from the list of values. Use
e-Commerce Gateway, Credit Cards, Quick Invoices, Oracle Property Manager, or a
Source type lookup you defined in the Oracle Payables Lookups window. The source
must exactly match the Source in the Payables Open Interface tables. This parameter is
Invoices 3-151
required.
Group. (Optional) To limit the purge to invoices with a particular group, enter the
GROUP_ID. If you entered the invoices in the Quick Invoices window, enter the Quick
Invoices Batch name. The Group must exactly match the value in the GROUP_ID
column in the Payables Open Interface tables. You can purge data in concurrent
processes for the same source by specifying a unique Group for each request. This
reduces purge process time. The Payables Open Interface Purge Program purges data
with the Source and Group combination you specify.
Purge All. Enter Yes to purge all records in the Payables Open Interface tables that
match the Source and Group you enter above. These records include successfully
imported records, records rejected during import, and records that you have not tried to
import yet. Enter No to purge only records that have been successfully imported.
Related Topics
Payables Open Interface Import, page 3-142
Payables Open Interface Outbound Advice
This program creates notification data about e-Commerce invoices processed during
Payables Open Interface Import.
If you choose either the Rejected or All parameter, the advice includes the same
exceptions that are identified on the Payables Open Interface Import Report, page 3-153.
You can send this notification to your supplier via the e-Commerce Gateway. See:
Outbound Application Advice (824/APERAK) (Oracle e-Commerce Gateway
Implementation Manual).
Program Submission
You submit this program from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Selected Program Parameters
Source. Choose e-Commerce Gateway because you are creating a notification about
e-Commerce Gateway transactions.
Group. (Optional) Choose the Group of the invoices for which you want to submit this
report.
Status.
•
Accepted. Limit the program to successfully imported invoices.
•
Rejected. Limit the program to invoices that failed import.
•
All. Submit the program for both Accepted and Rejected invoices.
3-152 Oracle Payables User's Guide
Related Topics
Payables Open Interface Import, page 3-142
Payables Open Interface Import Report
Use this report to review detailed information for each invoice Payables imports during
Payables Open Interface Import. The report has two sections, the Payables Open
Interface Audit Report and the Payables Open Interface Rejections report.
The Audit section lists the invoices that Payables has successfully imported. If you
choose to summarize the report when you import, then the Audit section will list only
the number of invoices selected for import, and the number of successfully imported
invoices.
The Rejections section lists invoices that Payables was not able to import and lists the
rejection reasons.
If the import program finds a reason to reject the invoice record at the invoice header
level, it will record that reason on the report and will not process the invoice record
further. Therefore, even if the invoice record has more than one error, the report may
list only the first error the import program finds.
Report Submission
Payables automatically generates this report when you submit the Payables Open
Interface Import process. See: Payables Open Interface Import Program, page 4-11.
Report Headings
Source. The source of the invoices you entered as a parameter when you submitted the
report.
•
e-Commerce Gateway. Flat file sent electronically from your supplier and
processed through Oracle e-Commerce Gateway.
•
XML Gateway. XML invoices sent electronically from your supplier and processed
through the Oracle XML Gateway.
•
Quick Invoices. Invoice record you entered in the Quick Invoices window.
•
User-defined source. Lookup value with Source type you define for invoices
loaded into the open interface tables using SQL*Loader or the Quick Invoices
window.
•
Credit Card. A credit card transaction you transferred to the Payables Open
Interface tables using the Create Procurement Card Issuer Invoice.
•
Oracle Property Manager. Lease invoices you transferred from Oracle Property
Invoices 3-153
Manager.
•
Oracle Assets. Lease payments you transferred from Oracle Assets.
•
ERS. Evaluated Receipt Settlement. Payables uses this source name to automatically
create invoices from receipts.
•
RTS. Return to Supplier. Debit memos automatically created by Payables from
Purchasing returns.
Group/Invoice Batch Name/GL Date/Purge/Summarize Report. Payables displays the
values you entered for these parameters when you submitted Payables Open Interface
Import.
Batch Name. Payables displays the value you entered when you submitted Payables
Open Interface Import. If you didn't enter a value and you use batch control then the
system assigns a value for you by concatenating the source with a unique sequential
number. For example, ERS: 1234.
Hold Name. If you entered a Hold Name parameter when you submitted Open
Interface Import, Payables prints the Hold that was applied to the invoices.
Hold Reason. If you entered a Hold Name parameter when you submitted Open
Interface Import, Payables prints the Hold Reason for the Hold.
Payables Open Interface Audit Report -- Selected Report Headings
Invoice Number/Date/Currency/Amount. Number, date, currency, and amount of the
invoice Payables created during Payables Open Interface Import.
Dist Number. Number assigned to the invoice distribution.
Dist Amount. Amount of the invoice distribution.
Accounting Date. GL Date for the invoice.
Total Invoices Imported. Total number of invoices that the Payables Open Interface
Import Program imported.
Total Functional Currency Invoice Amount. Sum of all invoices displayed in your
functional currency.
Payables Open Interface Rejections Report -- Selected Report Headings
Invoice Number. Payables prints the number of the invoice that could not be imported.
Invoice Level/Line Number. The report prints Invoice if the problem is at the invoice
level. If the problem is with a line of the invoice, the report prints the line number.
Total Invoices Rejected. Total number of invoices that the Payables Open Interface
Import Program rejected.
Reason/Description. The report lists the reason the invoice could not be imported and
3-154 Oracle Payables User's Guide
prints a brief explanation of the problem.
•
Account Required. Accounting information is missing for this line.
•
Acct Date Beyond Enc Year. Accounting date (ACCOUNTING_DATE) is beyond
the encumbrance year and the Use PO Encumbrance Financials option is enabled.
•
Acct Date Not In Open Pd. Accounting date (ACCOUNTING_DATE) is not in an
open period.
•
Amount Billed Would Be Below Zero. This transaction would reduce the amount
billed on the purchase order to below zero.
•
Amount Unpaid Too Small. The prepayment amount that you are trying to apply
(PREPAY_APPLY_AMOUNT) exceeds the invoice amount.
Note: For invoices that include prepayments (that is, the invoice
amount has already been reduced by the amount of the
prepayment) the prepayment amount cannot exceed the unpaid
invoice amount.
•
Applying More Than Avail. You are applying a prepayment to the invoice and the
amount you are applying is greater than the prepayment amount available for
application. You can see a prepayment's available amount in the Amount
Remaining field of the invoices window, or on the Prepayments Status Report. See:
Prepayments Status Report, page 9-82.
•
Can Match To Only 1 Line. You tried to match to a purchase order line by
providing a value for ITEM_DESCRIPTION or INVENTORY_ITEM_ID, and the
purchase order has more than one line that matches the item. Enter a value for
either PO_LINE_NUMBER or PO_LINE_ID instead.
Or, your value in VENDOR_ITEM_NUM is the only purchase order-related
column, with a value and multiple purchase order lines exist with this value.
Or, the combination of VENDOR_ITEM_NUM and the entered
INVENTORY_ITEM_ID exist on multiple purchase order lines, but no single
purchase order line can be determined.
•
Cannot Apply Zero or Neg. You cannot enter a value for the prepayment
application amount (PREPAY_APPLY_AMOUNT) that is either zero or a negative
number.
•
Cannot Apply/Unapply Zero. The prepayment application amount
(PREPAY_APPLY_AMOUNT) was a nonzero number that, when rounded based
on the currency code of the prepayment, became zero. You cannot apply a zero
amount prepayment.
Invoices 3-155
•
Cannot Incl Tax. You have matched this invoice line to a purchase order, and you
have provided a value for Amount Includes Tax. Purchase order lines do not
include tax so you cannot include tax.
•
Can't Prorate to Zero. You cannot prorate across lines that sum to zero.
•
Different Match Options. You matched to a purchase order line, and the
shipments have different match options (purchase order and receipt).
•
Doc Cat not Req. The Sequential Numbering profile option is set to "Not Used",
and you have entered a value for DOC_CATEGORY_CODE.
•
Dupl Inv Num In Import. Duplicate invoice number for this supplier already exists
in this import.
•
Duplicate Invoice Number. Invoice number for this supplier already exists in
Payables.
•
Duplicate Line Number. Duplicate values for an invoice line number
(LINE_NUMBER) exist for this invoice.
•
Duplicate Voucher. You attempted to assign a voucher number to an invoice and
another invoice already exists with the same voucher number.
•
GLOBAL_ATTR_Value_Found. You have installed a localized version of Payables
and you provided an invalid value in the GLOBAL_ATTRIBUTE_CATEGORY
column.
•
Inactive AWT Group. Inactive automatic withholding tax group
(AWT_GROUP_ID or AWT_GROUP_NAME).
•
Inactive Currency Code. Inactive currency code (INVOICE_CURRENCY_CODE).
•
Inactive Distribution Set. Inactive distribution set (DISTRIBUTION_SET_ID or
DISTRIBUTION_SET_NAME).
•
Inactive Pay Curr Code. Inactive payment currency code
(PAYMENT_CURRENCY_CODE).
•
Inactive PO Num. Inactive purchase order number (PO_NUMBER).
•
Inactive Terms. Inactive payment terms (TERMS_ID or TERMS_NAME).
•
Inconsistent Allocation Information. You cannotallocate charge lines on an invoice
to both receipts and to items on that invoice.
•
Inconsistent AWT Group. Values exist forAutomatic Tax Withholding group in the
following columns, and the groups do not match: (AWT_GROUP_ID) and
3-156 Oracle Payables User's Guide
(AWT_GROUP_NAME).
•
Inconsistent Curr. You tried to match an invoice record to a purchase order that
has a different currency. Invoice and purchase order currency must be the same.
•
Inconsistent Dist Acct. Values exist for distribution account in the following
columns and the accounts do not match: (DIST_CODE_CONCATENATED) and
(DIST_CODE_COMBINATION_ID).
•
Inconsistent Dist Info. You can provide account information by using only one of
the following sources: account, Distribution Set, proration, projects information,
purchase order matching.
•
Inconsistent Dist Set. Values exist for distribution set in the following columns
and the distribution sets do not match: (DISTRIBUTION_SET_ID) and
(DISTRIBUTION_SET_NAME).
•
Inconsistent Exch Rate Info. Values exist for both EXCHANGE_RATE and
NO_XRATE_BASE_INFO. You can enter a value for only one of these two columns.
Payables calculates one of these two values based on the other value and the
INVOICE_AMOUNT. Delete one of the values depending on your system setup
and which column value you want Payables to calculate.
•
Inconsistent Info Entered. Your Use Multiple Currencies Payables option is not
enabled and you have entered a currency that is not your Functional currency.
•
Inconsistent Inv Type/Amt. Invoice type lookup code and invoice amount are
inconsistent. For example, you enter a Credit invoice with a positive value for the
invoice amount.
•
Inconsistent PO Dist Info. Values exist for purchase order distribution
information in the following columns, and the information does not match:
(PO_DISTRIBUTION_ID) and (PO_DISTRIBUTION_NUM).
•
Inconsistent PO Info. Values exist for purchase order information in the following
columns, and the information does not match: (PO_HEADER_ID) and
(PO_NUMBER).
•
Inconsistent PO Line Info. Values exist for purchase order line information in at
least one of the following combinations of columns and the information does not
match:
•
PO_LINE_ID and PO_LINE_NUMBER do not match.
•
VENDOR_ITEM_NUM and INVENTORY_ITEM_ID do not match.
•
VENDOR_ITEM_NUM and PO_LINE_ID do not match.
Invoices 3-157
•
VENDOR_ITEM_NUM and PO_LINE_NUMBER do not match.
•
Inconsistent PO Shipment. Values exist for purchase order shipment information
in the following columns, and the information does not match:
(PO_LINE_LOCATION_ID) and (PO_SHIPMENT_NUM).
•
Inconsistent PO Supplier. The value you provided for supplier does not match the
supplier on the purchase order.
•
Inconsistent Rate. Exchange rate type and exchange rate date do not match the
exchange rate.
•
Inconsistent Receipt Information. The RCV_TRANSACTION_ID you provided is
not a valid value for the RECEIPT_NUMBER you provided.
•
Inconsistent Release Info. You have provided values for both PO_RELEASE_ID
and RELEASE_NUM and they do not match.
•
Inconsistent Suppl Site. Values exist for supplier site in the following columns and
the sites do not match: (VENDOR_SITE_ID) and (VENDOR_SITE_CODE).
•
Inconsistent Supplier. Values exist for supplier in the following columns, and the
suppliers do not match: VENDOR_ID, VENDOR_NUM, VENDOR_NAME.
•
Inconsistent Terms Info. Values exist for terms information in the following
columns and the information does not match: (TERMS_ID) and (TERMS_NAME).
Or the invoice is matched to more than one purchase order directly, or indirectly
through a receipt, and the terms on those purchase orders are different.
•
Insufficient PA Info. You must provide values for all of the following Projects
columns: PROJECT_ID, TASK_ID, EXPENDITURE TYPE,
EXPENDITURE_ITEM_DATE, AND EXPENDITURE_ORGANIZATION_ID.
•
Insufficient Receipt Information. Payables is unable to complete the match
because the receipt information provided in columns RECEIPT_NUMBER and
RCV_TRANSACTION_ID is not sufficient to identify a unique receipt transaction.
•
Insufficient Prepay Info. You did not provide enough information to successfully
apply a prepayment to the invoice. You must provide at least a prepayment amount
or prepayment number.
•
Inv Rate Overwritten. This is an informational message only. When the invoice
was successfully imported, the import process overwrote the invoice exchange rate
with a fixed rate, for example, the exchange rate with the euro.
•
Inv Type Cannot Be AWT. Open Interface Import will not import invoices with an
3-158 Oracle Payables User's Guide
invoice type (INVOICE_TYPE_LOOKUP_CODE) of AWT (automatic withholding
tax).
•
Invalid Acct Overlay. The account created using the overlay feature with the
following values Overlay GL Account, BALANCING_SEGMENT,
COST_CENTER_SEGMENT, or ACCOUNT_SEGMENT is invalid.
•
Invalid Assignment. You have entered a valid value for DOC_CATEGORY_CODE,
but the document category does not have an active, automatic sequence assigned to
it.
•
Invalid AWT Group. Withholding tax group must be a valid value in
AP_AWT_GROUPS.NAME.
•
Invalid Currency Code. This must be a valid value for currency code in
FND_CURRENCIES.CURRENCY_CODE.
•
Invalid Dist Set With PO. If the invoice is matched to a purchase order, the line
cannot contain a distribution set (DISTRIBUTION_SET_ID or
DISTRIBUTION_SET_NAME).
•
Invalid Distribution Acct. This must be a valid value for account in the
GL_CODE_COMBINATIONS table.
•
Invalid Distribution Set. The distribution set must be a valid value in
AP_DISTRIBUTION_SETS.
•
Invalid Doc Category. Payables uses the Invalid Category rejection for one of the
following three reasons: 1) The Document Category Payables option is enabled and
you have entered one of the following values for DOC_CATEGORY_CODE: 'INT
INV', 'MIX INV', 'DBM INV', 'CHECK PAY', 'CLEAR PAY', 'EFT PAY', 'FUTURE
PAY', 'MAN FUTURE PAY', 'PREPAY INV', 'REC INV', 'WIRE PAY', 'EXP REP
INV', 2) You entered "Standard Invoices" as the DOC_CATEGORY_CODE and the
invoice amount is less than zero, or you entered "Credit Memo Invoices" and the
invoice amount is greater than zero. Or, 3) The document category specified is not
valid in FND_DOC_SEQUENCE_CATEGORIES for AP_INVOICES or
AP_INVOICES_ALL.
•
Invalid Exch Rate Type. You used a non-User type exchange rate type, and you
entered either an exchange rate or a value for the functional currency amount.
Change the rate type to USER or delete the exchange rate or functional currency
amount.
•
Invalid Final Match Flag. You entered Yes as the value for FINAL_MATCH_FLAG
and the Payables option of Allow Final Matching is not enabled or the Match
Option on the purchase order shipment is to Match to Receipts.
Invoices 3-159
•
Invalid Inv Type Lookup. Invalid invoice type lookup code. Type must be either
Standard or Credit.
•
Invalid Invoice Amount. You did not provide a value for Invoice Amount.
•
Invalid Invoice Quantity. You are attempting to match the invoice to a purchase
order shipment, and the Quantity to be matched exceeds the available Quantity of
the shipment by more then the tolerance you defined in the Invoice Tolerances
window.
•
Invalid Item. Invalid item (ITEM_DESCRIPTION, INVENTORY_ITEM_ID,
VENDOR_ITEM_NUM). These values must match the purchase order
PO_LINES_ALL.INVENTORY_ITEM_DESCRIPTION,
PO_LINES_ALL.INVENTORY_ITEM_ID, or
PO_LINES_ALL.VENDOR_PRODUCT_NUM. Or, you provided values for these
columns and these values do not exist on a purchase order.
•
Invalid Liability Acct. The liability account must be valid in the
GL_CODE_COMBINATIONS table.
•
Invalid Line Amount. Line amount not equal to Quantity x Unit Price.
•
Invalid Line Type Lookup. Invalid value for LINE_TYPE_LOOKUP_CODE. You
can use Item, Freight, Tax or Miscellaneous.
•
Invalid Location Code. The value you entered for the
SHIP_TO_LOCATION_CODE column is invalid.
•
Invalid PA Acct. The account for this line could not be built by Account Generator.
•
Invalid Pay Curr Code. Invalid payment currency code. This must be a valid value
in FND_CURRENCIES.CURRENCY_CODE.
•
Invalid Pay Group. The value you entered for Pay Group is invalid. The value
must be a valid lookup value for Pay Group.
•
Invalid Pay Method. This value must be one of the following: CHECK,
CLEARING, EFT, WIRE. (To enter EFT in the Quick Invoices window, enter
Electronic).
•
Invalid PO Dist Num. Invalid purchase order distribution number. This must be a
valid value in PO_DISTRIBUTIONS.DISTRIBUTION_NUM.
•
Invalid PO Info. You provided values for more than one of the following, and the
information does not match: PO receipt, PO header, PO line, PO release, and PO
shipment.
3-160 Oracle Payables User's Guide
•
Invalid PO Line UOM. Invalid purchase order line Unit of Measure. This must be a
valid value in PO_LINES.UNIT_MEAS_LOOKUP_CODE.
•
Invalid PO Num. You can obtain a list of active, valid values for purchase order
number from PO_HEADERS.SEGMENT1 or PO_HEADERS.PO_HEADER_ID.
•
Invalid PO Release Info. You are matching to a blanket purchase order, and one of
the values you provided for release number, shipment number, or line number is
invalid.
•
Invalid PO Release Num. You have provided an invalid value for either
RELEASE_NUM or PO_RELEASE_ID.
•
Invalid PO Shipment Num. Invalid purchase order shipment number. For
example, the shipment is Cancelled or Finally Closed.
•
Invalid Prepay Dist Info. You are trying to apply a prepayment to an invoice and
you have provided invalid prepayment distribution information. One of the
following conditions is true for the prepayment distribution specified
(PREPAY_DIST_ID or PREPAY_DIST_NUMBER): 1) it is not an Item distribution,
2) it is a reversal, or 3) it does not exist.
•
Invalid Prepayment Information. You are trying to apply a prepayment to an
invoice and you have provided invalid prepayment information. For example, you
may have specified an incorrect invoice number for the prepayment, or you may
have specified a prepayment that is not available. Submit the Prepayments Status
Report to get up-to-date information on available prepayments. See: Prepayments
Status Report, page 9-82.
•
Invalid Price/Quantity. The values for Unit Price, Quantity Invoiced, and Line
amount are inconsistent. (Quantity Invoiced x Unit Price = Amount)
•
Invalid Price Correction Invoice Num. You entered a value for
PRICE_CORRECT_INV_NUM that is invalid. The value must be the invoice
number of a valid base-matched invoice. See: Price Corrections, page 3-66.
•
Invalid Quantity. The value for Quantity (QUANTITY_INVOICED) must be
greater than zero for Standard type invoices.
•
Invalid Receipt Information. You provided an invalid value in at least one of the
following columns: RECEIPT_NUMBER and RCV_TRANSACTION_ID.
•
Invalid Requester. The value for REQUESTER_ID does not correspond to a current,
valid employee.
•
Invalid Sequence. The document category you entered has a valid, automatic
sequence assigned to it. However, Payables was unable to retrieve the next value
Invoices 3-161
from the sequence.
•
Invalid Shipment Type. Shipment Type should be Blanket, Scheduled, or
Standard, and the purchase order should be approved.
•
Invalid Supplier. You can obtain a list of valid values for supplier from the
PO_VENDORS table.
•
Invalid Supplier Site. You can obtain a list of valid values for supplier site from
the PO_VENDOR_SITES table.
•
Invalid Terms. Invalid terms. Terms must be valid terms in AP_TERMS.TERMS_ID
or AP_TERMS.TERMS_NAME.
•
Invalid Type 1099. The value for TYPE_1099 is not a valid value.
•
Invalid Unit Price. The value for Unit Price (UNIT_PRICE) must be greater than
zero.
•
Invalid Who Information. Invalid information in one of the following columns:
LAST_UPDATED_DATE, LAST_UPDATED_BY, LAST_UPDATE_LOGIN,
CREATION_DATE, CREATED_BY.
•
INVALID_GLOBAL_ATTR1-20. You have installed a localized version of Payables
and you provided an invalid value in the GLOBAL_ATTRIBUTE_CATEGORY
column.
•
INVALID_GLOBAL_CONTEXT. You have installed a localization and the value
you provided for the GLOBAL_ATTRIBUTE_CATEGORY column is not a valid
value for the localization.
•
Invoice Amount Incorrect. Invoice amount
(AP_INVOICES_INTERFACE.INVOICE_AMOUNT) does not equal the sum of the
line amounts (AP_INVOICE_LINES_INTERFACE.AMOUNT) for rows with the
same INVOICE_ID. Only used for EDI invoices.
•
Line Has Price Break. You are matching to a blanket purchase order release at the
line level which has been set to allow price override. You have provided only line
level data. Payables cannot identify the shipment to which it should match because
shipments can have different prices. If you identify the shipment, then Payables can
complete the match.
•
Line Type Cannot Be AWT. Open Interface Import will not import an invoice if the
LINE_TYPE_LOOKUP_CODE is AWT (automatic withholding tax).
•
No Exchange Rate. The invoice currency is different from your functional currency,
you have entered USER as the exchange rate type, and you have not entered a value
3-162 Oracle Payables User's Guide
for DEFAULT_EXCHANGE_RATE.
•
No Invoice Lines. You must enter at least one invoice line to create an invoice. The
line must have an INVOICE_ID that matches the INVOICE_ID of an invoice header.
•
No PO Line Num. You matched the invoice to a multi-line purchase order, and you
did not enter purchase order line number (PO_LINE_ID or PO_LINE_NUMBER).
•
No PO Shipment Num. You matched the invoice to purchase order with multiple
shipments and you did not specify a purchase order shipment number
(PO_LINE_LOCATION_ID or PO_SHIPMENT_NUM), or you did not provide
enough information for import to derive the shipment number by using values in
other columns. For example, if the shipment has a unique Ship-to location for the
purchase order, then you can match to the shipment by providing a Ship-to location
(SHIP_TO_LOCATION_CODE) exactly as it appears on the shipment.
•
No Price Correction PO Information. You entered a price correction but did not
provide enough information for the system to identify which purchase order
amount(s) you want to update.
•
Nothing to Apply. No prepayment amount is available to apply.
•
No Supplier. You did not identify the supplier in any of the following columns:
VENDOR_ID, VENDOR_NUM, or PO_NUMBER.
•
No Supplier Site. You did not identify the supplier site in any of the following
columns: VENDOR_SITE_ID, VENDOR_SITE CODE, or PO_NUMBER.
•
No Tax Code Combination. The tax code value you entered or which defaulted
based on the Tax Code Default hierarchy does not have an account associated with
it, and the system needs a tax account to create the distribution.
•
No Terms Info. You did not specify payment terms in the import tables, the invoice
is not matched to a purchase order, and you have not specified default payment
terms for the supplier site.
•
Non-Unique Location Code. You have provided a Ship-To location as the matching
criterion and it is not unique. For example, you provided a Ship-To location of
Boston, and Boston is the Ship-To location on three different shipments on the
purchase order.
•
Not Pay Site. The supplier site is not enabled as a pay site in the Supplier Sites
window in Payables.
•
Override Disallowed. The Sequential Numbering profile option is set to Partial or
Always, you have entered a value for DOC_CATEGORY_CODE, and the Allow
Document Category Override Payables option is disabled. You cannot enter a value
Invoices 3-163
in this column unless you enable the Allow Document Category Override Payables
option.
•
PA Flexbuild Failed. Account Generator did not build an account for the invoice.
•
Pay X Rate Not Fixed. Invoice currency and payment currency are not associated
fixed-rate currencies.
•
Pay Rate Overwritten. You are paying the invoice in a related fixed-rate currency.
You provided a value for payment cross rate which was incorrect. During import
the value you entered was overwritten by the value stored in General Ledger.
•
Price Correction Requires Invoice Num. You entered Y for
PRICE_CORRECTION_FLAG. However, you did not provide a value for a
base-matched invoice in the PRICE_CORRECT_INV_NUM column.
•
Release Missing. You have matched to a blanket purchase order and you have not
provided a value for Release Number.
•
Site: No Terms. You did not specify payment terms in the import tables, the invoice
is not matched to a purchase order, and you have not specified default payment
terms for the supplier site.
•
Skeleton Distribution. This line does not have a type of Item, and you tried to use
a Skeleton distribution set.
•
Unit Prc Not Equal to PO. Unit price does not equal the Unit Price on the Purchase
Order within the tolerance you defined in the Invoice Tolerances window.
•
UOM Does Not Match PO. Unit Of Measure does not match the Unit of Measure
on the purchase order.
•
UOM Does Not Match Receipt. Unit of Measure does not match the Unit of
Measure on the receipt.
Related Topics
Payables Open Interface Import, page 3-142
Common Report Headings, page 9-6
Financials Options, Oracle Payables Implementation Guide
Payables Options, Oracle Payables Implementation Guide
Invoice Validation, page 3-172
Foreign Currency Transactions, page 6-1
Voucher Numbers, Oracle Payables Implementation Guide
3-164 Oracle Payables User's Guide
Budgetary Control In Payables, page 10-26
Defining Ledgers, Oracle General Ledger Implementation Guide
Site Locations, Oracle Human Resources User's Guide
Payment Requests
Payables provides the ability to disburse funds to a party (a payee) who is not defined
as a trading partner in your supplier master. E-Business Suite products, such as Oracle
Receivables and Oracle Loans, can submit disbursement requests to Payables, where
you can disburse the funds and manage the payment process using the payment
management features that are available in Payables. When a disbursement request is
submitted to Payables, it is recorded as a payment request.
Using payment requests you can:
•
Approve payment requests using the Invoice Approval Workflow
•
Account for payment requests, through Payables' integration with Oracle Subledger
Accounting
•
Calculate and manage tax, through Payables' integration with Oracle E-Business
Tax
•
Pay and report on payment requests
You can submit a payment request from another application, for example, from
Receivables to pay a customer for an On Account Credit Memo, or from Loans to
disburse funds for a loan, and Payables will verify, account, tax, and approve the
payment request. You can track the progress of the payment request in the originating
application. Once the payment request is approved, you can report and audit the
payment request in Payables.
You can only submit a payment request from other applications; you cannot enter a
payment request for a payee directly in Payables.
The payment request process is as follows:
1.
Submit a request to disburse funds from another application, such as Receivables or
Loans. Note that you cannot submit a payment request in Payables.
2.
Payables automatically creates a payment request, in real-time.
3.
Once the payment request is created, you can search for it just as you would search
for an invoice. Enter Payment Request in the Type field and enter the payee name
in the Trading Partner field. Note that because the payee is not a supplier, do not
enter a Supplier Number. See: Find Invoices to Apply Window, page 3-85.
4.
If the payment request requires approval, use the Invoice Approval Workflow to
Invoices 3-165
approve payment requests. See: Invoice Approval Workflow, page 3-182.
5.
Payables applies holds to the payment request if there are any exceptions. See:
Holds, page 3-209.
6.
Once the holds are released and the payment request is approved, it can be paid as
a single payment or as part of a payment batch. See: Creating Single Payments,
page 5-13 or Creating Multiple Payments, page 5-25.
Once the payment request is paid, your auditors can view the request to disburse funds
in the originating application and the payment request in Payables.
Once you enter a payment request, you cannot delete payment request or update
payment request fields. If necessary, you can cancel the payment request or void the
payment, just as you would for an invoice. Payables notifies the originating application
to respond to these actions. A payment request must be paid in full. You cannot
partially pay a payment request and then create a debit memo to write off the
remaining, which you can do with other types of invoices. Once you enter a payment
request, you cannot delete payment request or update payment request fields.
Reporting on Payment Requests
Use the following reports to view information about your payment requests:
•
Invoice Aging, page 9-56
•
Invoice Approval Status, page 9-58
•
Invoice Audit Listing By Voucher Number, page 9-60
•
Invoice on Hold, page 9-65
•
Open Items Revaluation, page 9-80
•
Cash Requirement, page 9-88
Setting Up Payment Requests
There are no specific setup steps required to use payment requests; however, the setup
steps listed below do affect the payment request process. Review these steps if you plan
to use payment requests.
Oracle Applications
•
Document Sequencing – Payment Request Document Category
If the Sequential Numbering profile is set to Partially Used or Always Used, ensure
that you have assigned a sequence to the Payment Request document category. See:
Sequence Assignments Window, Oracle E-Business Suite System Administrator's
3-166 Oracle Payables User's Guide
Guide.
Oracle Payments
•
You can use the following Oracle Payments setups to define custom payment
methods for payment requests, define defaulting rules, and specify whether you
want to manage payment requests separately from other payments.
•
Payment Method Controls
•
Payment Method Defaulting Rules
•
Payment Instruction and Report Formats
•
Payment Attribute Validations
•
Payment Process Profiles
•
Disbursement Option
See: Funds Disbursement Planning, Oracle Payments Implementation Guide
Oracle Payables
•
Payables Options - Use Invoice Approval Workflow
Enable the Use the Invoice Approval Workflow Payables Approval Option to
approve payment requests using the workflow. See: Payables Options, Oracle
Payables Implementation Guide
•
Financial Options
Depending on how much information is provided in the originating application,
Payables may default attributes from the Financial Options window, including
Liability GL Account, Payment Terms, Pay Group, and Terms Date Basis. See:
Financial Options, Oracle Payables Implementation Guide
Oracle Approvals Management
•
Approval Rules
If you are using the Invoice Approval Workflow for payment requests, define the
approval rules. See: Invoice Approval Workflow, page 3-182.
Self Service Invoices
Oracle Payables integrates with Oracle iSupplier Portal to enable suppliers to create,
submit, and view self service invoices. Suppliers with an iSupplier Portal account can
create invoices for:
•
Open, approved, standard, or blanket purchase orders that are not fully billed
Invoices 3-167
•
Items from multiple purchase orders
•
Items for which there is no purchase order
Suppliers can also use iSupplier Portal to enter credit memos against a fully billed
purchase order. See: Submitting Invoices, Oracle iSupplier Portal User Guide.
Depending on the supplier setup, suppliers can use iSupplier Portal to view self service
invoices, including any retainage and recoupment information for Contract Financing
Invoices. See: Viewing Invoice Information, Oracle iSupplier User Guide.
In addition, iSupplier Portal also allows suppliers to request advances. Suppliers can
only request advances if the advances were pre-approved on the purchase order.
Even if you don't implement Oracle iSupplier Portal, you can also allow internal users
to enter self service invoices using the Invoice Actions page.
Entering Self Service Invoices Matched to Purchase Orders
To enter a self service invoice that is matched to a purchase order, enter the following
information:
1.
In the Invoice Actions page, select With a PO.
The supplier's information, including Taxpayer ID, is defaulted from the supplier
setup.
2.
Select a Remit To address for payment.
3.
Enter the Customer Tax Payer ID.
4.
You can specify any quantity to bill as long as it doesn't cause the quantity billed to
be below zero. Also, the currency must be the same as the purchase order currency.
5.
If necessary, add attachments to the invoice. These attachments use the From
Supplier category. After the invoice is submitted, these attachments can be viewed
in the Invoices and Invoice Overview windows. See: Attachments in Payables.,
Oracle Payables Implementation Guide
6.
If your supplier tax setup permits, update tax lines. See: Taxes on Invoices, page 3190.
7.
Review the invoice and submit it now, or save the invoice and update and submit it
later.
After you submit the invoice, it is considered a liability and can be updated and
validated in Payables.
For complete instructions on how to enter self service invoices, see: Submitting Invoices,
Oracle iSupplier Portal User Guide
3-168 Oracle Payables User's Guide
Entering Self Service Invoices Matched to Receipt
The process for entering self service invoices that are matched to receipt is the same as
entering self service invoices that are matched to purchase orders; however, if the
Invoice Match Option for the shipment is Receipt, then you will only be able to enter an
invoice for the shipments that have been received.
For example, if you ordered 50 items, but have received only 35 items, then you will
only be able to create an invoice for the 35 items you have received.
Entering Self Service Invoices Not Matched to a Purchase Order
If you are entering a self service invoice that is not matched to a purchase order, that
invoice must be approved using the Invoice Approval Workflow.
When you enter self service invoices that are not matched to a purchase order, follow
the same steps for entering an invoice that is matched to a purchase order, but,
optionally, enter a Requestor. The Requestor is the person who may be responsible for
approving the invoice in Payables.
Once you submit the invoice, it is entered in Payables as a "Standard Invoice Request".
Payables automatically initiates the Invoice Approvals Workflow even if you set the
Require Validation Before Approval Payables Option to No.
During the workflow, the requestor and other approvers can enter in accounts and
distribution amounts. The requestor and approvers can approve or reject the invoice, or
they can request that the supplier enter into negotiation. See: Invoice Approval
Workflow Overview, page 3-182.
Self service invoices that are not matched to a purchase order not considered a liability
and cannot be updated in Payables until they are approved. Once the invoice is
approved, the invoice type changes from Standard Invoice Request to Standard Invoice
and you can update the invoice in Payables.
Entering Self Service Invoices - Internal User
To grant internal users access to the Invoice Actions page to enter self service invoices,
grant the user the Payables Request responsibility. You do not need to implement
iSupplier Portal to grant this responsibility to users. Users with the Payables Request
responsibility can only create invoices in the Invoice Actions page. In addition, the
internal user will only have access to the suppliers that are part of the Organization that
the internal user belongs to. For example, if the user is in the North American
organization, he will only have access to suppliers assigned to that organization, and
not to suppliers assigned to other organizations such as Europe or Africa.
Flexfields on Self Service Invoices
Your system administrator can set up descriptive flexfields to capture any additional
Invoices 3-169
information your enterprise needs for invoice processing.
Setting Up Self Service Invoices
Prerequisites
•
Setting Up Taxes in Oracle E-Business Tax, Oracle E-Business Tax User Guide
•
Setting Up iSupplier Portal, Oracle iSupplier Portal Implementation Guide
This prerequisite is not required if you only want to allow internal users to enter self
service invoices.
•
Setting Up Suppliers, Oracle iSupplier Portal Implementation Guide
•
Setting Up Invoice Approval Workflow, Oracle Payables Implementation Guide
This step is only required if you are entering invoices that are not matched to a
purchase order.
To set up self service invoices:
1.
For each Supplier Contact, define the following:
•
Ensure that the Supplier Contact has a user account. If the contact does not
have a user account, enable the Create User Account for this Contact check box.
•
Assign the appropriate iSupplier Portal responsibilities to the contact. For
access to all iSupplier Portal user features, assign the iSupplier Portal Full
Access responsibility.
If you create custom responsibilities for iSupplier Portal, ensure that the
following Securing Attributes are included in the responsibility definition.
These attributes allow you to set the appropriate user access restrictions for the
supplier contact:
•
ICX_SUPPLIER_ORG_ID - Restricts user to a supplier.
•
ICX_SUPPLIER_SITE_ID - Restricts user to a supplier site.
•
ICX_SUPPLIER_CONTACT_ID -Restricts user to a contact.
See: Defining a Responsibility, Oracle Applications System Administrator Guide.
•
Define the user access restrictions for the contact. You can restrict users to
specific suppliers, supplier sites, or contacts.
See: Defining Contacts, Oracle iSupplier Portal Implementation Guide.
2.
If you are allowing internal users to enter self service invoices, then assign the
Payables Request responsibility to the internal user. See: Defining a Responsibility,
Oracle Applications System Administrator Guide.
3-170 Oracle Payables User's Guide
3.
Set the following profile options at the site level:
•
POS: Limit Invoice to Single PO - Set this option to Yes if you only want
suppliers to enter one invoice for each purchase order.
•
POS: Invoice Unit Price Change for Quantity Based Matches - Set this option
to one of the following options to determine if suppliers to be able to enter a
different unit price than what appears on the purchase order:
•
•
Not Allowed
•
Price Increase or Decrease
•
Price Increase
•
Price Decrease
POS: Allow Invoice Backdating - Set this option to Yes if you want to allow
suppliers to enter an invoice for a date in the past.
See: Define Profile Values, Oracle Applications System Administrator Guide
4.
(Optional) In the Payables Options window, enter a Freight account if you want to
use a specific account for Freight charges. If you leave this value blank, then Freight
amounts are prorated across the Item lines and charged to the Item line accounts.
5.
(Optional) In the Financials Options window, enter a Miscellaneous account if you
want to use a specific account for miscellaneous charges. If you leave this value
blank, then Miscellaneous amounts are prorated across the Item lines and charged
to the Item line accounts.
6.
When your system is set up, contact your selected suppliers with their account
information and your URL.
Special Issues for Self Service Invoices
•
Suppliers cannot access cancelled shipments for invoicing.
•
If a shipment has multiple distributions and the shipment is partially billed then the
system prorates the quantity billed across the distributions.
You can adjust the distributions in Payables after the invoice is submitted.
Related Topics
Invoice Approval Workflow Overview, page 3-182
Invoice Validation, page 3-172
Invoices 3-171
Validation
Before you can pay or create accounting entries for any invoice, the Invoice Validation
process must validate the invoice.
Invoice Validation checks the matching, tax, period status, exchange rate, and
distribution information for invoices you enter. It checks the supplier site to determine
which invoice tolerance template to use. The Matching Payables Options tolerances take
effect if there are no tolerances templates associated to each individual supplier site. If
there are no tolerances templates associated to each individual supplier site, then the
Matching Payables Options tolerances take effect. If an invoice tolerance template is
specified, Invoice Validation will check against the specific invoice tolerances template
stored in the Invoice Tolerances window to determine if the invoice falls within the
defined tolerances and automatically applies holds to exception invoices. If an invoice
has a hold, you can release the hold by correcting the exception that caused Invoice
Validation to apply the hold by updating the invoice or the purchase order, or changing
the invoice tolerances. Then resubmit Invoice Validation to release the hold. In the
Invoice Holds tab, you can manually release certain invoice holds, even if you have not
resolved the matching error condition.
Note: When the invoice is in a Validated state, the Liability Account
field cannot be updated.
Authorized users can always correct an invoice, even if you have validated, approved,
paid, or created accounting entries for the invoice. See also: Adjusting Invoices, page 3271.
You can identify all invoices that Payables has not yet reviewed with Invoice Validation
by submitting the Invoice Register and selecting the Unvalidated Invoices Only
parameter. You can review the validation status of an invoice online in the Invoice
Overview window or the Invoices window.
Payables and Oracle Alert integrate to alert the appropriate accounts payable or
purchasing staff when you or Payables place an invoice on hold. Oracle Alert also
provides an integrated system of alerts, messages, and message distribution to focus
attention on time-sensitive or critical information and streamline the validation process.
Exception reporting in Oracle Alert is accomplished using either electronic mail or
paper reports.
You can submit an invoice for validation in one of the following ways:
•
Online by using either the Validate or the Validate Related Invoices check box in the
Invoice Actions window. See: Submitting Online Validation for Invoices, page 3-174.
•
Online by using the Validate button in the Invoice Batches window. See: Submitting
Online Validation for Invoice Batches, page 3-174.
3-172 Oracle Payables User's Guide
•
Batch by submitting the Payables Invoice Validation program from the Submit
Request window. See: Payables Invoice Validation Program, page 3-175.
The order of the Invoice Validation process and Invoice Approval Workflow Program is
based on the Approval Processing Sequence Payables option. For example, you might
want to validate before you approve if you enter invoices that require the Invoice
Validation process to create tax distributions for you. If your approvers need to review
tax details before they approve an invoice, then we recommend that you select an
option that validates before approving. For more information on submitting invoices for
approval, see Invoice Approval Workflow Overview, page 3-182.
When you attempt online Invoice Validation at the same time as funds checking, the
system applies the Encumbrance Accounting Fail hold. If the Invoice Validation is ran
again, the hold is removed and the invoice is validated. You could avoid performing
this action by setting the following profiles.
You can set the following profiles as required:
•
PSA: Budgetary Control Acquire Dual Lock Retry Count set to 10
•
PSA: Budgetary Control Acquire Dual Lock Wait Interval set to 5
In this case, the process tries 10 times with an interval of 5 seconds between each try
before exiting. If the values are not set, then the default value of zero assumed for both
profiles. In this case, the process does not wait but exits if it cannot acquire a lock.
Validation Example
For example, Invoice Validation places three invoices on matching hold. The first
invoice is on matching hold because the quantity billed exceeds the quantity received.
The second invoice is on matching hold because the invoice price exceeds the purchase
order shipment price. The third invoice is on matching hold because the quantity billed
exceeds the quantity ordered.
Invoice 1. Your receiving department receives the goods and records the receipt
information. Your invoice now matches the receipt and Payables releases the hold when
you submit Invoice Validation.
Invoice 2. A supplier sends a credit to correct the amount due on a previous invoice.
You match the credit to the purchase order as a price correction and associate it with the
invoice during the match. The weighted average price of the invoice and credit memo
now matches the purchase order shipment price. Payables releases the hold when you
resubmit Invoice Validation. Use the Validate Related Invoices option in the Invoice
Actions window to submit Invoice Validation for both the credit and the original
invoice.
Invoice 3. You increase your tolerance levels using the Invoice Tolerances window.
Your invoice now matches your receipt and purchase order within your newly-defined
tolerance levels and Payables releases the hold when you resubmit Invoice Validation.
Invoices 3-173
Related Topics
Releasing Holds, page 3-214
Payables Options, Oracle Payables Implementation Guide
Purchasing Integration, page 3-293
Summary of Hold and Release Codes, page C-1
Encumbrance Entries in Payables, page 10-29
Using Oracle Alert for Exception Reporting, Oracle Payables Implementation Guide
Validation When You Use Budgetary Control, page 10-28
Taxes on Invoices, page 3-190
Submitting Online Invoice Validation for Invoices
Prerequisite
•
Enable the Allow Online Validation Payables option.
To submit online Invoice Validation for invoices:
1.
In the Invoices window, find and select one or more invoices you want to validate.
2.
Choose the Actions button. In the Invoice Actions window, select the Validate
option.
Or, if you are validating a credit or debit memo, select Validate Related Invoices to
submit online validation for invoices associated with the credit or debit memo.
3.
Choose OK.
Submitting Online Invoice Validation for Invoice Batches
Prerequisite
•
Enable the Allow Online Validation Payables option.
To submit online Invoice Validation for invoice batches:
1.
In the Invoice Batches window, find and select one or more invoice batches that
include invoices that you want to validate.
2.
Choose the Validate button. Invoice Validation reviews each invoice contained in
each batch you selected.
In the Invoice Holds tab, you can review any invoice holds and releases that
Invoice Validation applies.
3-174 Oracle Payables User's Guide
Related Topics
Selecting Multiple Records, Oracle E-Business Suite User's Guide
Invoice Validation Program
The Invoice Validation process checks the matching tax, period status, exchange rate,
and distribution information for invoices you enter and automatically applies holds to
exception invoices. If an invoice has a hold, you can either manually release the hold (if
allowable) or correct the exception that caused Invoice Validation to apply the hold and
then resubmit Invoice Validation.
You can schedule regular submission of the Invoice Validation program when you
define your submission options for the Invoice Validation program in the Submit
Request window. You can specify the intervals in which you want to submit Invoice
Validation, and Payables will submit Invoice Validation using the parameters that you
specify up until the End Resubmission date you specify. See also: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Invoice Validation Program Parameters
Option.
•
All. Submit Invoice Validation for all invoices that do not have a status of
Validated. Payables reviews all invoice distributions that Invoice Validation has not
yet reviewed, and reviews invoices with unreleased holds.
•
New. Process only invoice distributions that were entered or imported after the last
validation cycle. Invoice Validation only selects invoice distributions that Invoice
Validation has not yet reviewed. If you choose this value, Invoice Validation does
not review any invoice distributions already on hold.
Tip: Enter All to ensure you release any existing holds on invoices
as well as place new holds. Submit Invoice Validation right before
you make automatic payments to update the authorization status
on all invoices.
Invoice Batch Name. Invoice Validation reviews invoices that are in the invoice batch
you select. You can enter a value in this field only if you have enabled the AP: Use
Batch Controls profile option. See Profile Options in Payables, Oracle Payables
Implementation Guide.
Start/End Invoice Date. If you want Invoice Validation to review invoices that have an
invoice date in a range you specify, then enter a date range.
Supplier Name. If you want Invoice Validation to review invoices for a specific
supplier, then enter the supplier.
Invoices 3-175
Pay Group. If you want Invoice Validation to review invoices for a specific pay group,
then enter the pay group.
Invoice Number. If you want Invoice Validation to review a specific invoice, then enter
the invoice number.
Entered By. If you want Invoice Validation to review all invoices entered by a specific
person, then enter the userid of that person.
Invoice Validation Parallel Processing
This topic provides overview of Invoice Validation Parallel Processing. Invoice
validation concurrent program now supports multiple child requests based on the
Purchase Order matched invoice. A new profile option, AP: Maximum Invoice
Validation Child Requests, lets you specify that. You submit a single Invoice validation
program, and internally the program groups matched invoices to same Purchase Orders
and ensures that each such group is processed by a single child request. Whereas for
invoices that are not matched to any Purchase Orders, the system distributes such
invoices equally amongst the maximum number of child requests specified for the
profile.
A new profile, AP: Maximum Invoice Validation Child Requests, is added that controls
the maximum number of child requests that can be spawned by the concurrent
program.
Note: The maximum value is two times the number of CPUs. Also,
number of paths to disk influence this setting. Consider the number of
programs and activities that can be carried out in parallel without
significantly degrading performance.
The existing option, Maximum Invoices Count, in Invoice validation concurrent
program is renamed as, Minimum Threshold for Parallel Processing. The value entered
in the option is considered as the minimum threshold value on the number of invoices,
over which the invoice validation program uses the value mentioned in the profile and
spawns multiple child requests. The default value is 1.
If the validation program selects a load with more than one invoice, then the program
spawns multiple child requests as per the profile, AP: Maximum Invoice Validation
Child Requests. If you run the validation on a single request without changing the
profile, then set the value of the parameter to 0 or null or a very high value while
submitting the program. The new child requests launched does not have any outputs
but they will have log files containing valuable debug information about the validation
run. The only output available would be the current validation report from the
first/main validation request.
A new concurrent program, Invoice Validation Child Worker Process, is seeded and is
spawned internally as child requests. This program is not available from the Submit
Request Set (SRS) window to be submitted individually.
If two simultaneous Invoice validation program are submitted, then it is not guaranteed
3-176 Oracle Payables User's Guide
that invoices matched to same PO are grouped and processed by a single concurrent
request.
Customizing Payables Invoice Validation Process
The AP_CUSTOM_INV_VALIDATION_PKG lets you customize the Invoice Validation
process. This package is called from the Payables Invoice Validation Process. You can
write codes in the
AP_CUSTOM_INV_VALIDATION_PKG.AP_Custom_Validation_Hook package, to
apply additional holds on invoices. For example, you can configure the application to
not initiate the approval workflow process before the invoice is validated. For this, you
write the code in
AP_CUSTOM_INV_VALIDATION_PKG.AP_Custom_Validation_Hook to verify if the
invoice is approved or not. If it is not approved, then the Hold is applied. After the
invoice is validated, release the hold.
Parameters of Payables Custom Invoice Validation Package
Following are the parameters of the Custom Invoice Validation Package:
•
Invoice ID. This is the ID of the current invoice being processed in Invoice
Validation Program. This is used to access information about the invoice being
validated
•
Calling Sequence. This is a string that provides information about the origin of the
call.
This package also performs the other custom requirements. The Descriptive Flexfield
entered on manually entered lines are not copied to corresponding distributions of that
line. You can write custom codes to copy Descriptive Flexfield information to
distribution for manually entered lines during invoice validation process.
Related Topics
Adjusting Invoices, page 3-271
Applying Holds, page 3-210
Releasing Holds, page 3-214
Budgetary Control in Payables, page 10-26
Using Oracle Alert for Exception Reporting, Oracle Payables Implementation Guide
Invoice Variances, page 3-300
Budgetary Control In Payables, page 10-26
Automatic Offsets, page 10-6
Summary of Hold and Release Names, page C-1
Validation When You Use Budgetary Control, page 10-28
Invoices 3-177
Approving Invoices
Oracle Payables integrates with Oracle Approvals Management and Oracle Workflow
to approve invoices. The Invoice Approval Workflow process uses Oracle Approvals
Management and Oracle Workflow to enable you to define business rules to determine
who approves invoices and how they will be routed for approval to different approvers.
The requester, who initiated the purchase of the line item, is one way of identifying the
starting approver in the approval hierarchy using the business rules defined in Oracle
Approvals Management. For information on defining rules in AME, refer to the Oracle
Approvals Management User Guide.
You can define the approval rules in Oracle Approvals Management in one of the
following ways:
•
Line-level rules only.
•
Document-level rules only.
•
Line-level and document-level rules.
Approving Invoices at the Line-Level
Line-level approval is the approval of one specific line or set of lines within an invoice,
rather than approving the entire document. Approvers have access to the Notification
Detail and Interactive Line Details pages to review the invoice details. The pages
display only the appropriate level of information for the approver to view. That is,
approvers view only the information that they can approve or reject. Furthermore, no
additional login or privileges are required for the approver to approve. The self-service
login that an approver uses to view the notifications is sufficient to review the invoice
information.
The system does not initiate document level approval until all lines have been
approved. If an approver rejects one line, the remaining line level approvals continue to
go through approval. This allows the continuation of the line level approval process
while the rejected line is being resolved. However, the system does not continue to
document level approvals unless all lines are approved.
Note: Invoice approval workflow is required for self service invoices
that are not matched to a purchase order. These invoices are entered in
Oracle iSupplier Portal or using the Payables Request responsibility.
To approve invoices at the line-level:
1.
Access the Workflow Notifications List and select notifications with the AP Invoice
Approval type.
The subject indicates that the notification is for lines on an invoice.
3-178 Oracle Payables User's Guide
2.
Review the information on the Notification Detail page.
You can either approve or reject all invoice lines and enter comments using this
page.
3.
Click on the Approve/Reject Individual Lines link to access the Interactive Line
Details page to approve, negotiate, or reject individual invoice lines.
Select an invoice line and click the Show link to view more detailed information,
such as accounting distributions, purchase order information, negotiation detail,
and approval sequence. The approver can modify the accounting distributions and
add attachments.
Once you have reviewed the invoice line information, select an Action of Approve,
Negotiate, or Reject for that invoice line. The system requires you to select an action
for each line. The system does not allow partial approvals. Click the Submit button
to update the approval status or initiate the negotiation process.
Note: Negotiation is available at the line-level for Holds
Negotiation for PO Matched Invoice. For Unmatched invoices,
Negotiation is available, but not at the line-level.
Approving Invoices at the Document-Level
To approve invoices at the document-level:
1.
Access the Workflow Notifications List and select notifications with the AP Invoice
Approval type. The subject indicates that the notification is for an invoice.
2.
Review the information on the Notification Detail page. You can either approve or
reject the entire invoice and enter comments using this page.
3.
Click on the View Additional Invoice Details link to access the Interactive Line
Details page.
Select an invoice line and click the Show link to view more detailed information,
such as accounting distributions, purchase order information, negotiation detail,
and approval sequence. The approver can modify the accounting distributions and
add attachments.
Once you have reviewed the invoice line information, you can either approve or
reject the entire invoice.
Uptake of Workflow Transfer by Oracle Payables
This topic provides overview of uptake of transfer of approvals functionality by
Payables.
Invoices 3-179
Support Transfer of Approval for Payables
Invoice Approval Process is a business function. Currently, the invoice approval
workflow utilizes Oracle Approvals Management (referred to as AME) functionality
and Oracle Workflow to allow you to define business rules to determine who should
approve invoices and how the same is routed for approval to different approvers.
Approvals Management provides various features including transfer of approval. The
Approver can transfer the approval of invoice to another user.
The following rules are followed for supporting transfer of Invoice Approval:
•
If the WF: Notification Reassign Mode profile is set to Reassign or Transfer, then an
approver can transfer approval of an invoice to others.
•
If the notification approver optionally reassigns the approval notification, then
there are two options:
•
Delegate your response
•
Transfer notification ownership
•
Approver can transfer Approval request and Approval Reminder requests.
•
Approver can transfer approval of both Invoice header and lines.
•
If in a single approval flow there happens to be more than one transfer of approval
or a combination of transfer and delegation, the behavior will be same as it is for a
single transfer or delegation.
•
In the case of transfer, Force Approve, Invoice cancellation, and Stop approval all
work in the same way.
•
Resubmitting approval: If the invoice header or line has the status, Needs
Reapproval, and you initiate the approval again, then the workflow start from the
first approval in the hierarchy.
Modifications to Invoice Approval History
Invoice approval history shows the Transfer action in case the approval has been
transferred by the approver. To reflect the transfer following modifications is made in
Invoice approval history:
•
If notification is transferred to a user outside the approver chain, then after
transferred user takes necessary action, the notification is continued form the next
approver in the approval chain of the person to whom it is transferred. For
example, approval chain is defined as:
•
Hierarchy 1 - Pat Stock > Casey Brown > William Tucker
3-180 Oracle Payables User's Guide
•
Hierarchy 2 – Jim Moore > David Hynes
•
Once the approval process is initiated, the approval notification goes to Pat Stock,
who approves and sends the same to Casey Brown. Casey then transferred the
notification to Jim Moore.
•
Jim Moore has the option to request for more information by transferring the
notification to another user James not in the hierarchy who provides more
information and submits the notification back to Jim Moore.
•
Requesting for more Information: In the example, once Jim approves, it is then sent
to David Hynes who approves and is approved.
•
If an approver has transferred the notification to another user, then the Invoice
approval history shows the action as Transferred in the same way as the Delegated
when the notification is delegated by the user. There is No change in Delegation
flow.
Requesting Addition Information
The approver to whom the notification is transferred to has the option to request for
additional information.
If the transferee requests additional information, then the process works in the same
way as that when no transfer is done.
Transfer of Approval for Invoice Lines
Approver can transfer approval for individual lines or multiple lines to one or more
approvers. Transfer works in the same way as it works for invoice header.
Rejecting Approval Notification
An approver can reject an approval notification. In such a case, the workflow is
cancelled. When the invoice approval restarts, the approval notification resumes from
the first approver in the chain of approvals.
Attachments in Transfer
When the approval notification has attachments and is transferred, then new users and
approvers can see them.
Email Notification to Transfer
You cannot transfer the approval from email notification. You can only transfer the
notification and ownership of the notification to another user
Invoices 3-181
Invoice Request Approval Transfer
You cannot transfer approval of an invoice created from the iSupplier portal.
Invoice Approval Workflow Overview
The Invoice Approval Workflow automates your invoice approval process. Based on
rules you define, the workflow determines if an entire invoice (document) or invoice
lines need approval, who the approvers are, and in what order approvers should
approve payment of the invoice.
If you use Invoice Approval Workflow, then every invoice and invoice line that require
approval must be approved before you can pay it. Payables indicates that an invoice
requires approval by setting the value in the Approval status field in the Invoices
window to Required. The approval status is derived from the approval status of the
document maintained at the invoice header and the approval status of the invoice lines.
For example, if the invoice lines require approval and the document does not, the
system sets the approval status for the invoice lines to Required, the approval status for
the document to Not Required, and the derived approval status to Required.
Note: Line-level approval is available for all invoices that are matched
to a purchase order.
Note: Invoice approval workflow is required for self service invoices
that are not matched to a purchase order. These invoices are entered
using Oracle iSupplier Portal or the Payables Request responsibility.
When you use this feature, all invoices require approval, with the following exceptions.
Payables sets the Approval status of the following invoices to Not Required:
•
expense reports imported through the Payables Expense Report Export Program
(because these expense reports have already been through an approval process)
•
recurring invoices if the recurring invoice template did not have the Approval
Workflow Required option enabled (because recurring invoices are often approved
in advance)
•
invoices that existed before you enabled the feature
•
invoices that completed the Invoice Approval Workflow process and the Invoice
Approval Workflow process determined that according to the rules set up in Oracle
Approvals Management that no one needs to approve the invoice
You can set up your system to request and receive approval through the approver's
e-mail, through the approver's Oracle Workflow Notifications Workflow web page, or
both.
3-182 Oracle Payables User's Guide
Approvers can approve or reject the invoice document or invoice line. If both invoice
lines and document need to be approved, all the lines of the invoice requiring approval
must be approved before the invoice document can be approved. The following
scenario assumes that only invoice document approval is required. However, the same
process applies to approving invoice lines.
•
If an approver approves the invoice, then the invoice goes to the next person in the
approver list until all required people approve the invoice.
•
If an approver rejects the invoice, then the workflow program ends.
If an approver rejects one line, the remaining line level approvals continue to go
through approval. This allows the continuation of the line level approval process
while the rejected line is being resolved. However, the system does not continue to
document level approvals unless all lines are approved.
•
If an approver does not respond within the time you specify, then Workflow sends
a reminder to the approver. If the reminder notification time expires with no
response from the approver, Workflow sends the approval notification to that
person's manager.
An approver can delegate approval requests, approval reminders, and escalated
approval requests. If a notification is delegated to an approver outside the approval
chain, the system continues with the original approval chain. For example, the approval
chain consists of approvers A > B > C. Approver A delegates to approver X. Once
approver X approves the invoice, the system notifies approver B. If the delegated
approver does not respond within the time you specify, the system sends a reminder to
the delegated approver. If the delegated approver still does not respond, the system
rejects the invoice approval and does not escalate it. The Invoice History Approval and
Invoice Lines Approval History windows track the approval process, including the
delegated approvers' actions.
If an approver rejects an invoice or invoice line, you can perform one of the following
actions:
•
Use the Force Approval option to manually approve the invoice.
•
Use the Initiate Approval option to resubmit the invoice to the Invoice Approval
Workflow after correcting any issue that caused the approver to reject the invoice.
•
Use the Cancel Invoice option to cancel the approval process.
Tip: We recommend that you schedule the Invoice Approval Status
Report to run nightly so you can closely monitor your rejected
invoices.
For more information on invoice approval actions, see Handling Exceptions, page 3-185
You can review the approval status of an invoice that has started the Invoice Approval
Invoices 3-183
Workflow in the following ways:
•
Invoice Approval History window and the Invoice Lines Approval History
window. See: Invoice Approval History, page 3-188.
•
Invoice Approval Status Report. See: Invoice Approval Status Report, page 9-58.
Oracle iSupplier Portal and Payables Request Invoice Approvals
Invoice approval workflow is required for self service invoices that are not matched to a
purchase order. These invoices are created using Oracle iSupplier Portal or the Payables
Request responsibility. The system initiates the approval process automatically when
the invoices are submitted. At this point, the invoice becomes an invoice request. The
approval workflow must be complete before the invoice becomes a standard invoice.
Once the invoice becomes a standard invoice, the system validates it and the invoice is
susceptible to holds. The requester name on the iSupplier Portal can be the first
approver in the approval chain.
Invoice Selection Criteria
You can submit the Invoice Approval Workflow for an invoice either from the Invoice
Actions window, or from the Submit Request window. An invoice must meet all of the
following criteria to be processed:
•
The invoice approval status must be:
•
Required or Needs Reapproval, if you submit the workflow program from the
Submit Request window.
•
Anything except Initiated or Manually Approved, if you submit the workflow
program from the Invoice Actions window.
The invoice approval status is derived from the approval status of the document
maintained at the invoice header and the approval status of the invoice lines.
•
The invoice amount must equal the distribution total.
•
The tax calculated status must not be either New or Needs Recalculation, indicating
that the system calculated tax.
•
The Ready for Approval check box in the Invoices window must be enabled. This
check box is enabled by default for all invoices.
•
The system applies the rules specified in the Approval Processing Sequence
Payables option to determine if invoice approval can be initiated. For example, if
the Approval Processing Sequence Payables option requires validation before
approval, then the invoice must be validated.
3-184 Oracle Payables User's Guide
Note: The system automatically initiates invoice approval workflow for
self service invoices that are not matched to a purchase order and that
come from iSupplier Portal or the Payables Request responsibility.
Approval and Validation
The order of the Invoice Validation process and Invoice Approval Workflow Program is
based on the Approval Processing Sequence Payables option. Options include:
•
Require Validation Before Approval.
•
Require Accounting Before Approval.
For example, you might want to validate before you approve if you enter invoices that
require the Invoice Validation process to create tax distributions for you. If your
approvers need to review tax details before they approve an invoice, then we
recommend that you select an option that validates before approving.
Handling Exceptions
You are provided with the following actions for handling invoice document and invoice
line approvals:
•
If the workflow program fails, then the workflow sends an e-mail or workflow
notification (or both) to a designated person such as your system administrator.
This person can abort the workflow program, retry the failed workflow activity, or
resolve the problem that caused the error to occur.
•
You can force approve a non-validated invoice or invoice line regardless of the
Approval Process Sequence Payables option setting. You might want to use force
approval if there is a problem with the workflow program and you need to pay an
invoice immediately. To force approve an invoice, select it in the Invoices window,
then in the Invoice Actions window choose the Force Approval option. This stops
the workflow program for the invoice or invoice line. When you force approve an
invoice, the system updates the document and line approval statuses to Manually
Approved.
•
You can stop the approval of an invoice or invoice line so you can make invoice or
line adjustments. To stop the approval for an invoice or invoice lines, select the Stop
Approval check box in the Invoice Actions window. The system cancels all pending
workflow processes and cancels all open notifications associated with the invoice
and invoice lines. The system sets the document and invoice line approval statuses
to Stopped.
Once you change the invoice amount the system automatically sets the document
approval status to Needs Reapproval. Resubmit the invoice to Invoice Approval
Workflow either from the Invoice Actions window or from the Submit Request
Invoices 3-185
window.
•
You can cancel the approval of an invoice or invoice line. To stop the approval for
an invoice or invoice lines, select the Cancel Invoices check box in the Invoice
Actions window. The system cancels all pending workflow processes and cancels
all open notifications associated with the invoice and invoice lines. You cannot
resubmit the invoice or invoice lines to the approval process. The system sets the
document and line approval statuses to Invoice Cancelled.
•
You can delete an invoice, invoice lines, and invoice distributions if the invoice has
not gone through the approval process or if the approval status is Not Required.
Related Topics
Invoice Approval History, page 3-188
Invoice Approval History Window Reference, page 3-189
Invoice Approval Status Report, page 9-58
Setting Up Invoice Approval Workflow, Oracle Payables Implementation Guide
Invoice Approval Workflow Program, page 3-186
Invoice Approval Workflow Program
The Invoice Approval Workflow automates your invoice approval process. Based on
the rules you define, the workflow determines if an entire invoice or invoices lines need
approval, who the approvers are, and in what order approvers should approve
payment of the invoice. The workflow then sequentially asks each approver in the
approval list to approve invoices online. If both invoice lines and the invoice need to be
approved, all the lines of the invoice requiring approval must be approved before the
invoice can be approved. For example, you can define rules so invoice lines over $10,000
require CFO approval, and invoices over $100,000 require CEO approval as well. For
more information, see: Invoice Approval Workflow Overview, page 3-182.
When you start this program, it updates the approval statuses of the invoice, document,
and invoice lines to Initiated. The invoice is then placed in the WF_DEFERRED queue.
The next time the Workflow Agent Listener runs, the system initiates Invoice Approval
Workflow for the invoice.
Prerequisites
Before you can use the approval process for an invoice or invoice lines, you must:
•
Define all your invoice approval rules in Oracle Approvals Management (AME).
For information on defining rules in AME, refer to the Oracle Approvals Management
User Guide.
•
Set up, and optionally customize, the Invoice Approval Workflow. See: Setting Up
3-186 Oracle Payables User's Guide
Invoice Approval Workflow, page 3-182.
•
Enable the Use Invoice Approval Workflow Payables option. See Invoice Payables
Options, Oracle Payables Implementation Guide.
Note: Self service invoices that are not matched to purchase orders,
which are created using Oracle iSupplier Portal and the Payables
Request Functionality do not use this option. Approval is always
required for these invoices.
•
Schedule the Workflow Agent Listener to run regularly using the Submit Request
window. The system administrator usually performs this procedure.
Each invoice must meet all selection criteria to be processed by the Invoice Approval
Workflow. See: Invoice Selection Criteria, page 3-184.
To submit the Invoice Approval Workflow Program from the Invoices window:
1.
In the Invoices window, query and select one or more invoices that you want the
workflow to process.
2.
Choose the Actions button.
3.
In the Invoice Actions window, select the Initiate Approval option and choose OK.
To submit the Invoice Approval Workflow Program using the Submit Request window:
1.
In the Submit Request window, select Invoice Approval Workflow Program as the
request Name, and enter the parameters of your choice. See: Invoice Approval
Workflow Program Parameters, page 3-188. Choose OK.
2.
Choose the Submit button to submit your request.
To schedule automatic submission of the Invoice Approval Workflow Program:
1.
In the Submit Request window, select Invoice Approval Workflow Program as the
request Name, and enter the parameters of your choice. See: Invoice Approval
Workflow Program Parameters, page 3-188. Choose OK.
2.
Define your submission options in the Schedule window. Specify the intervals in
which you want to submit the Invoice Approval Workflow. Payables will submit
the Invoice Approval Workflow using the parameters that you define, up until the
end date that you specify. See also: Submitting Standard Reports, Programs, and
Listings, page 9-1.
Invoices 3-187
Invoice Approval Workflow Program Parameters
Supplier Name. If you want to process invoices for a specific supplier, then enter the
supplier name. If you do not enter a supplier name, then the program will process
eligible invoices for all suppliers.
Invoice Number. If you want to process a single invoice, then enter the invoice number.
If you do not enter an invoice number, then the program will process all eligible
invoices.
From/To Invoice Date. If you want the Invoice Approval Workflow to process only
invoices with invoice dates in a specified date range, then enter the date range.
Related Topics
Invoice Approval History, page 3-188
Invoice Approval History Window Reference, page 3-189
Invoice Approval Status Report, page 9-58
Invoice Approval Workflow Overview, page 3-182
Setting Up Invoice Approval Workflow, Oracle Payables Implementation Guide
Invoice Approval History
Use the Invoice Approval History window to review the approval progress of any
invoice that has started or completed the Invoice Approval Workflow process.
This window shows you all the approvers for an invoice in the order that the workflow
requests approval from them. You can see who has reviewed the invoice, whether the
approver approved or rejected it, the response date, what the invoice amount was when
the approver reviewed it, and any comments the approver entered. You also see who
the pending approver is and who the planned approvers are. If an invoice is force
approved, then you see the username of the person who approved the invoice. You can
also review the approval progress of any invoice resubmitted to the Invoice Approval
Workflow process.
Since this window does not automatically update, you should requery the window to
see up-to-date information on an invoice. Future approvers in this window are based on
whatever rules are currently defined in Oracle Approvals Management (AME).
However, this future approver list can potentially change within the lifecycle of the
approval process. For example, an invoice might be rerouted because of an escalation,
or planned approvers are removed from the list when an invoice is force approved.
If you submit an invoice to the Invoice Approval Workflow that does not require a
person to approve it, then the Invoice Approval History window will be blank for that
invoice.
If an invoice is cancelled it no longer appears in this window, even if it has completed
the workflow.
3-188 Oracle Payables User's Guide
If an invoice amount is changed, then a Needs Reapproval record is displayed in the
Invoice Approval History window.
For details on what invoices are selected for approval and how approvers are selected
to approve an invoice, see: Invoice Approval Workflow Overview, page 3-182.
Invoice Lines Approval History
Use the Invoice Lines Approval History window to review the progress of any invoice
line that has started or completed the Invoice Approval Workflow process. This
window displays approval history for all lines within an invoice when you access it
through the Invoice Approval History window, or approval history for one specific
invoice line when you access it through the Invoices or Invoice Overview windows. The
system displays similar approval information for an invoice line in this window as it
does for an invoice in the Invoice Approval History window.
To review invoice or invoice line approval history information:
•
Select an invoice and choose View Invoice Approval History. The Invoice Approval
History window opens and displays current invoice approval information for the
entire invoice.
You can also view approval information for all invoice lines within an invoice using
the Invoice Approval History window.
•
Select an invoice line and choose View Line Approval History. The Invoice Lines
Approval History window opens and displays approval information for that
particular invoice line.
Related Topics
Invoice Approval History Window Reference, page 3-189
Invoice Approval Status Report, page 9-58
Invoice Approval Workflow Program, page 3-186
Oracle Approvals Management User Guide, page 3-186
Invoice Approval History Window Reference
Approval Context. Displays Invoice Approval or Invoice Line Approval.
Action Date. Date that the approval action occurred. For example, the date an approver
rejected the invoice.
Action. The window shows the action associated with each approver.
•
Approved. The invoice was approved by this approver.
•
Rejected. The invoice was rejected by this approver.
Invoices 3-189
•
Sent. The invoice is in this approver's queue.
•
Future. The invoice is not yet in the approval queue of the approver.
•
Manually Approved. An accounts payable processor manually approved the
invoice by using the Force Approval feature.
•
Stopped. The approval process for the invoice was stopped by an accounts payable
processor.
•
Needs Reapproval. The amount of the invoice was changed by an accounts
payable processor and the invoice needs to go through the approval process again.
•
Cancelled. The invoice approval process was cancelled by an accounts payable
processor. The invoice cannot be resubmitted to the approval process.
Approver. Name of the approver who is assigned to perform an action in response to a
request for approval notification or escalation notification. You set up approvers in
Oracle Approvals Management (AME). If an invoice was force approved, this field
shows the username of the accounts payable processor who force approved the invoice.
If an invoice amount was changed, then the Approver field remains blank.
Amount Reviewed. Invoice total at the time of approval, rejection, or resubmission.
This field serves as an audit trail because the invoice amount can change between
approvers.
Comments. As an invoice goes through the Invoice Approval Workflow process, the
approver can enter comments about the approved or rejected invoice. If the invoice is
force approved then this field is blank. If an invoice amount is changed, then this field
shows the username of the payables processor who changed the amount.
Related Topics
Invoice Approval History, page 3-188
Invoice Approval Workflow Process, page 3-182
Invoice Approval Workflow Program, page 3-186
Oracle Approvals Management User Guide
Taxes on Invoices
Oracle Payables integrates with Oracle E-Business Tax, the Oracle Applications tax
engine, to provide tax services for invoices. With this integration, E-Business Tax
provides a central repository for your invoice tax requirements. E-Business Tax does not
provide tax services for Withholding Taxes or 1099 Income Taxes. For information on
these taxes see: Withholding Tax Overview, page 10-15 or 1099 Reporting Overview,
page 9-25.
3-190 Oracle Payables User's Guide
E-Business Tax provides tax services for the following categories of Payables invoices:
•
Standard Invoices - includes Standard, Mixed, PO Price Adjustment, Credit
Memos, and Debit Memos
•
Prepayment Invoices
•
Expense Reports
Each of these categories maps to an event class in E-Business Tax.
E-Business Tax uses your tax setups as well as information from the invoice header and
line level (the tax drivers) to determine the applicable taxes, tax statuses, tax rates,
taxable basis, calculations, rounding, and tolerance for each invoice.
The tax drivers E-Business Tax uses to calculate taxes can differ depending on the
category of invoice and the parties involved. For example, for a Standard invoice in the
U.S., the Location ID and Place of Supply on the invoice are used to determine the
applicable State and County Sales Taxes. For a list of tax drivers, see: Tax Drivers on
Invoices, page 3-206.
When you enter an invoice and click Calculate Tax, E-Business Tax calculates the
following tax amounts.
Invoice Header Tax Amounts
•
Total Tax: Total of inclusive and exclusive tax due to the supplier.
•
Self-Assessed Tax: Total of self-assessed tax. Self assessed tax amounts are taxes
that you are liable for, but that do not appear on the invoice. Self-assessed taxes are
also known as reverse charge or use taxes in certain tax regimes. You can view
self-assessed tax amounts in the Self Assessed Tax Amount field in the Invoice
Header. This field is for reference only; it has no impact on the amount due to the
supplier. See: Self Assessed Taxes on Invoices, page 3-195.
Invoice Line Tax Amounts
•
Exclusive Tax: Shown in separate, summarized lines on the invoice. Recoverable
and Non Recoverable exclusive taxes are shown in separate distributions and are
summarized in a tax line. You can view exclusive tax amounts in the Invoice
window, the Invoice Workbench, Distributions (All Distributions), or the Tax Lines
Summary window.
•
Inclusive Tax: Shown in the Included Tax Amount column for the line. The line
amount is the total of the item amount and the inclusive tax amount. The inclusive
tax amount is provided for reference only. Recoverable and Non Recoverable
inclusive taxes are shown in distributions under a non-tax line. To view the
inclusive tax amounts as separate lines, use the Tax Lines Summary window or the
Distributions window. For Prepayments, inclusive tax amounts are also shown in
the Tax Amount Applied field in the Apply Prepayments window.
When you validate an invoice, E-Business Tax recalculates the tax and places any
Invoices 3-191
tax-related holds on the invoice. If you update a tax driver on a validated invoice, you
must revalidate it. In general, E-Business Tax automatically calculates all applicable tax
amounts for invoices except in the following instances:
•
If you import invoices into Payables from another source, then the tax can be
imported with the invoice. See: Payables Open Interface Import, page 3-142.
•
Depending on your tax setup, you can manually enter, update, or cancel some tax
lines in E-Business Tax. See: Entering Manual Tax Lines on Invoices, Oracle
E-Business Tax User Guide or Updating Tax Lines on Invoices, page 3-194.
Setting Up Taxes on Invoices
To set up taxes for invoices, complete the following setup steps in E-Business Tax:
1.
Set Up Tax Regimes, Oracle E-Business Tax User Guide
A tax regime is a country or geographic region where you do business and where a
specific tax applies.
2.
Set Up Taxes, Oracle E-Business Tax User Guide
A tax is a classification of a tax imposed by a government through a fiscal or tax
authority. For example, VAT is a type of tax.
3.
Set Up Tax Statuses, Oracle E-Business Tax User Guide
A tax status is the taxable nature of a product in the context of a transaction for a tax.
For example, there can be several tax statuses for a tax: standard rate, zero rate,
exempt, and partial exempt.
4.
Set Up Tax Rates, Oracle E-Business Tax User Guide
A tax rate is the rate specified for a tax status. Tax rates are effective for a period of
time and can be expressed as a percentage, as a value per unit quantity, or as a fixed
sum per transaction.
5.
Set Up Tax Recovery Rates (Optional), Oracle E-Business Tax User Guide
A tax recovery rate is the rate for the partial or full reclaim of taxes paid on the
purchase or movement of a product.
6.
Set Up First Party Legal Entities, Oracle E-Business Tax User Guide
A First Party Legal Entity is a legal entity involved in transaction taxes.
7.
Define the Defaults and Controls for a Country, Oracle E-Business Tax User Guide
Specify the default tax information for a given country.
8.
Define the Defaults and Controls for a Configuration Owner , Oracle E-Business Tax
3-192 Oracle Payables User's Guide
User Guide
Specify the default tax information for a given configuration owner. A
configuration owner is any First Party Legal Entity, First Party Legal Establishment,
or operating unit involved in transaction taxes.
9.
Define the Default Application Tax Options, Oracle E-Business Tax User Guide
Specify the default tax information for Payables event classes (Standard Invoices,
Prepayments, Expense Reports).
For more information on setting up taxes, see: Setting Up Taxes in Oracle E-Business
Tax, Oracle E-Business Tax User Guide.
Entering Manual Tax Lines on Invoices
To enter manual tax lines on invoices, enable the following manual tax options in
E-Business Tax. You can set these options at the Event Class, Configuration Owner, or
Tax level. Setting these options at the Event Class level is the most generic; the
Configuration Owner is more specific; and the Tax level is the most specific. The more
specific settings override the more generic settings.
•
•
•
Event Class
•
Allow Entry of Manual Tax Lines
•
Allow Recalculation for Manual Tax Lines
•
Allow Override for Calculated Tax Lines
•
Allow Manual Tax Only Lines - A tax only line is a tax line that is not related to
the transaction or any item line on the invoice.
Configuration Owner
•
Allow Entry of Manual Tax Lines
•
Allow Override for Calculated Tax Lines
•
Allow Recalculation for Manual Tax Lines
Tax - Controls and Defaults
•
Allow Override for Calculated Tax Lines
•
Allow Manual Tax Only Lines
You can only enter manual tax lines in Payables if:
Invoices 3-193
•
The tax amount applies proportionally to the invoice items
•
The tax amount is exclusive
•
The tax line is entered before 'Calculate Tax is clicked.
•
The tax line is entered before the invoice is validated or accounted.
When you enter a manual tax line, enter an amount in the Tax Control Amount field in
the invoice header. E-Business Tax uses the Tax Control Amount to prorate
automatically calculated tax amounts. For example, if you enter a Tax Control Amount
of $10 and E-Business Tax calculates a total tax amount of $12, then E-Business Tax will
prorate the calculated tax amounts so the total tax amount matches the Tax Control
Amount you entered.
See: Entering a Manual Tax Line, Oracle E-Business Tax User Guide
Updating Tax Lines on Invoices
To update tax lines on invoices, enable the Allow Override for Calculated Tax lines tax
option in E-Business Tax. You can set this option at the following levels:
•
Event Class
•
Configuration Owner
•
Tax
Setting this option at the Event Class level is the most generic setting; Configuration
Owner is more specific; and Tax level is the most specific. The more specific settings
override the more generic settings.
If your suppliers can enter invoices using Oracle iSupplier Portal, then set the Allow
Override for Calculated Tax lines tax option for the supplier as well. See: Oracle
iSupplier Portal Integration, page 3-167
When you enable the this option, you can update the taxes that were calculated by
E-Business Tax. For example, you can update the rate or amount. You can also make a
tax inclusive or self-assessed. See: Self-Assessed Taxes on Invoices, page 3-195.
You can only update detailed tax lines if you do not make any changes to tax lines in
the Tax Lines Summary window. See: Changing Existing Tax Line Information, Oracle
E-Business Tax User Guide.
If you override the tax amount and it falls outside of the tolerances specified, then a
hold will be placed on the invoice. See: Defining Tax Tolerances, Oracle E-Business Tax
User Guide.
3-194 Oracle Payables User's Guide
Excluding Taxes from Discounts
If you do not want to include taxes in your discounts, then enable the Exclude Tax From
Discount Calculation Payables Option. Note that if you enable this option, you cannot
set the Discount Distribution Method Payables Option to Prorate.
At validation, E-Business Tax calculates the total tax for the invoice. Next, Payables
calculates the discountable amount, which is Invoice Amount minus the Total Tax
Amount. Then, if the invoice has scheduled payments, Payables updates those
payments accordingly. Payment schedules are not updated if there are changes to taxes
after validation, because the taxes were not considered when calculating the discount.
Payables can only calculate the discountable amount if the invoice is not paid (partially
or fully paid). If an invoice is paid, you must manually adjust the payment schedules as
required. The only exceptions to this are:
•
Offset (Reverse Charge) Taxes – Any taxes with corresponding reverse charge taxes
are not excluded from the discount application.
•
Taxes on Prepayments - When you create or pay a Prepayment, Payables takes the
applicable discount; however, when the Prepayment is applied to the invoice, the
tax on the prepayment is not excluded.
Self-Assessed Taxes on Invoices
To implement self-assessed taxes on invoices, enable the Set for Self
Assessment/Reverse Charge option when you define the tax registration information for
the Party Tax Profile for any First Party Legal Entity or First Party Legal Establishment.
You can enable this option at the following levels:
•
Regime
•
Regime, Tax
•
Regime, Tax, Tax Jurisdiction
Setting the Self Assessment/Reverse Charge option at the Regime level is the most
generic; Regime, Tax is more specific; and Regime, Tax, Tax Jurisdiction level is the
most specific. Any specific settings override the more generic settings. See: Setting Up
Parties for Self Assessment, Oracle E-Business Tax User Guide.
You can also enable self assessment for Third Parties. If you enable self-assessed taxes
for Third Parties, then the taxes will only be assessed for the supplier at the level
specified and not for other suppliers in that tax regime, tax, or jurisdiction.
The following example illustrates how E-Business Tax applies self-assessed taxes to
invoices.
Assume you enter an invoice from a supplier for $1000.00. The supplier did not charge
tax on the invoice; however, assume that according to tax rules, as the purchaser you
Invoices 3-195
are liable to pay a 5% tax on the item to your tax authority.
Standard Invoice
Invoice Amount (including
tax)
Tax Rate
Tax Amount
1000.00
0.00
0.00
When you click Calculate Tax or validate the invoice, E-Business Tax uses the tax
drivers on the invoice, such as Ship To, Product Type, Primary Intended User, Business
Category and Product Fiscal Classification to calculate taxes and determines if any
self-assessed tax should be applied.
In this case, provided the tax setup allows, a Self-Assessed Tax Amount of $50.00 is
applied to the invoice. The Self Assessed Tax Amount field in the Invoice Header is
updated to reflect the amount of self-assessed tax due. This field is for reference only; it
has no impact on the amount due to the supplier. Note that the Tax Amount for the
supplier's invoice is $0.00 and the Invoice Amount is $1000.00.
Standard Invoice - Calculated Self-Assessed Tax
Invoice Amount
(including tax)
Tax Rate
Tax Amount
Self Assessed Tax
Amount
1000.00
0.00
0.00
50.00
You can view the self-assessed tax details in the Tax Lines Summary window. You can
also use the View Accounting report to see how the self-assessed tax amounts are
accounted. The following table illustrates the accounting for this self-assessed tax.
Accounting - Self-Assessed Tax
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-580-7740-0000
-000
Item Expense
1000.00
Vision
Operations
01-000-2210-0000
-000
Liability
1000.00
3-196 Oracle Payables User's Guide
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-580-7740-0000
-000
Self Assessed
Tax
50.00
Vision
Operations
01-000-2340-0000
-000
Self Assessed
Tax
50.00
In this accounting example, the credit is the self-assessed tax liability and the debit is the
non-recoverable self-assessed tax amount.
You cannot use the Distributions window to view self-assessed tax amounts, because
they are not represented on the supplier's invoice.
Depending on your E-Business Tax setup, you can use the Tax Lines Summary window
to update calculated tax lines and mark them as self-assessed or to manually enter
self-assessed tax lines. If you update a calculated tax line and mark it as self-assessed,
the invoice will be updated to remove the calculated tax line from the invoice line and
the distribution details. Also, the Self Assessed Tax Amount field in the invoice header
will be updated with the self-assessed tax amount, as shown in the previous example.
See: Updating Tax Lines on Invoices, page 3-194, or Entering Manual Tax Lines on
Invoices, page 3-193.
To report on self-assessed taxes, use the following Subledger Accounting reports:
•
Account Analysis Report, Subledger Accounting Implementation Guide
•
Open Account Balanced Listing, Oracle Subledger Accounting Implementation Guide
If you are using Offset or Use taxes, see: Setting Up Offset Taxes, Oracle E-Business Tax
User Guide.
Taxes with Deferred Recoverability
In some cases, recoverable taxes can only be accrued and accounted for after the invoice
is paid; this is known as deferred recoverability. You can set up taxes with deferred
recoverability by enabling the following options at the Tax Regime, Tax, Tax Status, or
Tax Rate levels in E-Business Tax. Tax Regime is the most generic level; Tax Rate is the
least specific. If you set the options at the Tax Rate level it will override any settings at a
more generic level.
•
Tax Regime:
•
Allow Tax Recovery
•
Default Recovery Settlement - Set the option to Deferred.
Invoices 3-197
•
•
•
Tax:
•
Allow Tax Recovery
•
Default Recovery Settlement - Set the option to Deferred.
•
Tax Accounts - set up the following tax accounts in GL to manage the deferred
recoverable taxes:
•
Tax Expense
•
Recoverable Tax
•
Interim Tax - this account is used for deferred recoverable taxes until the
invoice is paid. In Cash-Based accounting, an interim tax account is not
used because the accounting will only be done at the time of actual
payment and receipt.
Tax Status:
•
Allow Tax Recovery
•
Default Recovery Settlement - Set the option to Deferred.
Tax Rate:
•
Allow Tax Recovery
•
Default Recovery Settlement - Set the option to Deferred.
The default account for recoverable taxes in Subledger Accounting is Accounts Payable
deferred. You can change this account if necessary.
The following example illustrates how deferred recoverability works in Payables.
Assume you have an invoice for $1100.00, with a total tax amount of $100.00. Assume
that the tax is 55% recoverable.
Standard Invoice
Invoice Amount (including tax)
Tax Amount
1100.00
100.00
After the invoice is validated, the recoverable portion of the tax is placed in an interim
tax account until the invoice is paid.
3-198 Oracle Payables User's Guide
Accounting - Deferred Recoverable Tax Before Invoice is Paid
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-580-7740-0000
-000
Item Expense
1100.00
Vision
Operations
01-000-2210-0000
-000
Liability
1100.00
Vision
Operations
01-000-2800-0000
-000
Recoverable Tax
55.00
Vision
Operations
01-000-7740-0000
-000
Non-Recoverabl
e Tax
45.00
Once the invoice is paid, the deferred tax amount is credited and debited to deferred
recoverable tax.
Accounting - Deferred Recoverable Tax After Invoice is Paid
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-000-2210-0000
-000
Liability
1100.00
Vision
Operations
01-000-1110-0000
-000
Cash Clearing
1100.00
Vision
Operations
01-000-2800-0000
-000
Deferred
Recoverable Tax
55.00
Vision
Operations
01-000-2520-0000
-000
Deferred
Recoverable Tax
55.00
If you were entering a Credit Memo with deferred recoverable taxes, then these entries
would be reversed.
Invoices 3-199
Accounting - Deferred Recoverable Tax on Credit Memo
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-000-2210-0000
-000
Liability
1100.00
Vision
Operations
01-000-1110-0000
-000
Cash Clearing
1100.00
Vision
Operations
01-000-2800-0000
-000
Deferred
Recoverable Tax
55.00
Vision
Operations
01-000-2520-0000
-000
Deferred
Recoverable Tax
55.00
Taxes on Prepayment Invoices
Prepayments have the following special considerations related to tax.
Taxes can be set up for Prepayments in general, or for specific types of prepayments
such as contract financing, advances and automatic and manual prepayment
applications.
Taxes are not always applied to Prepayments. If you want to apply taxes to
Prepayments, enable the Allow Tax Applicability option for the Prepayment Event
Class in E-Business Tax. See: Managing Event Class Settings, Oracle E-Business Tax User
Guide.
Define tax rules to set up specific tax rates for different types of prepayments. For
example, to tax Contract Financing prepayments but not Advances, you can create a tax
rule which will look specifically for line classes of P2P Advance or P2P Contract
Financing to assign a specific tax rate. See: Tax Rules in E-Business Tax, Oracle
E-Business Tax User Guide
Tax rules also affect how taxes are applied to a prepayment. In particular, it is affected
by how you set the Applied Amount Handling option for the tax. You can set this
option to either Recalculated or Prorate.
The following examples illustrate how the Applied Amount Handling option affects
Prepayments.
Recalculated Examples
If the the Applied Amount Handling option is Recalculated, when a Prepayment is
applied to a Standard Invoice the tax is recalculated and, if there is a difference in tax
rates no liability remains.
3-200 Oracle Payables User's Guide
Assume that you enter a Prepayment for $240.00, with a 20% Tax Rate.
Prepayment Invoice
Invoice Amount (including
tax)
Tax Rate
Tax Amount
240.00
0.20
40.00
After the prepayment is paid, the tax rate changes from 20% to 25%. Next, assume you
enter a Standard Invoice for $250.00, the 25% tax rate is automatically applied to the
invoice.
Standard Invoice
Invoice Amount (including
tax)
Tax Rate
Tax Amount
250.00
0.25
50.00
When you apply the Prepayment to the Standard Invoice, the system applies the
Prepayment at the current tax rate, leaving no liability. However, if you view the
accounting, the difference of $10.00 is credited to the Tax Difference Account.
Accounting - Recalculated Prepayment
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-580-7740-0000
-000
Item Expense
200.00
Vision
Operations
01-580-7740-0000
-000
Non-Recoverabl
e Tax
50.00
Vision
Operations
01-000-2210-0000
-000
Liability
250.00
Vision
Operations
01-000-2210-0000
-000
Liability
250.00
Invoices 3-201
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-000-1340-0000
-000
Prepaid Expense
240.00
Vision
Operations
01-000-7826-0000
-000
Tax Difference
Account
10.00
In another example, assume you enter a prepayment of $100.00, with 10% tax and the
tax is 60% recoverable. In that case $6.00 is recoverable and $4.00 is non-recoverable. If
the tax rate changes to 15%, then the recoverable tax amount is 9.00 and the
non-recoverable tax amount is 6.00. A tax different of 2.00 is credited to the tax
difference account. The accounting for this scenario is shown in the following table.
Accounting - Recalculated Prepayment
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-000-1340-0000
-000
Item Expense
100.00
Vision
Operations
01-000-1340-0000
-000
Non-Recoverabl
e Tax
6.00
Vision
Operations
01-000-1340-0000
-000
Recoverable Tax
9.00
Vision
Operations
01-000-2210-0000
-000
Liability
115.00
Vision
Operations
01-000-2210-0000
-000
Liability
115.00
Vision
Operations
01-000-1340-0000
-000
Prepaid Expense
100.00
Vision
Operations
01-000-1340-0000
-000
Prepaid Expense
4.00
Vision
Operations
01-000-1340-0000
-000
Prepaid Expense
9.00
3-202 Oracle Payables User's Guide
Ledger
Account
Accounting
Class
Vision
Operations
01-000-7826-0000
-000
Tax Difference
Account
Accounted DR
Accounted CR
2.00
Prorate Example
If the Applied Amount Handling option is Prorate, then the tax is applied at the
Prepayment rate and the difference between the tax on the Prepayment and the
Standard Invoice is a liability. This example uses the same assumptions as the
Recalculated example and illustrates what happens when there is a tax rate increase.
Prepayment Invoice
Invoice Amount (including
tax)
Tax Rate
Tax Amount
240.00
0.20
40.00
Invoice Amount (including
tax)
Tax Rate
Tax Amount
250.00
0.25
50.00
Standard Invoice
Standard Invoice After Prepayment is Applied - Prorate
Invoice Amount (including
tax)
Tax Amount
Tax Liability Remaining
10.00
10.00
10.00
In this case, the difference between the Prepayment Tax Amount and the Standard
Invoice Tax Amount is accounted in the Tax Difference Account and Liability has a
credit balanced of $10.00.
Invoices 3-203
Accounting - Recalculated Prepayment
Ledger
Account
Accounting
Class
Accounted DR
Accounted CR
Vision
Operations
01-000-1340-0000
-000
Prepaid Expense
240.00
Vision
Operations
01-000-2210-0000
-000
Liability
240.00
Vision
Operations
01-000-2210-0000
-000
Liability
240.00
Vision
Operations
01-000-1110-0000
-000
Cash Clearing
240.00
Vision
Operations
01-580-7740-0000
-000
Item Expense
200.00
Vision
Operations
01-580-7740-0000
-000
Non-Recoverabl
e Tax
50.00
Vision
Operations
01-000-2210-0000
-000
Liability
200.00
Vision
Operations
01-000-2210-0000
-000
Liability
50.00
Vision
Operations
01-000-2210-0000
-000
Liability
250.00
Vision
Operations
01-000-1340-0000
-000
Prepaid Expense
240.00
If the Applied Amount Handling option is Prorate, and the tax rate decreases, then when
you apply the prepayment to the invoice the result is a credit balance. To avoid a tax
decrease from causing a credit balance, unapply the prepayment and enter a lesser
prepayment, so the invoice total after the prepayment is applied is 0.
If you anticipate that tax decreases will occur and do not want to unapply and reapply
prepayments as described, then consider setting up inclusive taxes in E-Business Tax. It
is easier to partially apply prepayments that have inclusive taxes; therefore, it is easier
to manage prepayments when tax decreases occur.
3-204 Oracle Payables User's Guide
Tax Variances
A tax variance occurs when there is a difference between the tax on the invoice and the
tax on the PO matched to the invoice. When you match a PO to an invoice, there are
three tax-related variances that can occur:
•
Tax Exchange Rate Variance (TERV) – when there is a difference between the
invoice and PO distributions due to exchange rate variance.
•
Tax Invoice Price Tax Rate Variance (TIPV) – when there is a difference between th
invoice and PO distributions due to price variance.
•
Tax Rate Variance (TRV) – when there is a difference between invoice and PO
distributions due to difference in tax applicability.
In addition, Tax Quantity Variance (TQV) is calculated, but is shown as a non-variance
distribution.
Variances are calculated for all taxes that are enabled in E-Business Tax.
The following example illustrates how variances are determined.
Purchase Order
Quantity
Price
Currency
Exchange
Rate
Total Tax
Approval
Amount
1
100.00
CAD
0.8
0.00
100.00
Assume that the purchase order shown above is matched to the invoice shown below.
Invoice
Item Amount
Payment
Currency
Exchange
Rate
Unit Price
Tax Amount
Invoice
Amount
100.00
CAD
1.1
100.00
20.00
120.00
Note that the exchange rate and tax amounts differ between the PO and the Invoice. The
distributions for the invoice show a Tax Exchange Rate Variance of 0.3 and a Tax Rate
Variance of $20.00.
To illustrate an Invoice Price Tax Rate Variance, assume that the invoice is the same as
as above, but the Unit Price changes from $100.00, as shown on the Purchase Order, to
$200.00. The Tax Amount also changes as a result of the change in Unit Price.
Invoices 3-205
Invoice
Item Amount
Payment
Currency
Exchange
Rate
Unit Price
Tax Amount
Invoice
Amount
100.00
CAD
1.1
200.00
40.00
120.00
Tax Tolerances and Releasing Tax Holds
To define tax tolerances, enabled the Allow Override for Calculated Tax Lines option in
E-Business Tax. Tax Tolerances can be defined for any combination of Event Class and
Configuration Owner. Tax Tolerances determine when Tax Holds are placed on an
invoice. E-Business Tax places a hold on an invoice when a calculated tax line is
updated and the updated tax amount exceeds the specified tolerance. Use E-Business
Tax to release a tax hold.
For more information on tax tolerances and tax holds, see: Defining Tax Tolerances,
Oracle E-Business Tax User Guide.
Tax Drivers on Invoices
The following tax drivers appear on the invoice header and are used to determine tax
applicability and calculate taxes for invoices:
•
Invoice Date
•
Supplier Name
•
Supplier Number
•
Supplier Site Invoice
•
Currency Related Invoice
•
Taxation Country
•
Credited Invoice (Quick Credit)
•
Exchange Rate
•
Exchange Rate Type
•
Exchange Rate Date
•
Invoice Sub-Type
3-206 Oracle Payables User's Guide
The following tax drivers appear on the invoice lines and are used to determine tax
applicability and calculate taxes for invoices:
•
Type
•
Quantity Invoiced
•
Unit of Measure
•
Unit Price Amount
•
PO Number
•
PO Release Number
•
PO Shipment Number
•
Receipt Number
•
Default Account
•
Inventory Item
•
Business Category
•
Primary Intended Use
•
Fiscal Classification
•
Product Fiscal Classification
•
Product Type
•
Product Category
•
Ship-To
•
Country of Supply
•
Assessable Value
•
Control Amount
Ability to Change Inclusion or Exclusion of Taxes
You can change the tax from inclusive to exclusive or vice versa on the transaction.
Payables provide an ability to make the taxes applicable as inclusive or exclusive while
entering the invoices, depending on the business practice and after looking at the
Invoices 3-207
physical invoice available. You can decide whether a tax is inclusive or exclusive on the
fly for a transaction.
You can override the Inclusive Flag in Tax details page for the system generated tax
line. The inclusive flag depends on the setup done for that particular tax in E-Business
Tax. From the document (Payables Uptake of E-Business Tax) and other references, it
has been noted that the behavior was changed in R12 Payable Invoices with a purpose.
You can override the tax inclusion flag at the Invoice level. In the UK Tax Regime, the
law is that the supplier can issue Retail invoices, if the individual supply is more then
£250, VAT should be shown as inclusive or exclusive values depending on his business
practice. For Invoices less then £250, the invoice should show exclusive values. They
further mentioned that freight invoices also commonly show inclusive and exclusive
line items depending on the Customer's business practice. The details of the VAT laws
applicable in UK is available on this link.
You can now override Inclusive flag at the Invoice workbench level before the
calculation of taxes. When the tax engine used to return inclusive taxes, Payables would
subtract the item distribution amount (net off inclusive taxes) and store tax distributions
as exclusive. No more changes were allowed after this point.
On the Tax Details window, you set the taxes applicable on invoice to be inclusive or
exclusive, by selecting the Includes tax option that can be overridden in the Tax Details
window.
The following Business Rules apply: You can override the Includes tax option in the Tax
Detail window based on the setup in the EB Tax and before the invoice is undergone
any of these changes:
•
Accounted
•
Having any Prepayments Applied
•
Paid or Partially paid
•
Withholding tax is calculated
•
Encumbered for the first time. This implies that once encumbrance is created on an
invoice, the Includes Tax flag cannot be edited.
You cannot override the Includes Tax option in the Tax Summary window.
For Tax Only Line on an invoice, the Includes Tax option is not editable.
For Expense Reports, the Includes tax option is not editable on Tax Summary window.
The Taxes for expense reports will always be Inclusive.
For PO or Receipt Matched Invoices, the Includes tax option in the Tax Detail window
is disabled.
For Inter-company Transactions and Manual Tax Lines entered in the Invoice
Workbench, you cannot override the Inclusive Tax value.
3-208 Oracle Payables User's Guide
For Self Assessed Tax lines and Offset Tax lines as well, the Inclusive Tax option cannot
be overridden.
For manual tax lines entered in the tax details window, you can select the Inclusive Tax
option to includes tax only at the time of entering the tax line. Once the tax line is saved,
you cannot override it.
Special Inclusive tax handling is not supported. Only Standard Inclusive Handling is
supported. For the Quick Credit Memo transaction type, Applied Credit Memo and
Applied Debit Memo (created using corrections or Create Debit Memo From RTS
transactions), which are created by copying the data from the Invoice, the Inclusive Tax
option cannot be overridden.
Once an inclusive tax is calculated, you cannot split the item distributions. If you want
to modify the distributions, then discard the item line.
For upgraded Invoices, you cannot override the Inclusive Tax option.
When setting up taxes, if you selected the Applied Amount Handling option as
Recalculated, then for such taxes the Inclusive Tax cannot be overridden for the
Prepayment type Invoices.
For Cancelled Tax lines, you cannot override the Inclusive taxes.
In the tax details window, for a tax already calculated, if you change the inclusive
option and also other values such as tax rate, tax status, then the calculation is done
based on the tax percentage and the most recent value of the Inclusive tax as specified
on the item line before the values were modified. For example,
•
Item Line = 100$
•
Tax – Exclusive at 10% = 10$
If you change the Include Tax value in the Tax Details window and change the Tax Rate
to 15%, then the application ignores the modified tax rate of 15%. The tax rate is
calculated based on the value specified on the Item line prior to change which is 10%
Inclusive on 100$ that comes to 9.09.
Note: For an Invoice, if a Prepayment is applied, then you cannot
override the inclusive tax. You can override the Inclusive Tax option
when you unapply the prepayment.
For an already paid Invoice, you cannot override the inclusive tax option. However, if
you void the payment, then you can override the override the inclusive tax option.
Holds
Holds that you apply manually or that Payables applies, prevent payment and, in some
cases, creation of accounting entries for an invoice. You can remove holds that you
apply, and you can manually release certain holds that Payables applies during Invoice
Invoices 3-209
Validation.
In addition to manually releasing holds, Oracle Payables integrates with Oracle
Workflow to provide a resolution of user releasable holds through workflow. Holds
resolution workflow is initiated during Invoice Validation.
Payables provides some generic invoice holds for you to use, and you can define your
own, based on your invoice validation needs. You can also prevent payment of supplier
invoices by placing a hold on the supplier rather than on each individual invoice.
This discussion on holds includes the following topics:
•
Applying Holds, page 3-210
•
Releasing Holds, page 3-214
Related Topics
Invoice Hold and Release Names, Oracle Payables Implementation Guide
Summary of Invoice Hold Names, page C-1
Invoice Holds Tab Reference, page 3-334
Applying Holds
There are three types of holds you can use to prevent payment of an invoice:
•
Invoice Hold. You can manually apply one or more Invoice Hold Names ("holds")
to an invoice using the Invoice Holds tab of the Invoice Workbench.
•
Scheduled Payment Hold. You can hold payment on part of an invoice by placing
one or more of the scheduled payments on hold in the Scheduled Payments tab of
the Invoice Workbench.
•
Supplier Hold. In the Suppliers: Invoice Management page, you can enable the
Hold All Payments, Hold Unvalidated Invoices, or Hold Unmatched Invoices
options for supplier sites. You also have the option of specifying an Invoice Amount
Limit for a supplier site.
Important: The Holds field of the Invoices window displays only
invoice holds and does not reflect holds you apply in the Scheduled
Payments tab or in the Suppliers: Invoice Management page. For
example, if the Hold All Payments option is enabled in the
Suppliers: Invoice Management page and there are no invoice
holds on an invoice, the Invoice Summary Holds field will display
zero.
Payables automatically applies certain holds to exception invoices during Invoice
3-210 Oracle Payables User's Guide
Validation. You cannot manually apply these system holds.
For example, if the sum of an invoice's distribution amounts does not equal the Invoice
Amount, Payables will apply a Distribution Variance hold to the invoice during Invoice
Validation.
Applying a Hold to an Invoice
Prerequisite
•
Define your hold codes in the Invoice Hold and Release Names window. See:
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
•
Enter the invoice. See: Entering Invoices, page 3-13.
To apply a hold to an invoice:
1.
Find the invoice in the Invoices window. See: Finding Invoices, page 3-224.
2.
Select the invoice and choose the Holds tab. Apply a hold by selecting a Hold Name
from the list of values. You can select from all Invoice Validations defined with the
type Invoice Hold Reason. You can apply as many holds to an invoice as you
require. Payables displays a full audit trail of all current and released invoice holds
in this window.
3.
Save your work.
Supporting Engineering and Construction Subcontractor Payment Management
Engineering and Construction firms have unique requirements regarding subcontractor
management, subcontractor payment, and customer billing. It is a common practice in
the Engineering and Construction industry to hire a Subcontractor by a General
contractor to perform specific portions of work as part of the overall construction
project. Improvements in Payment management of Subcontractor are considered to be a
top priority to the Engineering and Construction industry in recent years, considering
Subcontractor role in successful completion of the project. To synergize the efforts of
Subcontractor in overall success of project it is very important to do timely payments to
place appropriate controls in the Payment process.
Payables Department must have efficient and effective controls on payments. Payables
department must ensure that suppliers are paid only when they are supposed to be
paid as per the terms defined. Till then the suppliers should be held for any payment.
The Business Process related to Engineering and Construction usually includes the Pay
when Paid terms and other deliverable required from the Subcontractor Pay When Paid
is a payment term common in the Engineering and Construction Industry where
subcontractors are not paid until the customer pays the general contractor.
PO Deliverable are documents required to be submitted or renewed by the
Invoices 3-211
subcontractor. If this is not done as per the terms, the payments are held for the
supplier.
For details on the Business process, refer to Oracle Projects User Guide.
Payables supports automatic Payment Holds and Releases in following scenarios:
•
Pay when paid scenario
•
PO Deliverable
You define the Hold and Reasons on the Holds tab on the Invoices Workbench window.
Two new types of Invoice Hold Names, Pay when paid scenario and PO Deliverable,
and two new Invoice Release reasons, Project Manager release and Automatic Release,
are included.
This lets you hold the payment if pay when paid term is enabled or if Deliverable is not
received from tbe subcontractor
Pay When Paid Scenario
To support pay when paid scenario, you must first enable these terms in the Purchase
Order. Whenever invoices are validated (online or through the Concurrent Process), if
the invoice is matched to Purchase order or receipt, and any of the matched PO has Pay
When Paid marked as Yes, the invoice is put on hold with hold reason as Pay when
Paid hold. You can release the Pay When Paid Hold:
•
From Project Manager workbench
•
Through PRC: Release Pay When Paid Invoices Concurrent Process
•
Manually through invoice workbench
Refer to the Oracle Projects User Guide for more details.
To support payment control with regard to PO deliverable, whenever invoices are
validated (online or through the Concurrent Process), if the PO Deliverable are not
received or renewed as per the terms and set up, the invoices are put on PO Deliverable
Hold. The hold is released when the PO Deliverable are received.
PO Deliverable Hold can be released in the following ways:
•
By the Invoice validation Program
•
From the Project Manager Workbench
•
Manually through Invoice Workbench
Refer to Oracle Projects and Oracle Procurement User Guides for more details.
Applying a Hold to a Scheduled Payment
Prerequisite
3-212 Oracle Payables User's Guide
•
Enter the invoice. See: Entering Invoices, page 3-13.
To apply a hold to a scheduled payment:
1.
Find the invoice in the Invoices window. See: Finding Invoices, page 3-224.
2.
Select the invoice and choose the Scheduled Payments tab. To hold a scheduled
payment, check Hold. By checking the Hold check box, you will not be able to pay
the scheduled payment until you remove the hold by checking the check box again.
If you want to partially pay an invoice that has only one scheduled payment, you
can choose Split to break the scheduled payment in two. This way you can place
one of the lines on hold, while leaving the other free for payment. You can create as
many scheduled payments as you require as long as the sum of the Gross Amounts
for all equals the Invoice Amount.
For example, the supplier sends you an invoice for two desks and delivers only
one. You can partially pay the invoice by splitting the scheduled payment in two
and applying a hold to one scheduled payment. You can release the hold after
delivery, making the scheduled payment available for payment.
3.
Save your work.
Applying Supplier Site Holds
Prerequisite
•
Define your hold codes in the Invoice Hold and Release Names window. See:
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
To apply supplier site holds:
Prevent payment of multiple supplier invoices by applying a hold to the supplier site
rather than on each individual invoice. There are several types of supplier related holds
(also known as vendor holds) that you enable for a supplier site. Payables also provides
these options at the Supplier level, but Payables only uses these values to provide
defaults for new supplier sites that you enter. The options you enable at the Supplier
Site control Payables processing:
•
Hold All Payments. This is the most restrictive supplier site hold. By checking Hold
All Payments in the Invoicing tab of the Supplier Sites region on the Suppliers:
Invoice Management page, you prevent the supplier site from being selected for
payment during a payment batch or for a Quick payment. You cannot pay invoices
for the supplier site until you uncheck the Hold All Payments option at the supplier
site.
•
Invoice Amount Limit. If you enter an invoice for a supplier site that exceeds the
invoice amount limit you specify, Payables applies an Amount hold to the invoice
Invoices 3-213
during Invoice Validation. You cannot pay the invoice until you release the hold.
You can release the hold by adjusting the invoice amount or you can manually
release the hold in the Invoice Holds tab.
You can also use Oracle Workflow to release the hold through workflow.
•
Hold Unmatched Invoices. By checking this for a site, if you do not match an
invoice to a purchase order or purchase order receipt (and instead enter
distributions manually or with a distribution set), Payables places a Matching
Required hold on the invoice during Invoice Validation. You cannot pay the invoice
until you release the hold. You can release this hold by matching the invoice to a
purchase order or purchase order receipt or you can manually release the hold in
the Invoice Holds tab.
You can also use Oracle Workflow to release the hold through workflow.
•
Hold Unvalidated Invoices. By checking this option for a site, Payables
automatically applies a Supplier hold to all new invoices entered for that site.
Payables applies this hold during Invoice Validation. You will still be able to pay
invoices that have previously been entered and validated for the supplier site. You
can manually release the hold in the Invoice Holds tab or through workflow.
Uncheck this option when you no longer want to hold unvalidated invoices for a
supplier site.
APPLYING HOLDS RESTRICTIONS:
PAYMENT BATCH SELECTED INVOICES: You cannot apply holds to an invoice
you have selected for payment in a payment batch.
Related Topics
Releasing Holds, page 3-214
Invoice Validation, page 3-172
Selecting Multiple Records, Oracle Applications User's Guide
Checking Funds for Invoices, page 10-27
Releasing Holds
Release holds from invoices to allow payment and accounting entry creation for the
invoices. You can view the holds on an invoice in either the Invoice Overview window
or the Invoice Holds tab. You can see the number of invoice holds on an invoice in the
Holds display only region of the Invoices window. Identify invoices on hold with the
Invoices On Hold report and the Matching Hold Detail report. These reports aid you in
releasing holds from invoices.
After you release all holds from an invoice it is not necessary for you to resubmit
Invoice Validation before you can pay or create accounting entries for it. Invoice
3-214 Oracle Payables User's Guide
Validation will not place an invoice on the same type of hold that you manually
released.
You must manually release all holds that you apply manually. Payables does not
automatically release holds that you apply to invoices. During Invoice Validation,
Payables automatically releases system holds (anything other than the user defined
holds you define) from invoices with corrected exception conditions. For example, you
fix a distribution variance on an invoice, resubmit Invoice Validation, and Payables
automatically releases the Distribution Variance hold.
If you release a manually releasable hold that Payables applied during Invoice
Validation, the next time you submit Invoice Validation, Payables will not reapply the
same hold.
Payables applies some holds that you cannot release. You can use the Invoice Holds tab
to view invoices with these holds, but you cannot manually release these holds. You
must correct the exception that caused Invoice Validation to place the hold on the
invoice, then resubmit Invoice Validation to release the holds. You can correct
exceptions by updating the invoice or the purchase order or by changing your Invoice
Tolerances.
There are three types of holds you can manually release:
•
Invoice Hold. You can release one or more Invoice Hold Reason Validations
("holds") from an invoice using the Invoice Holds tab. You can release multiple
invoice holds from many invoices at once using the Invoice Actions window. See:
Releasing Holds From an Invoice, page 3-216, and Releasing Holds from Multiple
Invoices, page 3-216.
•
Scheduled Payment Hold. You can release a scheduled payment hold in the
Scheduled Payments tab. See: Releasing Scheduled Payment Holds, page 3-217.
•
Supplier Site Hold. Release the Hold All Payments option for a supplier site by
unchecking the Hold All Payments option at the supplier site in the Suppliers:
Invoice Management page. Holds resulting from the following supplier options
must be released from the invoices in the Invoice Holds tab: the Hold Unvalidated
Invoices option (Supplier hold), Hold Unmatched Invoices option (Matching
Required hold), and the Invoice Amount Limit (Amount hold). See below:
Releasing Holds From an Invoice, page 3-216.
Note: You can also use Oracle Workflow to release holds through
workflow. See: Releasing Holds Through Workflow, page 3-217.
It is recommended that you do not use Accounting at the same time as the Hold Release
as it is results in a significant performance issue. After releasing holds, run the Create
Accounting process. You can still use the concurrent process too.
Invoices 3-215
Related Topics
Hold Release Restrictions, page 3-221
Summary of Hold and Release Names, page C-1
Invoice Holds Tab Reference, page 3-334
Releasing Holds From an Invoice
Prerequisite
•
Define your release codes in the Invoice Hold and Release Names window. See
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
To release holds from an invoice:
1. In the Invoices window find the invoice from which you want to release holds. See:
Finding Invoices, page 3-224.
2.
Choose the Holds tab. Release a hold by selecting a Release Name. You can select
from all Invoice Holds and Release Names defined with the type Invoice Release
Reason.
To release multiple holds at once, choose Release and select a Release Name. You
can select from all Invoice Holds and Release Names defined with the type Invoice
Quick Release Reason. When you save your work, Payables automatically assigns
the release name to all releasable holds. Choose OK.
3.
Save your work.
Releasing Holds from Multiple Invoices
Prerequisite
•
Define your release codes in the Invoice Hold and Release Names window. See
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
To release holds from multiple invoices:
1. In the Invoices window, use the Find window to query the invoices for a particular
supplier from which you want to release holds. See: Finding Invoices, page 3-224. It
is not necessary to enter a particular Hold Name in the Holds region of the Find
Invoices window. In the Invoices window, select each invoice for which you want
to release holds (use the CTRL key and at the same time right click with your
mouse on each invoice to select it).
2.
Choose Actions to navigate to the Invoice Actions window. Select Release Holds. In
the Hold Name field, either select the name of the one hold type you want to
release, or accept the default of All to release all releasable holds for each selected
3-216 Oracle Payables User's Guide
invoice
Select a Release Name. You can select from all Invoice Holds and Release Names
defined with the type Hold Quick Release Reason. Optionally override the release
reason associated with the Release Name.
3.
Choose OK. Payables automatically releases all releasable holds and assigns the
release name to all releasable holds across the multiple invoices you selected.
4.
Save your work.
Releasing Scheduled Payment Holds
Prerequisite
•
Define your release codes in the Invoice Hold and Release Names window. See
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
To release scheduled payment holds:
1. In the Invoices window, choose the Scheduled Payments tab
2.
Uncheck the Hold check box to release the hold from a scheduled payment.
3.
Save your work.
Releasing Supplier Holds
To release supplier holds:
• To release Supplier, Matching Required, and Amount holds from an invoice, see
above: To release holds from an invoice. To release a Hold All Payments option for
a supplier site, simply uncheck the option in the Suppliers: Invoice Management
page.
Releasing Holds Through Workflow
Holds resolution workflow is initiated during Invoice Validation when:
•
The Initiate Workflow option is selected for the hold type.
•
The hold can be released manually.
Note: If the Approvals Manager setup does not provide a valid
approver, the workflow terminates without further processing.
Prerequisites
Prior to releasing holds through workflow, you must:
Invoices 3-217
•
Install and set up Oracle Approvals Management (AME) for the transaction type of
APHLD.
Define the rules that the system uses to determine who the appropriate approvers
are for a hold. Holds resolution requires only one level of approval. For information
on defining rules in AME, see: Oracle Approvals Management User Guide.
•
Set up Oracle Workflow for the workflow item type of APHLD.
For information on setting up Oracle Workflow, see: Setting Up Oracle Workflow,
Oracle Workflow Administrator's Guide.
•
Define your release codes in the Invoice Hold and Release Names window. See:
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
•
Select the Initiate Workflow option for the hold type and specify workflow options.
To release holds through Workflow:
1. Access the Workflow Notifications List and select notifications for holds.
2.
Review the information on the Notifications Detail page.
For PO matched invoices, the approver can select:
•
Release. On receiving this response, the system releases the hold and the
invoice becomes eligible for Invoice Validation and payment.
•
Acknowledge. This indicates that the hold has been handled. For example, you
have altered the tolerances so the Quantity Ordered hold is no longer needed
and when the invoice is validated the system will release the hold.
The workflow waits for the specific amount of time defined for the hold type,
and then determines if the hold is released. If so, the workflow ends. The
system sends the notification again if the hold has not been released. This
process continues until the hold is resolved.
•
Negotiate. The approver can negotiate with the supplier on the price or
quantity.
Access the Invoice Lines Detail page. When the approver selects Negotiate as
the Action for the invoice line, the system sends a workflow notification to the
supplier. Negotiation is for all lines involved in the hold. The approver does not
have the option to negotiate some lines, they need to negotiate all lines.
The supplier can Accept, Cancel Invoice, or continue the negotiation process.
The system sends a notification to the approver if the supplier accepts or
cancels the invoice.
3-218 Oracle Payables User's Guide
Note: The user assigned to the supplier must have access to the
cancel invoice function in order to cancel an invoice.
For non-PO matched invoices, the approver can Release or Acknowledge the hold. The
approver does not have the option to negotiate the hold.
Note: The non-PO matched invoice negotiation is initiated during the
invoice approval process. For more information on invoice approval,
see: Invoice Approval Workflow Overview, page 3-182.
Hold Resolution Workflow
The Hold Resolution workflow allows you to release holds through workflow. As a part
of the holds resolution, for non-purchase order matched invoices, it allows negotiation
between the internal Payables clerk and the supplier. Releasing the holds on an invoice
allows it to be eligible for validation and approval.
All holds are available as attributes in AME. You define conditions for the hold
attributes that you are using workflow to resolve. Once your Conditions and Approver
Groups are finalized, you can create your Approval Rules. You create an approval rule
for your purchase order matched invoices and one for your unmatched invoices.
Payables Hold Resolution is supported for only HR people users when using static or
dynamic approval groups.
See: Approvals Management Implementation Guide for more details.
Holds resolution workflow runs during validation when the:
•
Initiate workflow option is selected for the Hold Type.
•
Hold can be released manually.
If the Approvals Manager setup does not set up a valid approver, then the workflow
terminates without further processing.
PO Matched Flow
The holds resolution workflow uses the following process for PO matched invoices. An
initial Workflow notification is sent to Internal Approver who is derived from the
Approvals Management Engine (AME) setup. The Internal Approver can choose the
following actions:
•
Release the Hold – The Hold is released and the hold history table is updated. The
invoice becomes eligible for validation and approval.
•
Acknowledge the Hold – Acknowledge that the Hold has been taken care of
already (say the tolerances have been altered so the Quantity Ordered hold is no
longer needed and when the invoice is next validated the hold is released). The
Invoices 3-219
workflow waits for specific amount of time setup at the Hold type level, and checks
again if the hold is really released. And then the workflow ends. If the hold has still
not been released, then the notification is sent again. This is repeated until the hold
is resolved.
•
Negotiate – You can go to the negotiation page through a link in the Notification
and negotiate with the supplier on the Quantity Ordered, Quantity Received, Price,
Amount Ordered, and Amount Received. Price or the Quantity. Negotiation is only
for the lines involved in the hold. When the internal approver chooses to negotiate
with a supplier, a Workflow notification is sent to the supplier (selected in the
negotiation page by the internal approver).
•
The supplier has the following choices:
•
Accept – The Hold is released and logged in the approval history table and a
notification is sent to the internal approver who negotiated with the supplier.
•
Cancel Invoice - The invoice is cancelled and the action logged in the approval
history table.
•
Negotiate - The supplier can negotiate with the internal approver on the Price
or the Quantity. Note that the negotiation is only for the lines involved in the
hold.
Non-PO Matched Flow
The only difference between the PO Matched and the Non-PO Matched flow is that the
Internal Approver does not have the option to negotiate. An initial Workflow
notification is sent to the Internal Approver. The Internal Approver can do the
following:
•
Release the Hold – The Hold is released and the hold history table is updated. The
invoice becomes eligible for validation and approval.
•
Acknowledge the Hold – Acknowledge that the Hold has been taken care of
already (say the tolerances have been altered so the Quantity Ordered hold is no
longer needed and when the invoice is next validated the hold is released).
The workflow waits for specific amount of time setup at the Hold type level, and checks
again if the hold is really released. And then the workflow ends. If the hold has still not
been released, then the notification is sent again. This is repeated until the hold is
resolved.
Related Topics
Adjusting Invoices, page 3-271
Invoice Tolerances, Oracle Payables Implementation Guide
Selecting Multiple Records, Oracle Applications User's Guide
3-220 Oracle Payables User's Guide
Hold Release Restrictions:
FIND WINDOW. When you use the Find window to locate invoices from which you
want to release holds, Payables releases only the holds that match your invoice find
criteria.
SYSTEM HOLDS.Payables applies some holds that you cannot manually release. You
can use the Invoice Holds tab of the Invoice Workbench to view invoices with these
holds, but you cannot release these holds. You must fix the problem that caused Invoice
Validation to place the hold on the invoice then resubmit Invoice Validation to release
the holds. You cannot release the following holds:
•
Dist Variance. Invoice amount does not equal the sum of the invoice distribution
amounts.
•
No Rate. Foreign currency invoice does not have an exchange rate assigned to it.
•
Can't Funds Check. Budget does not exist for the invoice accounting period, or the
invoice distribution account does not equal the purchase order distribution account.
This hold is used by Payables only if you use encumbrance accounting and the
absolute or advisory method of budgetary control.
•
Final Matching. Invoice has one or more distributions final matched to a purchase
order.
•
Can't Try PO Close. Invoice is final matched to purchase order, but Invoice
Validation placed one or more holds on invoice during validation.
•
Dist Acct Invalid. Invoice distribution has an invalid account. An invalid account
prevents you from creating accounting entries for an invoice or payment.
•
ERV Acct Invalid. Invoice Validation created an invalid Exchange Rate Variance
account for an invoice distribution. Payables only applies this hold if you enable
Automatic Offsets.
•
No AWT Period. Invoice Validation did not find the period in the withholding tax
special calendar. Create the period in the special calendar and resubmit Invoice
Validation.
Invoice Notices
Generate a standard invoice notice to send to a supplier to inform them about one or
more invoices you have entered. For credit/debit memos, the notice informs the
supplier of outstanding credit or debit memos that you will apply to future invoices.
You can print an invoice notice in two ways:
•
From the Invoices window you can print one notice for a selected invoice. See:
Invoices 3-221
Printing Invoice Notices from the Invoice Workbench, page 3-222.
•
Submit the Print Invoice Notice from the Submit Request window to print multiple
invoice notices for invoices that match selection criteria you specify. See: Print
Invoice Notice, page 9-124.
Payables generates one type of notice for a Standard invoice, and another type for
Credit and Debit Memos. You can use Oracle Reports to change the boilerplate text of
either letter. See: Customizing Your Supplier Letters, Oracle Payables Implementation
Guide. If you use multiple languages in your Payables installation, then Payables will
group the notices by language and submit the report once for each group.
You specify a language for the supplier at the supplier site. The following is the
introductory text of the invoice letters that come with Payables:
•
Standard Invoice: "Your attention is requested regarding the following invoice."
•
Credit or Debit Invoice: "The following transaction was entered on <invoice entry
date>. It will be used to reduce the amount of a payment in the near future."
The invoice notice then lists the following information:
•
invoice number
•
amount
•
description
•
date
If the invoice is purchase order matched, the notice also lists the following information:
•
purchase order number
•
item
•
date
The invoice notice ends with a signature block with the Sender Name and Sender Title
you enter as parameters when you print an invoice notice.
See also: Customizing Your Supplier Letters, Oracle Payables Implementation Guide
Printing Invoice Notices from the Invoice Workbench
To print notices from the Invoice Workbench:
1.
In the Invoices window select the invoice for which you want to create an invoice
notice.
3-222 Oracle Payables User's Guide
2.
Choose Actions. Select Print Notice.
Enter the Sender Name and the Sender Title that you want in the signature block of
the notice.
3.
Choose OK. Payables submits a concurrent request to print the invoice notice.
Related Topics
Print Invoice Notice, page 9-124
Reviewing Invoices
This section includes the following topics:
•
Invoice Overview, page 3-231
•
Finding Invoice Batches, page 3-224
•
Finding Invoices, page 3-224
•
Reviewing Invoice Distributions, page 3-226
•
Reviewing Payment Information, page 3-227
•
Payments Window Reference, page 3-335
•
Reviewing Invoice Batches, page 3-226
•
Reviewing Invoices, page 3-226
•
Calculating a Supplier or Supplier Site Balance, page 3-228
•
Adjusting Invoice Batches, page 3-275
•
Adjusting Invoices, page 3-271
•
Adjusting Invoice Amounts, page 3-273
•
Adjusting Invoice Exchange Rates, page 3-274
•
Adjusting GL Dates, page 3-274
•
Adjusting Invoice Distributions, page 3-277
•
Adding New Invoice Distributions, page 3-279
•
Reversing Invoice Distributions, page 3-280
Invoices 3-223
•
Adjusting Scheduled Payments, page 3-281
•
Cancelling Invoices, page 3-282
•
Identifying Duplicate Invoices, page 3-230
•
Invoice Adjustment Chart, page 3-232
•
Invoice Distribution Adjustment Chart, page 3-261
Finding Invoice Batches
You can find invoice batches in the Invoice Workbench either by using the Find Invoice
Batches window, or by entering query criteria directly into the Invoice Batches window.
If you want to find invoices contained in a particular invoice batch, query the invoice
batch in the Invoice Batches window, then choose the Invoices button.
In the Find Invoice Batches window, you can search for a batch by entering ranges for
invoice batch names and dates. You then choose Find to navigate to the Invoice Batches
window, where Payables displays all invoice batches that match your Find criteria.
To find invoice batches using the Find Invoice Batches window:
1.
Open the Find Invoice Batches window from the Invoice Batches window, either by
choosing the Find icon from the Toolbar or by selecting Query Find from the menu.
Enter criteria directly into the fields.
2.
Choose the Find button to navigate to the Invoice Batches window where Payables
displays all invoice batches that match your criteria.
You can also open custom folders that display information in a custom format, if
you or your organization has defined any.
Related Topics
Customizing the Presentation of Data in a Folder, Oracle Applications User's Guide
Batch Control Reports, page 9-54
Invoice Batches Window Reference, page 3-315
Finding Invoices
You can find invoices to respond to supplier inquiries, including questions regarding
invoice payment status, invoice payment date, reasons an invoice has not been paid,
and total balance due for a supplier or supplier site. You can also find invoices to make
adjustments to them or to perform actions on them, such as validation or cancellation.
You can find invoices in the Invoice Workbench either by using the Find Invoices
window or by entering query criteria directly into the Invoices window. In the Find
3-224 Oracle Payables User's Guide
Invoices window, you can enter a greater variety of criteria, including invoice status
and ranges for invoice amounts, invoice dates, and voucher numbers. You then choose
Find to navigate to the Invoices window, where Payables displays all invoices that
match your Find criteria. From the Invoices window, you can review or adjust
information about an invoice, and you can navigate to other windows to review or
adjust scheduled payments, distribution holds, related payments, and more.
If you want to find invoices contained in a particular invoice batch, you can also find
the invoice batch, then choose the Invoices button in the Invoice Batches window. See:
Finding Invoice Batches, page 3-224.
If you want to review in one window a wide variety of high level information about a
single invoice, use the Invoice Overview window. See: Invoice Overview, page 3-231.
You can quickly open an invoice you have saved as an icon on your Navigator. When
you have the invoice open, select Place on Navigator from the Actions menu. Later, if
you choose the icon in the Documents region of your Navigator, then Payables will
automatically open the Invoice workbench and query the invoice. See also: Using the
Navigator's Documents Region, Oracle Applications User's Guide.
To find an invoice using the Find Invoices window:
1. Open the Find Invoices window from the Invoices window either by choosing the
Find icon from the Toolbar or by selecting Find from the View menu. Enter criteria
directly into the fields. You can enter complex criteria by entering information in
several fields. Some fields are not available until you provide information in other
fields. The following are examples of this:
2.
•
You must enter a purchase order number before you can select a purchase
order shipment
•
You must enter an invoice type before selecting an invoice status
•
You must enter a supplier before you can enter a site
Choose the Find button to navigate to the Invoices window where Payables
displays all invoices that match your criteria. Invoices are automatically sorted by
invoice type in ascending order.
You can also open custom folders that display information in a custom format, if
you or your organization use this feature. For example, you can customize folders
to sort your invoice data on up to three fields.
Important: The Holds field in the Invoices window shows only
invoice holds, not supplier holds. For example, if the supplier site
has the Hold All Payments option enabled and there are no invoice
holds on an invoice, the Hold field will display zero.
Invoices 3-225
Related Topics
Customizing the Presentation of Data in a Folder, Oracle Applications User's Guide
Invoice Overview, page 3-231
Adjusting Invoices, page 3-271
Reviewing Invoices
You can review invoices in either the Invoice Workbench or the Invoice Overview
window. If you want to be able to enter complex query criteria, review multiple
invoices, or review all details about invoices, use the Invoice Workbench. If you just
want to review high level invoice information for a single invoice, such as invoice
status, active holds, scheduled payments, and actual payments, use the Invoice
Overview window. See: Invoice Overview, page 3-231.
Note: You can view the detail accounting lines for the transaction in the
form of a balanced accounting entry (i.e., debits equal credits). You can
also choose to view the detail accounting as t-accounts.
See: Viewing Accounting Lines, page 7-9
To review invoices in the Invoice Workbench:
1.
Find the invoice using the Find Invoices window. See: Finding Invoices, page 3-224.
2.
If you want to review invoice distributions, scheduled payments, holds, or
payments, choose the appropriate button or tab in the Invoices window.
Reviewing Invoice Batches
Prerequisite
•
The AP: Use Invoice Batch Controls profile option is enabled.
To review invoice batches:
1.
Find the invoice batch. See: Finding Invoice Batches, page 3-224.
2.
To see detailed information on any invoice in the batch, in the Invoice Batches
window choose the Invoices button
Reviewing Invoice Distributions
Distributions Window
From the Distributions window, you can use the Find Invoice Distributions window to
search for distributions for one invoice that match criteria you select. For example, if
3-226 Oracle Payables User's Guide
you have an invoice with a large number of distributions, you can view only
distributions that meet criteria you specify. You can search by accounted status, GL date
range, amount range, and account range.
To find invoice distributions in the Invoice Workbench:
1. In the Invoices window, select an invoice and choose Distributions.
2.
Open the Find Invoice Distributions window from the Distributions window, either
by choosing the Find icon from the Toolbar or by selecting Find from the View
menu.
3.
Enter criteria directly into the fields. You can enter complex criteria by entering
information in several fields.
4.
Choose Find to navigate to the Distributions window where Payables displays all
invoice distributions of the invoice you selected that match your criteria.
You can also open custom folders that display information in a custom format, if
you or your organization has defined any.
View Accounting Lines Window
If you want to search for accounted distributions outside of the context of the invoice,
you can use the View Accounting Lines windows to identify them and see which
invoices they belong to. For example, you can search for all accounted distributions that
have a particular account. In the Find Accounting Lines window, you can search by any
combination of the following criteria: supplier name, currency, transfer to GL status,
account range, and accounting date range. Payables then shows all accounting lines that
match your inquiry in the View Accounting Lines window. See: Viewing Accounting
Entries, page 7-9.
Related Topics
Reviewing Invoices, page 3-226
Customizing the Presentation of Data in a Folder, Oracle Applications User's Guide
Reviewing Payment Information in the Invoice Workbench
Use the Payments tab of the Invoice Workbench to get quick payment information for a
selected invoice. To use the window, select an invoice in the Invoices window and
choose the View Payments tab. The Payments window displays payment documents
that you have used to pay the selected invoice. For further information, you can then
choose the Payment Overview button or the Scheduled Payments tab.
Note: This tab is separate from the Payments window in the Payments
Workbench, which you use to create single payments.
Invoices 3-227
Calculating a Supplier or Supplier Site Balance
The Calculate Balance Owed window shows how much you owe a supplier and how
many unpaid invoices you have in the system for the supplier.
Use the Find Invoices window and choose the Calculate Balance Owed button to see
how much you owe a supplier and how many unpaid invoices you have in the system
for the supplier. To calculate the balance owed, Payables subtracts available
prepayments from the unpaid invoice amount. Payables does not use unpaid
prepayments when it calculates the balance.
If you have foreign currency invoices that do not yet have exchange rates, you can
calculate the balance with an exchange rate you enter in the window. The exchange rate
you enter will not update the invoices; you are still required to submit AutoRate or
enter an exchange rate in the Invoices window.
To calculate a supplier or supplier site balance:
1. Open the Find Invoices window from the Invoices window, either by choosing the
Find icon from the Toolbar or by selecting Find from the View menu. Enter the
supplier name, site name, or other unique supplier or supplier site information.
Optionally restrict the balance to invoices of a particular status or hold. Payables
calculates the balance based on the combination of criteria you enter. If you do not
enter a currency, all invoices are included regardless of currency and the balance is
shown in the functional currency.
2.
Choose Calculate Balance Owed to have Payables navigate to the Calculate Balance
3-228 Oracle Payables User's Guide
Owed window. Optionally check Take Discount to have Payables reduce the
balance by available discounts. Choose Calculate to have Payables display the total
due amount and the total number of unpaid invoices that match the criteria you
entered. Payables displays and includes in its calculation only paid and available
prepayments.
To calculate a supplier or supplier site balance in a foreign currency:
1. Open the Find Invoices window from the Invoices window, either by choosing the
Find icon from the Toolbar or by selecting Find from the View menu. Enter the
supplier name, site name, or other unique supplier or supplier site information.
Enter the currency for which you would like to calculate the balance. Optionally
restrict the balance to invoices of a particular status or hold. Payables calculates the
balance based on the combination of criteria you enter.
2.
Choose Calculate Balance Owed to have Payables navigate to the Calculate Balance
Owed window. Payables displays the amounts in both the entered currency and
your functional currency.
Enter a default exchange rate for Payables to use to convert into your functional
currency your foreign currency invoices that do not have an exchange rates. Choose
Calculate to have Payables display for the invoices that match your criteria the
Balance Owed in both the foreign and functional currency, and the total number of
unpaid invoices.
Related Topics
Calculate Balance Owed Window Reference, page 3-229
Calculate Balance Owed Window Reference
This window shows a supplier balance for the invoices that match the criteria you enter
in the Find Invoices window.
Default Exchange Rate: If you have foreign currency invoices that do not yet have
exchange rates, you can calculate the balance with an exchange rate you enter in the
window. The exchange rate you enter will not update the invoices; you are still required
to submit AutoRate or enter an exchange rate in the Invoices window.
Take Discount: If you want Payables to reduce the balance by available discounts, then
check this check box.
Include Outstanding Future Dated Payments: If you want to include in the Balance
Owed the amount in the Future Dated Payments field, then enable this check box, then
choose the Calculate button.
Unpaid Amount: Sum of unpaid, validated and unvalidated invoices. This number
includes negative amount invoices but does not include unpaid prepayments.
Future Dated Payments: Sum of all outstanding (issued but not matured) future dated
payments. If you do not want this amount included in the Balance Owed, then uncheck
Invoices 3-229
the Include Outstanding Future Dated Payments check box and then choose the
Calculate button.
Less Available Prepayments: Available prepayments (the sum of Temporary, paid,
unapplied prepayments) include prepayment Item distributions and the associated tax.
Payables does not use unvalidated or unpaid prepayments when it calculates the
balance because they are not available for application.
Balance Owed: Unpaid invoice amount minus available prepayments. If you have
enabled the Include Outstanding Future Dated Payments check box, then Payables also
subtracts the sum of any outstanding (issued but not matured) future dated payments
Number of Invoices: Number of unpaid invoices, not including unpaid prepayments.
Number of Prepayments: Number of available prepayments.
Related Topics
Supplier Customer Netting Report, Oracle Receivables User Guide
Identifying Duplicate Invoices
You can periodically audit your invoices to prevent duplicate payments of the same
invoice. Although Payables prevents you from entering an invoice with exactly the
same invoice number for the same supplier, you may have entered the same invoice
twice with different supplier names, or invoice numbers with different case (abc123 and
ABC123).
Tip: You may want to use an invoice numbering convention that
minimizes the risk of separate entries of the same invoice under
different invoice numbers. For example, if you consistently enter all
letters in upper case you would enter an invoice number only as
ABC123, and not also as abc123.
The following reports to help you identify duplicate invoices in your Payables system:
•
Invoice Audit Report. This report lists invoices alphabetically by supplier, and
includes invoices with invoice numbers that match within a character length you
specify and matching invoice dates within a date range you specify. This report also
displays the amount remaining for payment on each invoice. You can review the
amount remaining of duplicate invoices to determine if you have paid the same
invoice (or part of an invoice) twice. See: Invoice Audit Report, page 9-62.
•
Invoice Audit Listing. This listing selects and lists invoices based on parameters
you enter. You specify the order (date, amount, and supplier name) in which you
want to list invoices. You can also narrow your search by specifying any of the
following: one invoice type, a minimum invoice amount, and a beginning invoice
date. The report also includes the invoice currency and description. See: Invoice
Audit Listing, page 9-61.
3-230 Oracle Payables User's Guide
Related Topics
Supplier Merge Program, page 2-40
Resolving Duplicate Invoices
To resolve duplicate invoices when you have overpaid:
•
Notify your supplier of an overpayment and request a refund or credit memo.
To resolve duplicate invoices when you have not overpaid:
1.
Apply to the invoice a special invoice hold that you defined for duplicate invoices.
This will prevent payment of the invoice and entry of a duplicate invoice. See:
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
2.
Resolve the discrepancy with your supplier.
3.
Cancel the invoice. See: Cancelling Invoices, page 3-282.
Invoice Overview Window
In the Invoice Overview window, you can review the status of an invoice and some
high-level information. This window is particularly helpful for reviewing information
quickly when a supplier calls you to inquire about the status of an invoice. This window
also serves as a bridge between the Payment and Invoice Workbenches.
This window displays summary information for the invoice:
•
Supplier Information
•
Invoice Information
•
Invoice Status
•
Scheduled Payments
•
Actual Payments
•
Active Holds
•
Purchase Order Information
Note: The Active Hold region does not include scheduled payment
holds or supplier site holds. For example, if the supplier site has the
Hold All Payments option enabled you will not see a hold in the
Active Hold region of the Invoice Overview.
This is a display-only window. If you are in entry mode, then choose the Invoices
Invoices 3-231
button to navigate to the Invoices window to adjust the invoice.
For more detailed information regarding the invoice or related attributes, choose the
Invoices, Supplier, View PO, View Receipt, or Payment Overview button.
If your query retrieves more than one invoice, Payables orders and displays queried
invoices by the latest invoice date. To see the next queried invoice, press [Next Screen].
Note: You can view the detail accounting lines for the transaction in the
form of a balanced accounting entry (i.e., debits equal credits). You can
also choose to view the detail accounting as t-accounts.
See: Viewing Accounting Lines, page 7-9
Note: For invoice approval, the Notification Detail and Interactive Line
Details pages display only the appropriate level of information for the
approver to view. The approver can approve or reject the invoice or
invoice lines using these pages.
Adjusting Invoices
Adjustment Charts
Invoice Adjustment Chart
The following chart shows for each field in the Invoices window the conditions under
which you cannot adjust the value in the field. Because the paid status and accounted
status are common reasons you cannot adjust an invoice, we have provided separate
columns for those reasons for easy reference.
Note: When you change the following fields, which are marked with an
asterisk, Payables recalculates the scheduled payment: Discountable
Amount, Payment Method, Terms Date, Terms.
3-232 Oracle Payables User's Guide
Invoice Fields
Cannot adjust
field if:
Amount
Invoice is a
prepayment and
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
a) is encumbered,
or
b) is applied.
Invoice has an
unaccounted
void payment
which is in a
different period
than the payment
accounting.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
selected for
payment.
Invoice is paid
with a positive
amount discount
taken and the
Allow
Adjustments to
Paid Invoices
Payables option
is disabled.
Invoices 3-233
Invoice Fields
Cannot adjust
field if:
Unaccounted
invoice payments
that do not have
a corresponding
void on the same
GL Date in the
same period.
You cannot
adjust the invoice
amount to less
than the amount
you have already
paid on an
invoice.
Invoice has
calculated tax
3-234 Oracle Payables User's Guide
Updatable if
paid or partially
paid?
Updatable if
accounted?
Invoice Fields
Cannot adjust
field if:
Approved
Amount
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice has an
unaccounted
void payment
which is in a
different period
than the payment
accounting.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice currency
has no value.
Invoices 3-235
Invoice Fields
Cannot adjust
field if:
Approval
Description
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment
which is in a
different period
than the payment
accounting..
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
3-236 Oracle Payables User's Guide
Updatable if
paid or partially
paid?
YES
Updatable if
accounted?
YES
Invoice Fields
Cannot adjust
field if:
Approval Status
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
Updatable if
accounted?
NO
NO
YES
YES
YES
YES
Invoice has an
unaccounted
void payment
which is in a
different period
than the payment
accounting..
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Date
Invoice/Goods
Received
Invoice is
cancelled.
Invoice has an
unaccounted
void payment.
Description
Invoice is fully or
partially paid
and Allow
Adjustments to
Paid Invoices
Payables option
is disabled.
Invoices 3-237
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Updatable if
accounted?
Descriptive
Flexfield
Invoice is fully or
partially paid
and Allow
Adjustments to
Paid Invoices
Payables option
is disabled.
YES
YES
Discountable
Amount *
Currency field
has no value.
NO
NO
NO
NO
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Distribution Set
3-238 Oracle Payables User's Guide
Invoice is saved.
Invoice Fields
Cannot adjust
field if:
Document
Category Name
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is saved.
Sequential
numbering is not
enabled or the
allow document
category option
is not enabled.
Invoices 3-239
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Exchange Date
Invoice is in the
functional
currency.
NO
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
3-240 Oracle Payables User's Guide
Updatable if
accounted?
NO
Invoice Fields
Cannot adjust
field if:
Exchange Rate,
Type
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Exchange rate
type is not
user-defined or
has no value.
Invoice is
encumbered.
Invoice has
accounted or
partially
accounted
distributions.
Invoices 3-241
Invoice Fields
Cannot adjust
field if:
Freight Amount
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
Updatable if
accounted?
NO
NO
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Currency or GL
Date has no
value.
Functional Curr
Amount
The Payables
option Calculate
User Exchange
Rate is not
enabled and if
the exchange rate
type is not User.
NO
NO
GL Date
Invoice is
cancelled.
YES
YES
3-242 Oracle Payables User's Guide
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Updatable if
accounted?
Invoice Curr
Multiple
currencies are
not used.
NO
NO
NO
NO
Invoice header
has been saved.
Invoice is fully or
partially paid or
a prepaid
amount exists for
the invoice.
Invoice is
cancelled.
Invoice Date
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
purchase order
matched.
Sequential
numbering is
enabled.
Invoices 3-243
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Invoice Number
Allow
Adjustments to
Paid Invoices
Payables option
is disabled and
the invoice is
paid or partially
paid.
NO
Invoice is a
prepayment and
is encumbered.
Invoice is
cancelled.
Invoice has an
unaccounted
void payment.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
purchase order
matched.
Sequential
document
number present.
Invoice is a
prepayment.
3-244 Oracle Payables User's Guide
Updatable if
accounted?
NO
Invoice Fields
Cannot adjust
field if:
Liability Account
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
Updatable if
accounted?
YES
NO
NO
NO
You use
encumbrance
and any of the
distributions are
validated.
Oracle Projects
Project, Task, and
Expenditure
Information
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Projects is not
installed.
Invoice is not
Projects-related.
Invoices 3-245
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Updatable if
accounted?
Pay Alone
Invoice type is
Mixed with a
negative invoice
amount.
YES
YES
YES
YES
NO
YES
Invoice has been
selected for
payment.
Invoice is
cancelled.
Invoice is a
Credit or Debit
Memo.
Pay Group
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment .
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has
prepayment
applied to it.
Invoice is
selected for
payment.
Payment Curr
3-246 Oracle Payables User's Guide
Invoice Fields
Cannot adjust
field if:
Payment
Method*
Invoice is a
prepayment and
the invoice is
encumbered.
(can change at
scheduled
payment)
Updatable if
paid or partially
paid?
Updatable if
accounted?
NO
NO
YES
YES
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
selected for
payment.
Payment Priority
Record is
queried.
Payment
schedule is fully
paid.
Any payment
schedules for the
invoice are
selected for
payment.
Invoices 3-247
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Updatable if
accounted?
Prepayment PO
Number
Invoice is not a
prepayment or
Supplier has no
value.
YES
YES
YES
YES
YES
YES
Invoice is
cancelled.
Prepayment is
applied.
Prepayment
Type
Invoice is not a
prepayment.
Invoice is
cancelled.
Prepayment has
been applied.
Settlement Date
Prepayment type
is not
Temporary.
Invoice is
cancelled.
Prepayment has
been applied.
3-248 Oracle Payables User's Guide
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Supplier Name
Invoice has an
unaccounted
void payment.
NO
Updatable if
accounted?
NO
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
purchase order
matched.
Invoice is
validated.
Invoice is a
prepayment and
is purchase order
matched.
Invoices 3-249
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Supplier Number
Invoice has an
unaccounted
void payment.
NO
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
purchase order
matched.
Invoice is
validated.
Invoice is a
prepayment and
is purchase order
matched.
3-250 Oracle Payables User's Guide
Updatable if
accounted?
NO
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Supplier Site
Invoice is
cancelled.
Updatable if
accounted?
NO
Invoice has an
unaccounted
void payment.
Invoice is fully or
partially paid
and Allow
Adjustments to
Paid Invoices is
disabled.
Invoice has
withholding tax
lines.
Invoices 3-251
Invoice Fields
Cannot adjust
field if:
Tax Amount
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Tax Code has no
value.
Tax type is Use.
3-252 Oracle Payables User's Guide
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice Fields
Cannot adjust
field if:
Tax Calculation
Invoice is saved.
Updatable if
paid or partially
paid?
YES
Updatable if
accounted?
YES
Automatic tax
calculation
override is
disabled.
Automatic tax
calculation
option in
Payables options
window is
disabled.
Tax type is Use.
Invoice amount
has no value.
Invoices 3-253
Invoice Fields
Cannot adjust
field if:
Tax Code
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Tax:Allow Tax
Code Override
profile option is
disabled.
3-254 Oracle Payables User's Guide
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice Fields
Cannot adjust
field if:
Terms Date *
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
selected for
payment.
Invoices 3-255
Invoice Fields
Cannot adjust
field if:
Terms*
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
selected for
payment.
Invoice is fully or
partially paid
and invoice
payments exist.
3-256 Oracle Payables User's Guide
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
YES
Invoice Fields
Cannot adjust
field if:
Type
Invoice is a
prepayment and
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
a) is encumbered,
or
b) is applied.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
purchase order
or receipt
matched.
Sequential
numbering is
enabled.
Invoices 3-257
Invoice Fields
Cannot adjust
field if:
User Rate Type
Invoice is a
prepayment and
is encumbered.
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice currency
is the same as the
base currency.
User rate type is
EMU Fixed.
Exchange rate
type is not User.
Encumbered
distributions
exist.
3-258 Oracle Payables User's Guide
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice Fields
Cannot adjust
field if:
Voucher Number
Invoice is a
prepayment and
is encumbered.
Updatable if
paid or partially
paid?
NO
Updatable if
accounted?
NO
Invoice has an
unaccounted
void payment.
Invoice is
cancelled.
Invoice has
withholding tax
distributions.
Invoice has a
prepayment
applied to it.
Invoice is
selected for
payment.
Invoice is saved
and sequential
numbering is
enabled.
Invoices 3-259
Invoice Fields
Cannot adjust
field if:
Updatable if
paid or partially
paid?
Withholding Tax
Group
Invoice is
prepaid and is
withheld at
payment time.
YES
Updatable if
accounted?
NO
Invoice is
validated and is
withheld at
validation time.
Invoice is
cancelled and has
withholding tax
lines.
Invoice has
unaccounted
void payments.
Invoice is fully or
partially paid
and Allow
Adjustments to
Paid Invoice is
disabled.
Use Withholding
Taxes Payables
option is
disabled.
Supplier site
option to use
withholding
taxes is disabled.
* When you change this field, Payables recalculates your scheduled payment
3-260 Oracle Payables User's Guide
Related Topics
Invoice and Invoice Batch Default Chart, page B-1
Invoice and Invoice Batch Adjustment Restrictions, page 3-276
Invoice Distribution Adjustment Chart
This section discusses the fields and restrictions on the invoice distribution adjustment
chart.
General Restrictions
You cannot update, reverse, or delete a distribution if:
•
The Distribution window is Display only.
•
The invoice has been cancelled.
•
Referenced by an active correction such as Price, Quantity, or Line, which itself has
not been reversed or cancelled.
•
It represents a Price or Quantity correction. Such reversals must be accomplished by
discarding the entire Line.
•
It is referenced by active distributions, that is the distributions themselves have not
been reversed or cancelled. This applies to Freight and Miscellaneous distributions
allocated to a the Invoice Line.
•
The invoice has been paid or partially paid and the Allow Adjustments to Paid
Invoices Payables option is disabled.
•
The distribution is on a Prepayment type invoice and the distribution has been
applied.
•
The distribution is type Prepayment or Tax related to this prepayment. For
Prepayment type distributions, the only field that is updatable is Description. You
cannot reverse or delete a Prepayment distribution, but you can unapply it.
•
The distribution has been encumbered.
•
The invoice is an interest invoice and the payment that paid it has been accounted.
•
Automatic Offsets is enabled, the invoice contains distributions charged to more
than one balancing segment, and the invoice is paid or partially paid and
accounted.
•
The invoice is an Adjustment or PO Price Adjustment invoice.
Invoices 3-261
•
The Invoice is PO/RCV matched. Such reversals must be accomplished by
discarding the entire Line.
•
The Invoice represents a variance (IPV or ERV). A variance is only reversed as part
of discarding the parent line or cancelling the invoice.
You cannot delete a distribution if:
•
The distribution has been validated.
Fields Without Other Restrictions
Other than the above rules, there are no restrictions to updating the following
distribution fields:
•
Description
•
Income Tax Type
Display Only Fields
The following fields are display only, and cannot be updated:
•
Match Quantity
•
Accounted
•
Price
•
Purchase Order Number
•
Statistical Unit
•
Status
The following chart shows for each field in the Invoices window the conditions under
which you cannot adjust the value in the field. Because the accounted status is a
common reason you cannot adjust an invoice distribution, we have provided a separate
columns for that reason for easy reference.
3-262 Oracle Payables User's Guide
Invoice Distribution Field
Cannot adjust field if:
Account
Distribution is purchase order
matched and
Updatable if Accounted?
NO
a) the Allow Matching
Account Override Payables
option is disabled,
b) the invoice is Final
Matched,
c) the Accrue On Receipt flag
is enabled or set to Done,
d) encumbrance is enabled.
Encumbrance is enabled and
distribution
a) is part of a reversal pair, or
b) is encumbered (validated).
Projects is installed,
distribution is project-related,
and the PA: Allow Override
of PA Distributions in AP/PO
profile option is disabled.
Distribution is an
automatically created
withholding tax distribution.
Accounting Date
Encumbrance is enabled and
distribution
NO
a) is part of a reversal pair, or
b) is encumbered.
Invoices 3-263
Invoice Distribution Field
Cannot adjust field if:
Amount
Encumbrance is enabled and
Updatable if Accounted?
NO
a) the distribution is part of a
reversal pair, or
b) the distribution has been
encumbered (validated).
Distribution is purchase order
matched.
Description
YES
Descriptive Flexfield
Invoice is fully or partially
paid and Allow Adjustments
to Paid Invoices Payables
option is disabled.
YES
Final Match
Match Status flag is set to Yes.
YES
Final Match flag is set to
Done.
Allow Final Matching
Payables option is disabled.
Distribution is not purchase
order matched.
GL Date
Encumbrance is enabled and
distribution
a) is validated, or
b) is part of a reversal pair.
Distribution has been
validated.
3-264 Oracle Payables User's Guide
NO
Invoice Distribution Field
Cannot adjust field if:
Includes Tax Checkbox
Allow Override (of
Distribution Amount Includes
Tax) Payables option is
disabled.
Updatable if Accounted?
YES
Use Automatic Tax
Calculation Payables option is
disabled.
Tax calculation level is not
Line or Tax Code.
Distribution is purchase order
or receipt matched.
Tax has already been
calculated for the distribution.
Distribution is type Tax.
Income Tax Region
Income Tax Type has no
value.
YES
Line Number
Distribution is encumbered
(validated)
NO
Invoice is a Prepayment type
invoice.
Invoices 3-265
Invoice Distribution Field
Cannot adjust field if:
Projects
Projects is not installed or
project does not have a name.
Updatable if Accounted?
NO
Encumbrance is enabled.
Distribution:
a) is encumbered (validated),
or
b) is part of a reversal pair, or
c) has associated tax lines that
are encumbered.
Invoice is Final matched.
Distribution is purchase order
matched and
a) Purchase Order Accrue on
Receipt is enabled or
b) encumbrance is enabled.
Projects Information
Projects is not installed or
Project has no value.
If the invoice has been fully or
partially paid, you have taken
a discount for it, and your
Discount Distribution Method
Payables option is anything
other than System, you will
be unable to update the
Project field in the
Distributions window.
3-266 Oracle Payables User's Guide
YES
Invoice Distribution Field
Cannot adjust field if:
Recoverable
Enable Recoverable Tax
Payables option is disabled.
Updatable if Accounted?
NO
Encumbrance is enabled and
distribution
a) is encumbered (validated),
or
b) is part of a reversal pair.
Distribution is an
automatically created
withholding tax distribution.
Distribution type is not Tax.
Statistical Quantity/Unit
No defined unit of measure
exists for the account.
NO
Record is queried.
Distribution is validated.
Distribution is part of a
reversal pair.
Invoices 3-267
Invoice Distribution Field
Cannot adjust field if:
Tax Code
Encumbrance is enabled and
distribution
a) is encumbered (validated),
or
b) is part of a reversal pair.
Distribution is an
automatically created
withholding tax distribution.
Tax Code field has value; or
Tax Code field has no value
but is not required, and the
Tax:Allow Tax Code Override
profile option is disabled.
Distribution is purchase order
matched and a tax line is
associated with it that is
encumbered (allocations).
3-268 Oracle Payables User's Guide
Updatable if Accounted?
NO
Invoice Distribution Field
Cannot adjust field if:
Tax Recovery Rate
Enable Recoverable Tax
Payables option is disabled.
Updatable if Accounted?
NO
Encumbrance is enabled and
distribution
a) is encumbered (validated),
or
b) is part of a reversal pair.
Distribution is an
automatically created
withholding tax distribution.
Distribution type is Tax or
Automatic Withholding Tax.
Tax:Allow Override of the
Tax Recovery Rate profile
option is disabled.
Distribution is validated.
Distribution is purchase order
matched and a tax line is
associated with it that is
encumbered.
Track As Asset
If the account type is Asset,
you cannot disable this check
box.
YES
Invoices 3-269
Invoice Distribution Field
Cannot adjust field if:
Type
Record is saved.
Distribution is purchase order
or receipt matched.
Encumbrance is enabled and
distribution:
a) is part of a reversal pair, or
b) is validated.
Distribution is a prepayment
distribution.
Distribution has existing
allocations.
Invoice is a prepayment and
prepayment distribution is
partially or fully applied.
Invoice has a voucher
number.
Invoice is paid and you have
taken a discount.
Distribution is an
automatically created
withholding tax distribution.
3-270 Oracle Payables User's Guide
Updatable if Accounted?
NO
Invoice Distribution Field
Cannot adjust field if:
Withholding Tax Group
Invoice is already paid and
you withhold at payment
time.
Updatable if Accounted?
NO
Invoice is already validated
and you withhold at
validation time.
Distribution is not a
withholding tax distribution.
Record is saved.
USSGL Transaction Code
The following section is
applicable to customers who
use transaction codes.
Transaction codes are
typically used by US Federal
Government customers to
produce both proprietary and
budgetary entries for a given
transaction. USSGL option is
disabled.
NO
Encumbrance is enabled and
distribution
a) is validated, or
b) is part of a reversal pair.
Related Topics
Invoice and Invoice Batch Adjustment Restrictions, page 3-276
Adjusting Invoices
For most invoice types, authorized users can make adjustments to invoice details,
distributions, and scheduled payments, even if the invoice has been accounted or paid.
After you make an adjustment to an invoice, you may need to submit Invoice
Validation before you can pay it. If you adjust payment terms or any scheduled
payment information on a validated invoice, you do not need to resubmit Invoice
Validation.
Invoices 3-271
For detailed information on adjusting different types of invoices and invoice
distributions, and under which conditions you can adjust values in specific invoice and
distribution fields, see: Invoice and Invoice Batch Adjustment Restrictions, page 3-276;
Invoice Adjustment Chart, page 3-232; and Invoice Distribution Adjustment Chart, page
3-261.
Remember that some invoice values, such as the withholding tax group, distribution
set, and projects information, are used when you create new invoice distributions. If you
change these values at the invoice header level, they do not affect any existing invoice
distributions. If you want to change this information on the invoice distribution, then
you must change it in the Distributions window.
Note: If Payables automatically withholds tax at Invoice Validation
time, it withholds only the first time you submit Invoice Validation for
an invoice. If you adjust an invoice after Payables calculates
withholding tax, you need to make appropriate adjustments manually.
If and invoice is unpaid you can cancel it. After you cancel an invoice, however, you can
make no changes to it.
You cannot delete a tax line for which tax is already calculated, that is it is already
accounted for in the E-Business Tax. But, you can remove or undo the tax by canceling
the tax line.
Adjusting Purchase Order Matched Invoices
If you accidentally matched to the wrong purchase order document (purchase order,
shipment, distribution, or receipt), you can reverse matched distributions and/or create
new distributions by matching to new purchase order shipments or distributions of the
same purchase order or of another purchase order. If you add or reverse invoice
distributions you must also change the scheduled payment amounts to match the new
invoice total, or Payables will place holds on the invoice during Invoice Validation.
You can adjust the GL Date, Income Tax Type, and Account fields of a purchase order
matched invoice distribution. For details on when you can update any field, see:Invoice
Adjustment Chart, page 3-232
If a supplier sends an invoice for a change in unit price for an invoice you have matched
to a purchase order, use a price correction to adjust the invoiced unit price of previously
matched purchase order shipments or distributions without adjusting the quantity
billed. See: Recording Price Corrections, page 3-68.
When Adjustments to Paid Invoices Can Cause Accounting Problems
Warning: Certain Adjustments to Paid Invoices Can Result in Incorrect
Accounting
If you have enabled the Allow Adjustments to Paid Invoices Payables option, you can
3-272 Oracle Payables User's Guide
adjust certain information on a paid invoice. Usually the desired adjustment is to the
invoice distributions to correct account information. In certain cases, adjustments you
make to invoice distributions will cause incorrect accounting because Payables cannot
automatically make corresponding adjustments to related accounts. Payables warns you
when you try to adjust a distribution in these cases. If you still want to make
adjustments, then create a manual journal entry in your general ledger to correct the
other accounting.
Adjusting an invoice in the following situations can cause accounting errors:
•
The payment and/or clearing of the payment has been accounted, and one of the
following is true:
•
•
You took a discount on the invoice payment and the discount distribution
method is not system account. Payables is not able to adjust the accounting, if,
for example, you have prorated your discount across your invoice distributions
and you are now changing the account on a distribution.
Your invoice has a prepaid amount and the prepayment application has been
accounted, and one of the following is true:
•
You use Automatic Offsets. Since a prepayment application works like a
payment, it may pose a problem in this case. For example, the accounting for
the prepayment application relieves your invoice liability, so if you now adjust
other invoice distributions Payables is not able to rebuild your offset liability
account.
Related Topics
Invoice Adjustment Chart, page 3-232
Adjusting Project-Related Invoices, page 3-291
Budgetary Control In Payables, page 10-26
Invoice Variances, page 3-300
Unrealized Gain/Loss Report, page 9-86
Purchasing Integration, page 3-293
Adjusting Invoice Amounts
To adjust the amount of an invoice:
1. Find the invoice. See: Finding Invoices, page 3-224.
2.
In the Invoices window change the Invoice Amount.
Choose Distributions to navigate to the Distributions window. Adjust the
distributions to match the new invoice amount. Note that you can unapply
Invoices 3-273
Prepayment type distributions but you cannot reverse them or adjust their amount.
Also, you cannot reverse Withholding Tax distributions if the invoice has been paid
or partially paid.
•
If the invoice is not purchase order matched, you can add, reverse, and adjust
distributions. Choose OK.
•
If the invoice is purchase order matched, you can reverse, rematch, or match
distributions to purchase order shipments and purchase order distributions.
Choose OK.
3.
Choose the Scheduled Payments tab. Adjust the scheduled payments to match the
new invoice amount. Choose OK.
4.
Save your work. You must submit Invoice Validation again before you can pay the
invoice.
The Supplier, Supplier Number, and Remit to supplier fields cannot be changed, if the
invoice is encumbered, negotiable, and was creataed from iSupplier, is final posted, or
has been quick matched.
Related Topics
Adjusting Invoice Distributions, page 3-277
Adding New Invoice Distributions, page 3-279
Reversing Invoice Distributions, page 3-280
Adjusting Scheduled Payments, page 3-281
Entering Purchase Order Matched Invoices, page 3-32
Invoice Validation, page 3-172
Entering Basic Invoices, page 3-14
Invoice Adjustment Chart, page 3-232
Adjusting Invoice Exchange Rates
You can change the Exchange Rate of an invoice at any time before you pay it or create
accounting entries for it. You can change the exchange rate in two ways:
•
Manually adjust the exchange rate information in the Invoices window.
•
Submit AutoRate. See: AutoRate Program, page 6-11.
Adjusting GL Dates
You can change the GL Date of any invoice in the Invoices window but the new GL
Date will default only to new invoice distributions you create. If you want to adjust the
GL Date on existing invoice distributions, change the GL Dates in the Distributions
3-274 Oracle Payables User's Guide
window. Payables uses the GL Date as the invoice accounting date.
You cannot change the GL Date of a distribution once it has been validated.
If you are allowed by your accounting rules, you can use the Unaccounted Transactions
Sweep program to transfer all unaccounted invoice and payment transactions from one
accounting period to another. You can submit this program when you need to close a
period that has unaccounted invoices or payments in it.
Related Topics
Entering Foreign Currency Invoices, page 3-96
Foreign Currency Transactions, page 6-1
Invoice and Invoice Batch Adjustment Restrictions, page 3-276
Unaccounted Transactions Sweep Program, page 9-10
Invoice and Invoice Batch Adjustment Restrictions, page 3-276
Adjusting Invoice Batches
To adjust an invoice batch:
1.
Find the invoice batch. See: Finding Invoice Batches, page 3-224. In the Invoice
Batches window you can do the following:
•
Modify batch invoice defaults. Invoice batch defaults you enter in the Invoice
Batches window apply to invoices you enter after entering or changing an
invoice batch default. For example, if half of the invoices you are entering are
standard and half are credit memos, after you have entered all standard
invoices, you can change the Type default to Credit Memo so you will not need
to enter Type for each credit memo.
To change a field for an invoice you have already entered, you must make the
change directly to the invoice in the Invoices window. See: Adjusting Invoices,
page 3-271.
2.
•
Modify Control Count and Control Total. If you find a duplicate invoice when
entering a batch, you may want to throw it away and adjust the control count
on your batch. Payables allows you to change the control count or control total
at any time before creating journal entries.
•
Add invoices to a batch. You can add invoices to a batch at any time.
•
Delete invoices from a batch. You can delete an invoice from a batch at any
time before the invoice has been validated.
Save your work.
Invoices 3-275
To delete an invoice batch:
•
You cannot delete an invoice batch that contains invoices. If you want to delete an
invoice batch, you must delete the invoices in the batch.
Related Topics
Deleting Invoices, page 3-284
Invoice and Invoice Batch Adjustment Restrictions, page 3-276
Invoice and Invoice Batch Adjustment Restrictions:
The following are general restrictions for adjusting invoices. For restrictions for
adjusting particular fields, see:
•
Invoice Adjustment Chart, page 3-232
•
Invoice Distribution Adjustment Chart, page 3-261
REVERSING DISTRIBUTIONS AND ENCUMBRANCE ACCOUNTING: If you use
encumbrance accounting and you reverse a validated invoice distribution, Payables
automatically creates an encumbrance reversal entry that reverses the invoice
distribution encumbrance entry created when you validated the invoice. You cannot
update the reversed invoice distribution because Payables will use it to create the
reversing encumbrance entry.
ADJUSTING DISTRIBUTIONS ON INVOICES THAT CROSS BALANCING
SEGMENTS: If Automatic Offsets is enabled and the invoice contains distributions
that are charged to more than one balancing segment, you cannot add, delete, reverse,
or update distributions once the invoice is paid or partially paid.
CANCELLED INVOICES: If you have cancelled an invoice, you cannot adjust any
invoice or invoice distribution information for that invoice. However, under certain
conditions, you can delete it.
FINAL MATCHED: You cannot adjust an invoice that has distributions marked as
Final Matched. You can disable the distribution's Final Match check box if you have not
submitted Invoice Validation for the invoice. After you submit Invoice Validation for a
final matched invoice and Payables validates the invoice, you cannot make adjustments
to the invoice or reopen the purchase order.
INTEREST INVOICES: You cannot adjust an interest invoice if the payment that paid
it has been accounted.
INVOICES SELECTED FOR A PAYMENT BATCH: You cannot adjust an invoice that
has been selected for payment in a payment batch. You can wait until the payment
batch completes and then adjust the paid invoice.
REVERSING DISTRIBUTIONS WITH INVALID ACCOUNTS: You cannot reverse
3-276 Oracle Payables User's Guide
an invoice distribution that has an invalid account.
WITHHOLDING TAX: If you have enabled withholding tax and you choose to have
Payables automatically create invoices to a tax authority, you cannot modify the
distributions of that invoice.
DELETING DISTRIBUTIONS. If you have reversed a distribution, you cannot delete
it or the associated reversal line. If a distribution line has been encumbered, you cannot
delete it.
Adjusting Invoice Distributions
If you have not yet created accounting entries for an invoice distribution, you can
update most of the invoice distribution details, including Description, GL Date, Income
Tax Type, Withholding Tax Group, and Income Tax Region. If you have not yet created
accounting entries for the distribution and the distribution has an expense type account,
you can also adjust the Track as Asset check box. For more information on changing a
particular field, see the Invoice Adjustment Chart, page 3-232.
For Prepayment type distributions, the only fields you can adjust are Tax Code and
Description. You cannot reverse or delete Prepayment distributions. However, you can
unapply them.
You cannot adjust invoice distributions for a paid invoice if you disable the Allow
Adjustments to Paid Invoices Payables option.
If you add or reverse distributions or if you change a distribution amount, you must
submit Invoice Validation again before you can pay the invoice. Invoice Validation
recalculates the invoice scheduled payments. Invoice Validation also reallocates any
Tax, Freight, or Miscellaneous charges that are not already fully allocated, or that were
allocated to reversed distributions. If the charge is not fully allocated, Invoice Validation
removes any existing allocations and prorates the charge across all eligible
distributions.
Many factors affect whether you can adjust invoice distributions. For a complete list of
restrictions, see: Invoice and Invoice Batch Adjustment Restrictions, page 3-276. For a
chart that shows each field and when you can adjust it, see: Invoice Distribution
Adjustment Chart, page 3-261.
Purchase Order Matched Distributions
You can adjust the GL Date, Income Tax Type, and, under some circumstances, the
Account fields of a purchase order matched invoice distribution. You can change the
Account only if you have not yet accounted for the invoice and if you have enabled the
Allow Matching Account Override Payables option.
If the invoice is purchase order matched, you cannot directly adjust fields that are
defaulted by the matched purchase order, such as Amount. You can, however, discard
the Purchase Order matched invoice line, which automatically reverses the
distributions. Then, create new invoice distributions by rematching.
Invoices 3-277
Updating Invoice Distributions
Prerequisite
•
If the invoice is paid, enable the Allow Adjustments to Paid Invoice Payables
option.
•
The distribution type is not Prepayment. The only fields you can modify on
Prepayment distributions are Tax Code and Description.
To update invoice distributions:
1.
Find the invoice. See: Finding Invoices, page 3-224.
2.
In the Invoices window, choose Distribute to navigate to the Distributions window.
Make any of the following changes:
•
Add Distributions. If you want to add distributions, add them in the usual
manner. See: Adding New Invoice Distributions, page 3-279.
•
Reverse Distributions. Select the distributions and choose Reverse. Payables
automatically creates a reversing distribution for each distribution you select.
See: Reversing Invoice Distributions, page 3-280.
•
Rematch to Purchase Orders. Reverse a purchase order matched distribution,
see: Reversing Invoice Distributions, page 3-280, then match to a new purchase
order shipment distribution or receipt see: Matching to Purchase Orders, page
3-32.
•
Adjust Account. If you have not yet accounted for the distribution and you do
not use encumbrance accounting, adjust the Account. If the invoice is
project-related, for other restrictions see: Adjusting Project Related Invoices,
page 3-291.
Note: If a distribution has been accounted and you want to
make a change then you must reverse the distribution and
create a new distribution.
•
Unapply prepayments. You can unapply Prepayment type distributions. Select
the Actions button, choose Unapply prepayments, and choose OK. See:
Unapplying Prepayments, page 3-82
•
Adjust GL Date. Payables uses the GL Date of the invoice distribution as the
accounting date. See: Adjusting GL Dates, page 3-274.
•
Adjust Track as Asset. If you have Oracle Assets installed, the distribution is
3-278 Oracle Payables User's Guide
unaccounted, and the distribution has an expense type account, you can adjust
the Track as Asset check box. If the Track as Asset check box is enabled for a
distribution, and you have defined an asset category for the account, then
Oracle Assets will import this invoice distribution when you submit Create
Mass Additions. If you enter an asset type account, Payables automatically
enables the Track as Asset check box and you cannot adjust it.
•
Adjust Final Match. If the distribution is purchase order matched and you
have not submitted Invoice Validation for it, you can adjust the Final Match
option. See: Final Matching Purchase Orders, page 3-70.
•
Adjust Income Tax Type/Region. You can adjust the invoice distribution
description and the income tax type even if you have paid, partially paid, or
accounted for an invoice. You can also update the income tax type for each
distribution, regardless of whether the supplier is designated as federally
reportable. Payables uses the income tax type when you submit your 1099
reports. If you are updating a distribution to be 1099 reportable, enter the
Income Tax Region or optionally change the supplier default. If you need to
make updates for many distributions, you can use the Update Income Tax
Details Utility. See: Submitting the Update Income Tax Details Utility.
•
Adjust other fields. To see when you can adjust other fields, see: Invoice and
Invoice Batch Adjustment Restrictions, page 3-276 and Invoice Distribution
Adjustment Chart, page 3-261.
•
Projects Information. If the invoice is fully or partially paid, you have taken a
discount for it, and your Discount Distribution Method Payables option is
anything other than System, then you cannot update the Project field in the
Distributions window. See also: Adjusting Project-Related Invoices, page 3-291
3.
Save your work.
4.
If you changed the distribution amount, added distributions, reversed distributions,
or changed the Tax Code value, you must submit Invoice Validation before you can
pay the invoice. Invoice Validation will recalculate your scheduled payments.
Related Topics
Invoice and Invoice Batch Adjustment Restrictions, page 3-276
Adding New Invoice Distributions
Prerequisites
•
The invoice has not been cancelled.
•
If the invoice is paid or partially paid, the Allow Adjustments to Paid Invoices
Invoices 3-279
Payables option is enabled.
To add invoice distributions to an existing invoice.
1.
Find the invoice. See: Finding Invoices, page 3-224. In the Invoices window add a
distribution in one of the following ways:
•
If you want to manually add a distribution, choose the Distributions button to
navigate to the Distributions window and add one in the usual manner. See:
Entering Invoice Distributions Manually in the Distributions Window, page 318.
•
If you want to create new distributions by matching the invoice to new
purchase order shipments, distributions, or receipts choose the Match button
and match. See: Matching to Purchase Orders, page 3-32.
•
If you are adding a distribution to a credit or debit memo, and you would like
to match it to an existing basic invoice, choose Match and match to an invoice in
the Match to Invoices window. See: Matching Credit/Debit Memos to Purchase
Orders and Invoices, page 3-91.
2.
Adjust the Invoice Amount accordingly.
3.
Choose the Scheduled Payments tab. Adjust the scheduled payment amounts to
match the new invoice amount. See: Adjusting Scheduled Payments, page 3-281.
Choose OK.
4.
Save your work.
Reversing Invoice Distributions
Prerequisites
•
If the distribution is an Automatic Withholding Tax distribution, then the invoice
has not been paid or partially paid.
•
The distribution type is not Prepayment.
•
The distribution is not already a reversal.
To reverse invoice distributions:
1. Find the invoice. See: Finding Invoices, page 3-224.
From the Invoices window choose the Distributions button to navigate to the
Distributions window. Select the distributions you want to reverse and choose
Reverse. Payables creates a negative amount distribution for each distribution you
select. If the distribution was purchase order matched, Payables updates
corresponding purchase order information such as Quantity Billed. If the
3-280 Oracle Payables User's Guide
distribution was allocated, either manually recreate the allocations, or Invoice
Validation will automatically reallocate for you.
2.
Save your work.
If an Automatic Withholding Tax is computed on an item distribution for an invoice,
then you cannot reverse that invoice distribution.
Related Topics
When Adjustments to Paid Invoices Can Cause Accounting Problems, page 3-272
Applying Prepayments to Invoices, page 3-75
Unapplying Prepayments, page 3-82
Paying Invoices from the Invoice Workbench, page 5-23
Selecting Multiple Records, Oracle Applications User's Guide
Adjusting Scheduled Payments
You can make any adjustments you need to an invoice's scheduled payments if the
invoice is not fully paid. You can add as many new payments as you want, and you can
alter unpaid scheduled payments. You can defer payment by adjusting due dates on
schedules or by applying holds to selected scheduled payments.
Important: Payables recalculates and overwrites scheduled payments if
you adjust the invoice Payment Terms. Invoice Validation recreates
scheduled payments if the Exclude Tax from Discount Calculation
Payables option is enabled and updates have been made to the tax
amount, or if the Scheduled Payment Recalculation Payables option is
enabled. If you manually adjust scheduled payments and Payables
subsequently recalculates the scheduled payments, you will need to
reenter your changes, including any holds that you have placed on
scheduled payments.
To adjust scheduled payments for an invoice:
1.
Find the Invoice. See: Finding Invoices, page 3-224.
2.
In the Invoices window, choose the Scheduled Payments tab. In the Scheduled
Payments tab make any updates to unpaid scheduled payments and create any new
scheduled payments you want.
If you want to split a scheduled payment, update the amount then choose Split
Schedule to have Payables create an additional scheduled payment with the net
amount due. Adjust the dates as appropriate and optionally apply a hold to the
scheduled payment.
Invoices 3-281
3.
Save your work.
Scheduled Payment Adjustment Restrictions:
INVOICES IN PAYMENT BATCHES: You cannot update a scheduled payment for an
invoice that has been selected for a payment batch. You must cancel the payment batch
before you can adjust the invoice.
Related Topics
Scheduling Invoice Payments, page 3-30
Invoice Validation, page 3-172
Adjusting Prepayments
If you have not paid or applied a prepayment, you can make changes to it in the same
way that you make changes to an invoice. You can cancel a prepayment after you create
accounting entries for it, but not if it is paid or applied to an invoice.
Related Topics
Invoice and Invoice Batch Adjustment Restrictions, page 3-276
Cancelling Invoices
You can cancel only unpaid invoices. You can cancel any unvalidated invoice, or a
validated invoice that does not have any effective payments or accounting holds. If an
invoice has a hold that prevents accounting, you must release the hold before you
cancel the invoice.
You cannot cancel an invoice that is selected for payment in a payment batch. You can
cancel an invoice that was paid with a payment that is now voided, if the invoice status
is now Unpaid. A cancelled invoice does not show up in your invoice liability reports
and you cannot pay or adjust a cancelled invoice. You can cancel single invoice
distributions by reversing them. See: Reversing Invoice Distributions, page 3-280.
When Payables cancels an invoice, it sets the invoice amount to zero, sets all scheduled
payments to zero, and reverses all invoice distributions and any matches to purchase
order shipments and distributions. Payables also submits Invoice Validation for the
invoice and, if there are no accounting holds on the invoice, updates the status of the
invoice to Cancelled.
Note: If you want to make a zero-amount payment on an invoice, you
should not cancel the invoice. Instead, you can change to zero the
invoice amount for the invoice and pay the invoice using a payment
batch, manual payment or Quick payment. See: Adjusting Invoices,
3-282 Oracle Payables User's Guide
page 3-273.
If you cancel an invoice with an associated withholding tax invoice, Payables
automatically creates an invoice for the tax authority supplier to offset the amount of
the withholding tax invoice. Payables saves the original invoice amount for audit and
reference purposes.
Note: If you cancel an invoice with manually entered withholding tax,
you should check to see if any invoices for the tax authority were
created manually to reflect the amount withheld. If such invoices exist,
they will not be cancelled automatically, and you might want to cancel
them manually.
When you cancel , reverse, or discard an invoice or invoice line, then the reversal
distributions are created with invoice date as the GL Date for all the reversal entries. All
the reversal distribution lines created from cancelling the invoice will have the GL Date
equal to the maximum of all the original distributions GL Date.
To cancel an invoice:
1.
Find the invoice. See: Finding Invoices, page 3-224.
2.
In the Invoices window, select the invoice you want to cancel and choose Actions.
In the Invoice Actions window, select Cancel Invoices and choose OK to have
Payables cancel the invoice.
3.
Save your work.
Cancelling Invoice Restrictions:
INVOICES TO WHICH YOU HAVE APPLIED PREPAYMENTS: You cannot cancel
an invoice that you have applied a prepayment to. You must first unapply the
prepayment.
INVOICES YOU HAVE MATCHED TO PERMANENTLY CLOSED PURCHASE
ORDERS: If you use encumbrance accounting, you cannot cancel an invoice that you
matched to a permanently-closed purchase order.
PREPAYMENTS: You cannot cancel a prepayment that you have applied to an invoice.
You must first unapply any prepayments and void the payment that paid the
prepayment. You can then cancel the prepayment.
GL DATE: You cannot change the GL Date if you use Encumbrance and the
distribution has been encumbered or is part of a reversal pair.
CAN'T REDUCE QUANTITY BELOW ZERO: You cannot cancel an invoice if
cancelling it reduces the quantity billed on a purchase order below zero.
Invoices 3-283
Related Topics
Applying Prepayments to Invoices, page 3-75
Unapplying Prepayments, page 3-82
Selecting Multiple Records, Oracle Applications User's Guide
Purchasing Integration, page 3-293
Deleting Invoices
You can delete an invoice if it is not accounted, and at least one of the following is true:
•
the invoice is cancelled
•
the invoice is not matched to a purchase order or receipt
Note: If you use encumbrance accounting, you can delete an
invoice only if the invoice is not validated, not matched to a
purchase order or receipt, and not accounted.
You cannot delete an invoice in the following conditions:
•
the invoice has been paid, including those with unapplied prepayments or voided
payments
•
the invoice is being processed by the Invoice Approval Workflow
Note: To determine whether the invoice is being processed, you can
view the status of an invoice in the Invoice Approval History
window. If the invoice has an Approval value of either Required or
Not Required, then you can delete the invoice.
For more information, see: Invoice Approval Workflow Process: page , page 3-182.
Related Topics
Purging Records, page 8-1
Oracle Assets Integration
You can enter invoices for asset items in Oracle Payables and then import specified
distributions into an interface table in Oracle Assets. You can then create assets from the
distributions in Oracle Assets. For detailed information see: Create Mass Additions
from Invoice Distributions in Oracle Payables, Oracle Assets User Guide.
You can also use Payables to make payments for capital leases that you record in Oracle
3-284 Oracle Payables User's Guide
Assets. In Oracle Assets, you enter lease payments and create lease payment schedules
that are exported to Payables through the Export Lease Payments to Payables Process.
This process loads invoice information into the Oracle Payables Open Interface and you
can run the Payables Open Interface Import to create your invoices. For detailed
information see: Exporting Lease Payments to Oracle Payables (Oracle Assets User Guide
or online help) and Payables Open Interface Import, page 3-142.
Prerequisites
•
Install Oracle Assets.
•
Assign to Payables the same ledger you use for the Oracle Assets corporate book.
•
If you use Oracle Inventory and Oracle Purchasing, set up your items with asset
categories.
To record an invoice distribution as an asset:
1.
Enter the invoice in either the Invoices window or the Quick Invoices window.
Enter the distribution description. This description will be imported into Assets.
Enable the Track as Asset check box for the item line, and optionally, for the
nonrecoverable tax line. The account must be set up for an existing asset category,
and must be either an asset clearing account or a construction-in-process (CIP)
clearing account. If you enter the invoice in the Invoice Workbench, Payables
automatically enables the check box if you have entered an Asset type account.
2.
Validate the invoice. See: Invoice Validation, page 3-172.
3.
Account for the invoice. See: Creating Accounting Entries in Payables, page 7-7.
4.
Transfer the invoice accounting entries to General Ledger. See: Transferring
Accounting Entries to Your General Ledger, page 7-10.
5.
Submit the Mass Additions Create Program, page 9-8. Create Mass Additions for
Assets process sends valid invoice distribution information from Payables to an
interface table in Assets.
6.
Prepare Mass Additions in Assets.
7.
Review Mass Additions in the Oracle Assets Mass Additions window.
Related Topics
Entering Invoice Distributions, page 3-18
Create Mass Additions from Invoice Line Distributions in Oracle Payables, Oracle Assets
User Guide
Invoices 3-285
Oracle Assets User Guide, Oracle Assets User Guide
Oracle Projects Integration
If you install Oracle Projects, you can record project information on supplier invoices
and employee expense reports. For each transaction, Payables records the project name,
task, and expenditure information. The Account Generator creates a charge account for
each invoice distribution that has project information. Project-related transactions are
interfaced back to Projects where the transactions are recorded and associated with
particular projects.
Note: Project fields appear in the Invoices window and Distributions
window only if you have installed Oracle Projects.
This document includes the following topics:
•
Entering Project-related Invoices and Expense Reports, page 3-286
•
Adjusting Project-related Invoices, page 3-291
Entering Project-Related Invoices and Expense Reports
This discussion gives a brief overview of the ways in which you can add project
information to expense reports and invoices. For detailed information on Payables
Integration with Projects, see the "Integration with Other Oracle Applications" chapter
in the Oracle Project Costing User Guide.
You can enter project information on supplier invoices. These transactions are interfaced
to Oracle Projects as supplier invoices. You can use the Payables Open Interface Import
program to import project-related invoices from Quick Invoices and other sources. You
can also enter project information on supplier invoices in the following ways:
•
Use the Invoices window and the Distributions window to enter an invoice, and
include project information. You can specify project information either by using a
project-related Distribution Set or by entering the project information manually.
•
If you match to a project-related purchase order then Payables automatically copies
any project information from the purchase order to the invoice distribution.
•
Assign a project-related Distribution Set or purchase order to a recurring invoice
template.
•
In the Distributions window, add project information to any existing supplier
invoice you have entered or imported.
You can enter project information on expense reports. These transactions are interfaced to
Oracle Projects as expense reports. You can enter project information on expense
3-286 Oracle Payables User's Guide
reports in the following ways:
•
Employees enter project information on an expense report in Internet Expenses.
•
In the Distributions window, add project information to any invoice you have
entered or imported. This includes expense reports you entered in the Invoices
window (invoice type of Expense Report), expense reports you entered in the
Payables Expense Reports window, or Internet Expenses expense reports that you
have imported.
Note: Only expense reports entered in Internet Expenses are
processed by the Expense Reporting Workflow, and any changes
you make to an expense report after import will not be included in
this workflow.
The PA: Default Expenditure Item Date for Supplier Cost profile option controls how
Payables and Purchasing determine expenditure item dates for supplier invoices and
receipt accruals. Payables uses this profile option to determine the expenditure item
date for supplier invoices distribution lines. See: Profile Options, Oracle Projects
Implementation Guide.
Uptake of Planning with Cost Breakdown Structure
This topic describes enhancements to Project Planning and their impact on Payables.
The Cost Code Planning element is available in Oracle Projects to provide an additional
level of granularity and project costs in its financial and work plan. The new Cost Code
element provides flexibility and details that helps to budget, plan, and track project
costs.
Oracle Projects also offers a new type of financial structure, Cost Breakdown Structure,
that breaks down costs for a specific section of the scope of a project into manageable
cost components.
To capture cost code information for project tasks, it is essential to record cost code
information in all source systems that interface with Oracle Projects. A combination of
Cost Code and Task ID referred to as Alternative task is used by all source systems to
capture and store the cost information.
Payables uptake of Cost Breakdown Structure enhancements ensures that Payables user
interfaces, database tables that capture, store and process Project-related information
now capture Alternative Task Information. Alternative Task information captured in
the source systems and interfaced to Projects is broken into Task and Cost Code
information.
All Payables tables that contain the column TASK_ID now stores Alternative Task
values.
The following tables contain the Task_ID column that now stores the Alternative Task
ID:
Invoices 3-287
•
AP_INVOICES_ALL
•
AP_INVOICE_LINES_ALL
•
AP_INVOICE_DISTRIBUTIONS_ALL
•
AP_INVOICE_LINES_INTERFACE
•
AP_SELF_ASSESSED_TAX_DIST_ALL
•
AP_DISTRIBUTION_SET_LINES_ALL
Capturing the cost code information in the source transaction products like Payables
which interface data to Projects is done by creating valid combinations of Cost Code
and Task, which is also referred to as Alternative Tasks. Payables now store alternative
task instead of task wherever project information is stored.
You must enable the Cost Code in Oracle Projects to capture Alternative Task
information in the source systems.
Changes in Payables
To uptake the changes made by introducing Cost Code, the following changes are made
in Payables:
Capture Alternative Task values instead of Task values in all Payables user interfaces
In all Payables user interfaces that store Project-related information, the Task column
now captures Alternative Task values. The LOV for the Task column displays values
according to the modified views provided by Projects but the field name is not changed.
The Task column in these windows displays Alternative Task information:
•
Invoice Header
•
Invoice Lines
•
Invoice Distributions
•
Quick Invoices o Invoice Approval Notification
•
Invoice Approval email notifications
•
Open Interface Invoices Lines
•
Distribution Set lines
When the Cost Code is enabled in Oracle Projects, only then the list of value for Task
option shows the Alternative task values.
Sending Alternative Task information to products which integrate with Payables
Payables integrates with several products such as Oracle Purchasing, Oracle Tax, Oracle
3-288 Oracle Payables User's Guide
Fixed Assets and Oracle Internet Expenses. When project-related information is
exchanged between Payables and integrating products, Alternative Task information is
used in place of Task information.
Change in use of PA Account Generator API
Payables uses the PA Account Generation API to generate account code combinations
based on project information entered on invoice distributions. For projects that use cost
codes in their work plan and financial structures, Payables passes Alternative Task ID
instead of Task ID to the API to derive the correct account code combinations.
Migration
Existing invoices store Task information. There is no retrospective change for such
invoices and they will continue to store Task information. For new invoices created, if
the cost code attribute is enabled in Projects, then instead of Task, Alternative Task
values are stored in the Payables user interface and tables.
Entering Project-Related Invoices and Distributions
When you enter a project-related invoice, you enter the project information either
manually in the projects fields, or by entering a project-related Distribution Set for the
invoice. These project values default to the Distributions window. In the Distributions
window you can add a value for Quantity.
Creating Project-Related Recurring Invoices
When you set up a recurring invoice template, assign a project-related distribution set
or purchase order to the template. All invoices created by the template will have the
project information. You can override these values in the Distributions window after
Payables creates the recurring invoice.
Entering Project-Related Expense Reports in Internet Expenses
This section gives you an overview of the process of entering project-related expense
reports using Internet Expenses. Each step refers you to documentation where you can
find more information on the step.
1.
Set up Payables, Oracle Internet Expenses, and Oracle Projects to process
project-related expense reports in Internet Expenses.
See: Setting Up Oracle Projects with Internet Expenses (Oracle Internet Expenses
Implementation and Administration Guide)
2.
In Oracle Internet Expenses, an employee enters an expense report with
project-related receipts, either online or disconnected (on a spreadsheet that is
uploaded). For each project-related receipt, the employee enters a project number
and a task number.
When the employee submits the expense report in Internet Expenses, the system
validates the project-related information, and then saves the expense report
Invoices 3-289
information in the Expense Report transaction tables. If an expense line fails
validation, Internet Expenses provides an error message. An employee must correct
all errors before saving or submitting an expense report.
3.
Once the expense report is submitted, the system starts the Expense Reporting
Workflow process. Workflow usesthe Project Expense Report Account Generator to
assign a charge account to each project-related item on the expense report.
See: Default Account Generator for Expense Reports (Oracle Projects
Implementation Guide)
4.
The Accounts Payable department (AP) reviews, audits, adjusts, and approves
expense reports entered in Internet Expenses. Note that project fields are not
available in this window.
After AP approves the expense report, it is ready for import. Any unverified
receipts are subject to short payment during the workflow process.
See: Workflow (Oracle Internet Expenses Implementation and Administration Guide)
5.
You submit Expense Report Export to convert the expense report into an invoice.
Select Oracle Internet Expenses as the Source parameter to create invoices from
expense reports entered in Internet Expenses. An expense report entered in Internet
Expenses is not eligible for import until the Manager (Spending) Approval Process
and the AP Approval Process complete successfully.
See: Workflow (Oracle Internet Expenses Implementation and Administration Guide)
See: Expense Report Export Program, page 4-11.
If expense reports could not be imported, then the Export Results page lists the
rejection reasons. If the expense report is rejected, correct the problems and
resubmit Expense Report Export.
See: Resolving Expense Report Export Exceptions, page 4-14.
6.
In the Payables Invoice Workbench, you can adjust project information in the
Distributions window.
See: Adding or Modifying Project Information on Invoices., page 3-292
7.
In Payables, validate and pay the invoice.
Entering Project-Related Expense Reports in Payables
The Expense Reports window has no project fields. You can enter project-related
expense reports in the Invoice Workbench. Enter an invoice with the invoice type of
Expense Report, enter an employee's name as the supplier, and enter project
information, either by using a project-related Distribution Set, or by manually entering
project information. The system automatically builds the charge account for the
distribution based on the project information on the distribution.
3-290 Oracle Payables User's Guide
Related Topics
Adjusting Project-related Invoices, page 3-291
Oracle Internet Expenses Implementation and Administration Guide.
Implementing Oracle Payables for Projects Integration, Oracle Projects Implementation
Guide
Creating a Project Related Distribution Set, Oracle Payables Implementation Guide
Adjusting Project-Related Invoices
If the project-related invoice is not accounted, then in Payables you can make the same
adjustments that you can to any other unaccounted invoice. See: Adjusting Invoices,
page 3-271.
However, you cannot update the account if the PA: Allow Override of PA Distributions
in AP/PO profile option is disabled.
If the invoice has already interfaced to Oracle Projects, you can no longer adjust the
total amount of the invoice. After interfacing the invoice to Projects, to make a change to
an invoice distribution, you should add a reversing distribution with the incorrect
information, and then add a new distribution with the correct information.
For example, if you entered a distribution for $500, with cost center 444 in the charge
account, and you want to change the cost center to 445. Choose the Reverse button to
create a new distribution with the same information as the distribution you want to
replace, including cost center 444, but an amount of -$500. Then add a new distribution
for $500 with cost center 445. For more information see: Adjustments to Supplier Costs,
Oracle Project Costing User Guide.
If you have interfaced the invoice from Payables to Projects, then from Projects, you can
make net-zero adjustments to supplier cost expenditure items. Projects generates
accounting events for the adjustments and creates accounting for the accounting events
in Oracle Subledger Accounting.
In Payables you can cancel an invoice after interfacing it to Projects.
Viewing Adjustments Made in Oracle Projects
You can access Expenditure Inquiry in Projects from the Invoice Workbench to view
any adjustments to the invoice that users made in Projects. On the Invoice Workbench,
select View Project Adjustments option from the Tools menu to open the Find
Expenditure Items window.
This option is context-sensitive. Oracle Payables automatically enters find criteria based
on whether your cursor is on the invoice header, an invoice line, or an invoice
distribution line. You can optionally revise the find criteria before you search for the
expenditure items.
Invoices 3-291
Adding or Modifying Project Information on Invoices
In the Distributions window, you can update or add project information on invoices, or
expense reports that you have entered in Payables.
After you validate the invoice and create accounting for the invoice, you can interface
the invoice to Projects.
Adjusting Charge Account Information
The Account Generator generates a charge account for each distribution that has project
information. If you change the project information on an invoice distribution, the
Account Generator rebuilds the account based on the new project information.
You can make changes to project information either in Payables, or in Projects if the
invoice has already been interfaced to Projects. For detailed information, see:
Accounting Transaction Created by the Account Generator, Oracle Project Costing User
Guide, Implementing Accounting for Project-Related Supplier Costs and Expense
Reports, Oracle Projects Implementation Guide, and Integrating with Oracle Purchasing
and Oracle Payables, Oracle Project Costing User Guide.
You cannot override the charge account on a project-related distribution if the PA:
Allow Override of PA Distributions in AP/PO profile option is disabled.
The PA: Allow Override of PA Distributions in AP/PO profile option controls whether
the Account Generator generates an account when a user enters or updates project
information and the account on an invoice. The following chart shows different actions
a user might perform on an invoice and how the setting of this profile option
determines whether the Account Generator generates or regenerates an account.
The user . . .
If profile is Yes
If profile is No
then the Account
Generator:
then the Account
Generator:
enters a new project-related
invoice and enters an account.
does not generate account.
overrides user-entered
account and generates
account.
enters a new project-related
invoice but does not enter an
account.
generates account.
generates account.
updates a project-related
invoice. User changed project
information but did not
change the account.
generates account, and the
system displays a message
that the account was
automatically updated.
regenerates account.
3-292 Oracle Payables User's Guide
The user . . .
If profile is Yes
If profile is No
then the Account
Generator:
then the Account
Generator:
updates a project-related
invoice. User does not change
project information and tries
to change the account.
does not generate account,
and the system allows the
user to change the account.
does not generate account,
and the system does not allow
the user to change the
account.
updates an invoice. User
changed from a
project-related invoice to a
nonproject-related invoice,
but did not change the
account.
does not generate account.
does not generate account.
updates an invoice. User
changed from a
nonproject-related invoice to
a project-related invoice, but
did not change the account.
generates account, and the
system displays message that
the account was automatically
updated.
generates account.
updates an invoice. User
changed from a
nonproject-related invoice to
a project-related invoice, and
changed the account.
does not generate account.
generates account.
Oracle Purchasing Integration
Payables fully integrates with Purchasing and other purchasing systems. This allows
you to access your purchasing information online and match invoices to purchase
orders or purchase order receipts.
You can use many options in Payables to control purchase order and receipt matching.
You can define invoice tolerances which Payables uses when validating your purchase
order or receipt matched invoices.
If you use a purchasing system other than Oracle Purchasing and you want to match
invoices, you must provide that purchasing information in several Purchasing tables in
order to perform the matches. See: Purchase Order Matching Database Tables, Oracle
Payables Reference Guide. If you want assistance from Oracle to integrate your
purchasing system with Payables, contact Oracle Consulting Services at your local
Oracle office.
This discussion includes the following topics:
Invoices 3-293
•
Setting Up Your System for Matching, Oracle Payables Implementation Guide
•
Integrated Supplier and Purchasing Information, page 3-294
•
Purchase Order and Receipt Matching, page 3-295
•
Holding Invoices with Invalid Purchase Order Numbers, page 3-306
•
Two-, Three-, and Four-way Approval, page 3-298
•
Purchase Order Shipment and Distribution Matching, page 3-297
•
Payment on Receipt, page 3-299
•
Invoice Variances, page 3-300
•
Variance Accounts, page 3-301
•
Defining Accrual and Variance Accounts, page 3-302
•
Closing Purchase Orders, page 3-305
•
Receipt Accrual, page 3-306
•
Purging Payables and Purchasing Information, page 3-306
Integrated Supplier and Purchasing Information
Integrated information in Payables and Purchasing ensures consistency of information
between applications and avoids the necessity of having to enter the information more
than once.
Payables shares suppliers with Purchasing. You can enter a supplier in either
application and use that supplier to create requisitions and purchase orders in
Purchasing. Then, within Payables, you can create invoices for the same supplier and
match the invoices to one or more purchase order shipments, purchase order
distributions, or purchase order receipts.
In addition, Payables and Purchasing share the lookup values that you use during
supplier entry. You can create values for the following lookup types in the Oracle
Payables Lookups window:
•
Supplier Type
•
Minority Group
You can create values for the following lookup types in the Oracle Purchasing Lookups
window:
3-294 Oracle Payables User's Guide
•
FOB
•
Pay Group
•
Supplier Type
•
Minority Group
•
Freight Terms
For more information, see: Lookups, Oracle Payables Implementation Guide.
Purchase Order and Receipt Matching
Payables shares purchase order information from your purchasing system to enable
online matching with invoices. When matching based on quantity, match your billed
(invoice) items to the original purchase orders or receipts to ensure that you pay only
for the goods or services you ordered. If you are billed for an item in excess of the
amount and quantity tolerances you define in the Invoice Tolerances window, Invoice
Validation applies a hold to the invoice, which prevents payment.
Note: To prevent overbilling when amount matching, enable the
Shipment Amount tolerance and set it to zero.
You can match a single invoice to multiple purchase order shipments and distributions,
or you can match multiple invoices to a single purchase order shipment or distribution.
Payables ensures that when you match an invoice to a purchase order that the invoice
and purchase order have the same supplier and currency.
When you match an invoice to a purchase order or receipt, Payables creates invoice
distributions using the purchase order distribution accounting information. You cannot
delete invoice distributions created through matching. If you incorrectly match an
invoice to a purchase order, you may either cancel the invoice, or reverse the individual
distributions which are incorrectly matched.
Landed Cost Management
Landed Cost Management allows companies to calculate cost required to take a product
to market, to source a product overseas, or to do business with a particular vendor or
customer. Knowing the total actual landed cost of goods provides powerful insight in to
competitive global markets. When companies use the landed cost information
strategically, they can control overall product margin and optimize profitability.
The landed cost is calculated in different times during the procurement flow:
•
simulated at PO creation
•
estimated at materials receipt
Invoices 3-295
•
and finally, recalculated based on the actual item and invoice pricing during the
invoice creation
The estimated landed cost calculates the item cost and generates the accounting entries
of the material receipt transactions. These support an enhanced item cost management
with enhanced margin control, ability to recalculate the landed costs based on the latest
invoice pricing and properly handling variances on the landed cost components are key
prerequisites for allowing companies to have optimized cost management and better
sourcing decisions.
Landed Cost Management relies on the association of charge invoice amounts to
receipts to calculate actual landed cost.
The existing invoice matching to receipts in Payables lets you match the charge invoices
in the order currencies and considers the landed cost information whenever you
perform the matching activities for freight and miscellaneous matching types.
The invoice matching includes fields and links to Landed Cost Management that let you
search by landed cost information. You can review and take decisions based on the
landed cost details when matching charge lines to landed cost management-enabled
receipt lines.
The invoice validation process includes validations to check the invoice charged
amounts against the estimated landed cost information and raise appropriate holds.
This feature provides enhancements in Landed Cost Management and Payables
applications.
Enter Charge Invoices in Other Currencies
The Freight and Miscellaneous Charges Matching window is enhanced to support
charge invoices in other currencies than the PO to be matched to the receipt lines.
Enhanced Find Receipts for Matching
The new landed cost fields let you use additional information to correctly identify the
receipt lines to receive the allocations from the charge lines.
When the AP: Show Closed LCM Receipts on Charge Invoice Matching Profile is set to
No, the closed Landed Cost Management enabled receipt lines are not displayed.
Review Landed Costs during Matching
The Freight and Miscellaneous Charges Matching window is enhanced to include
landed cost information to help select the correct Landed Cost Management-enabled
receipt lines for matching.
The estimated landed cost information calculated during the material receiving process
helps you during the matching process. For example, details about a receipt line has an
estimated $90 of freight is critical when matching a freight invoice.
The Match Other Charges to Receipts window displays the estimated and billed
amount for the selected cost factor that is matched to help you select correct receipt
lines for matching. The estimated amount provides a reference of the calculations done
3-296 Oracle Payables User's Guide
at receiving time and the billed amount shows the previously matched amount for each
of the receipt lines.
Screen Validation at the Time of Matching to Receipt Lines
The Freight and Miscellaneous Charges Matching window alerts you on business
exceptions when you select a receipt line. You can define your own tolerance
percentage and amount parameters.
Tolerance Check for Charge Invoices Based on Landed Costs
The freight and miscellaneous charges invoice amount is verified against the estimated
landed cost. This ensures the matched charge amounts are compliant with the rules
established when calculating estimated amounts for each cost factor during receiving.
You can define your own tolerance percentage and amount parameters.
Related Topics
Invoice Validation, page 3-172
Releasing Holds, page 3-214
Entering Purchase Order Matched Invoices, page 3-32
Adjusting Invoices, page 3-271
Matching to Receipts from the Invoice Workbench, page 3-38
Purchase Order Shipment and Distribution Matching
You can match to purchase order shipments, purchase order distributions, and
purchase order shipments for receipt transactions. A purchase order shipment may
have multiple distributions. If you are billed for only a portion of a shipment, you may
want to match at the distribution level to ensure you charge the correct account If you
choose not to match to the distributions, Payables prorates the match amount across the
available distributions for that shipment.
You may want to record a price correction for a purchase order shipment if you receive
an invoice from the supplier that is an adjustment to the unit price of an invoice you
previously matched to that purchase order shipment. You can record price corrections
without adjusting the quantity billed on the purchase order.
Note: When matching based on amount, price or quantity correction is
not applicable.
You can reverse purchase order matches in the Distributions window of the Invoice
Workbench. You can cancel invoices matched to purchase orders in the Invoice Actions
window of the Invoice Workbench. If you cancel an invoice matched to a purchase
order, in addition to creating reversing distributions, Payables reverses the match to the
purchase order by cancelling the invoiced quantity and amount of the original invoice
distributions. Payables reduces the billed quantity and billed amount on the matched
Invoices 3-297
purchase order distributions by the amount of the cancelled or reversed invoice
distributions. You can then match these purchase order shipments and distributions to
other invoices.
Related Topics
Matching to Receipts from the Invoice Workbench, page 3-38
Entering Purchase Order Matched Invoices, page 3-32
Adjusting Invoices, page 3-271
Cancelling Invoices, page 3-282
Price Corrections, page 3-66
Two-, Three-, and Four-way Approval
Two-way approval verifies that purchase order and invoice information match within
your tolerances as follows:
•
Quantity billed on the purchase order shipment is less than or equal to Quantity
ordered on the purchase order shipment.
•
Invoice price on the purchase order shipment is less than or equal to Purchase
order price on the purchase order shipment.
Three-way approval adds a third criterion to verify that receipt and invoice information
match with the quantity tolerances you define:
•
Quantity billed on the purchase order shipment is less than or equal to Quantity
received on the purchase order shipment.
Four-way approval adds a fourth criterion to verify that acceptance documents and
invoice information match within the quantity tolerances you define:
•
Quantity billed on the purchase order shipment is less than or equal to Quantity
accepted on the purchase order shipment.
When you match to a purchase order, Payables automatically performs two-way
approval. In the Purchasing Options window you can choose to additionally use
three-way or four-way approval. You can change the Match Approval Level option at
the supplier and purchase order shipment levels.
If the invoice and purchase order do not match within the tolerances you define for
quantity and price, Invoice Validation places a matching hold on the invoice. You must
release the hold before you can pay the invoice.
Related Topics
Releasing Holds, page 3-214
3-298 Oracle Payables User's Guide
Amount-Based Matching of Purchase Orders
Use amount-based matching of purchase orders to match supplier invoices for services
based on the invoice amount. Purchasing specifies Amount as the match basis.
You can perform amount matching on the following kinds of invoices: Credit Memo,
Debit Memo, Expense Report (from Invoice Workbench only), Mixed, Prepayment,
Recurring, and Standard.
When matching invoices based on amount, match your billed (invoice) amount to
purchase order shipments or receipts to ensure that you pay only for the rate or value of
the services. You enter invoices and create invoice distributions similar to quantity
matching. However, you provide an amount, rather than quantity and unit price, as the
basis to create distributions.
You can further match a distribution to a purchase order by clicking on the Distribute
button, selecting each purchase order distribution, and entering the applicable amount.
If you have not distributed while selecting a shipment, Payables prorates the
appropriate purchase order distribution.
In some instances, you may enter an invoice against a service shipment with different
rates for regular and overtime hours. If you want to match to the service shipment and
also track the regular and overtime hours differently, you match to the same shipment
twice and enter the appropriate amount each time. You can optionally enter the hours
worked in the Quantity Invoiced field and the rate in the Unit Price field.
You can also allocate charges during matching by specifying the tax, freight, and
miscellaneous charges.
Invoice validation is similar to quantity matching except if the accrue on receipt option
is set to No, Payables calculates the amount variance, which is the excess amount
invoiced and expensed during accounting. Payables does not have a separate
accounting entry for this but records it separately for encumbrance.
In addition to the entries recorded by Payables in encumbrance accounting, Payables
creates amount variance encumbrance entries if the PO and Invoice Encumbrance types
are different and reverses any amount variance during invoice accounting in accrual
basis and during payment accounting in cash basis.
Since quantity-related and price-related validations are not applicable, Payables does
not check tolerances related to quantity and price. Invoice tolerances specified for the
quantity and price are also not applicable. Instead, Payables validates the invoice only
on the following applicable holds when matched to a service order or receipt: Final
Matching, Currency Difference between Invoice and PO, PO Approval, Receipt
Exception, Shipment Exception, Shipment Amount, Total Amount, and Exchange Rate
Amount.
Payment on Receipt
If you have installed Oracle Purchasing, you can increase the efficiency of your
Invoices 3-299
procurement cycle by generating payments to suppliers based on receipt transactions.
These receipts include Advance Shipment Notices (ASNs) and Advance Shipment and
Billing Notices (ASBNs) that you receive electronically in Purchasing. See: Advance
Shipment Notice (ASN/ASBN), Oracle Purchasing User's Guide.
You can set up your suppliers to be paid either on receipt or delivery, and you can
choose the level of invoice consolidation: packing slip, receipt, or supplier pay site.
After receipt or delivery transactions are created, you can submit the Pay on Receipt
AutoInvoice Program to automatically import invoices that are matched to
corresponding purchase orders. After the Payables Open Interface Import process
completes, you can then validate and pay these purchase order matched invoices using
standard Payables payment processing functionality. See: Payment on Receipt, Oracle
Purchasing User's Guide.
If you enable the supplier site option, Create Debit Memo from RTS Transaction, then
when you enter RTS (Return to Supplier) transactions in Purchasing, the system
automatically creates unvalidated debit memos in Payables that are matched to the
purchasing document specified on the purchase order shipment.
Invoice Variances
If you use accrual basis accounting, and have Oracle Purchasing installed, then Payables
records variances when you validate and create accounting entries for an invoice
distribution matched to either a purchase order or receipt. Variances are the differences
between the purchase order and invoice in price, quantity, and, for foreign currency
transactions, exchange rate. Invoice variances include nonrecoverable tax. Variance is
calculated based on the invoice amount, not including any prepayment distributions.
The following formulas show how Payables calculates the invoice amount, purchase
order amount, and the variance amounts.
Amount
Forumula
Purchase Order Amount
PO Qty x PO Price x PO/Receipt Rate
Invoice Distribution Amount
Invoice Qty x Invoice Price x Invoice Rate
Expense or Accrual Amount
Invoice Distribution Amount -
All in functional currency if this is a foreign
currency transaction.
(Invoice Price Variance + Exchange Rate
Variance)
Invoice Price Variance (IPV)
Invoice Qty x (Invoice Price - PO Price) x
Invoice Rate
Quantity Variance
(Invoice Qty - PO Qty) x PO Price x PO Rate
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Amount
Forumula
Exchange Rate Variance (ERV)
Invoice Qty x PO Price x
(Invoice Rate - PO/Receipt Rate)
Note: The balancing entry to encumbrances is the reserve for
encumbrances. The associated encumbrances use the same formulas;
for example, the encumbrance for a purchase order is calculated
according to the formula PO Qty x PO Price x PO Rate.
During Invoice Validation, Payables applies holds to purchase order matched invoices
that exceed tolerances you defined for price, quantity, and exchange rate differences in
the Invoice Tolerances window.
Related Topics
Invoice Tolerances, Oracle Payables Implementation Guide
Invoice Validation, page 3-172
Encumbrance Entries in Payables, page 10-29
Accounting Methods, Oracle Payables Implementation Guide
Variance Accounts, page 3-301
Variance Accounts
The accounts to which Payables records invoice distributions and any related variance
distributions depend on your accrual method (receipt or period end), and the item type
(expense or inventory).
If you use the receipt accrual method, (also known as perpetual accrual), the system
automatically records an accrual when you record an item as received in Oracle
Purchasing. When you create accounting entries for the invoice, Payables reverses this
accrual and records the AP liability. If you use period end accruals, you run the Accrual
Process for Period End Accruals and enter a reversing manual journal entry for the AP
accrual. When you create accounting entries for the invoice, Payables records the
expense and the AP liability. For inventory items you must use the receipt accrual
method. For expense items you select your Accrue Expense Items Purchasing option,
either On Receipt or Period End.
If you use Period End Accrual, and if the CCID segments are the same, then the system
summarizes IPV and ERV expenses with the distribution and nonrecoverable tax
expenses in a single expense entry. Any lines with different CCIDs appear as separate
entries.
Invoices 3-301
Payables creates all variance distributions at invoice validation time.
Expense Items
The following table shows the variance accounts used for expense items:
Accrual Method
Purchase Order
Expense
Quantity
Variance
Invoice Price
Variance
Exchange Rate
Variance
On Receipt
Expense AP
Accrual Account
Expense AP
Accrual Account
Charge Account
Charge Account
Period End
Charge Account
Charge Account
Charge Account
Charge Account
Inventory Items
The following table shows the variance accounts used for inventory items:
Accrual Method
Purchase Order
Expense
Quantity
Variance
Invoice Price
Variance
Exchange Rate
Variance
On Receipt
Inventory AP
Accrual Account
Inventory AP
Accrual Account
Invoice Price
Variance
Account
Exchange PO
Rate Variance
Gain or Loss
Account
Defining Accrual and Variance Accounts
You define accounts in different windows of different products. To see which windows
inherit accounts you define, see: Account Default Hierarchy Chart, page B-10.
Exchange PO Rate Variance Gain/Loss Account. Accounting Region of the Financials
Options window in Payables or Purchasing. See: Defining Financials Options, Oracle
Payables Implementation Guide.
Expense Accounts Payable Accrual Account. Defining Accrual Options Region of the
Purchasing Options window in Purchasing. See: Defining Accrual Options, Oracle
Purchasing User's Guide.
Inventory Accounts Payable Accrual Account. Organization Parameters window in
Oracle Inventory. See: Organization Parameters Window, Oracle Inventory User's Guide.
Invoice Price Variance Account. Organization Parameters window in Inventory. See:
Organization Parameters Window, Oracle Inventory User's Guide.
3-302 Oracle Payables User's Guide
Related Topics
Invoice Tolerances, Oracle Payables Implementation Guide
Invoice Variances, page 3-300
Overview of Receipt Accounting, Oracle Purchasing User's Guide
Defining Purchasing Options, Oracle Purchasing User's Guide
Reconciling A/P Accrual Accounts Balance, Oracle Purchasing User's Guide
Accrual Write-Offs, Oracle Purchasing User's Guide
Receipt Accruals - Period End Process, Oracle Purchasing User's Guide
Retroactive Price Update on Purchasing Documents
If your enterprise uses Oracle Purchasing's Retroactive Price Update on Purchasing
Documents feature, your purchasing department can retroactively adjust the price of a
previously invoiced items and in Payables.
The following text applies only if your purchasing department uses this optional
feature.
Important: In certain countries, unless you receive special dispensation
from the fiscal authorities, this feature may not be appropriate because
it automatically generates invoices without first receiving a
corresponding invoice document from a supplier.
If your Oracle Purchasing system is set up to use this feature, when an Oracle
Purchasing user updates the price on an item that has already been invoiced, and then
the user submits the Create Adjustment Documents in Payables program, the program
adjusts the total invoiced amount to the final negotiated purchasing price. The two
types of adjustment invoices are:
•
PO Price Adjustment: This invoice is for the difference in price between the
original invoice and the new purchase order price. Also, the accounting for this
invoice effectively moves any invoice price variance amount from the original
invoice to the charge account.
•
Adjustment invoice: This invoice effectively reverses any outstanding regular
Payables price corrections and PO Price Adjustment invoices. This is so the PO
Price Adjustment document can be for only the price difference between the
original invoice and the new PO price.
These adjustment invoices can be positive, negative, or zero amount. When the original
invoice and its related adjustment documents are paid, the net effect is as if the original
invoice had always had the new price. The supplier is paid the appropriate amount,
and the accounting is adjusted accordingly.
Invoices 3-303
You cannot manually enter these types of invoices, nor can you adjust or cancel them.
You can view, report on, validate, account for, and pay them.
If you want to effectively cancel one of these invoices, the Purchasing user can set the
price back to the original price on the purchase order and resubmit the Create
Adjustment Documents in Payables program. This will generate new adjustment
documents to net to zero any outstanding adjustment documents.
•
If positive, credits payment to the supplier.
•
If negative, debits against future or unpaid invoices.
•
Can be zero in some cases.
•
When appropriate, tax is automatically calculated.
•
Cannot be manually entered or updated.
More Information
•
Read the Oracle Purchasing User Guide section, Retroactive Price Update on
Purchasing Documents for complete information on setting up and using this
feature.
•
Before using this feature, enable the Allow Zero Payments option in the Payables
Options region of the Bank Accounts window. This will allow you to pay zero
amount invoices that might be generated only to adjust invoice price variance
accounting.
•
For project-related invoices the system always exactly copies the account from the
original distribution to keep the original and adjustment invoices consistent.
•
If the exchange rate type on the original invoice is User, then the system copies the
exchange rate from the original invoice to the adjustment documents.
•
If the Create Adjustment Documents in Payables program cannot generate an
adjustment invoice for some reason, then the program produces the Create
Adjusting Documents in Payables Exceptions report. For example the exchange rate
type of the original invoice is not User and there is no exchange rate defined in the
daily rates table for the exchange date. This report displays all selected PO
documents in the Create Adjusting Documents in Payables program output. This
program automatically triggers, Payables Open Interface program and this output
lists all exceptions while creating invoices.
Note: The system produces the Create Adjusting Documents in
Payables Exceptions report only when there are exceptions
generated in the Create Adjustment Documents in Payables
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program.
•
Original invoices must complete Invoice Validation before Invoice Validation will
process the related Adjustment and PO Price Adjustment invoices.
•
If you submit Supplier Merge for a supplier for which you might use the feature for,
then merge all invoices, not just unpaid ones.
•
Extended withholding is not supported with this feature. If you use this
localization, then you should not use this feature.
Because this is an Oracle Purchasing feature, most documentation for this feature
resides in the Oracle Purchasing user guide and online help.
Related Topics
Retroactive Price Update on Purchasing Documents, Oracle Purchasing User Guide
Closing Purchase Orders
Payables closes a purchase order when the quantity billed and the quantity received (if
you require receipt on the purchase order shipment) against the purchase order are
both greater than or equal to the quantity ordered less the quantity cancelled on the
purchase order.
Payables displays a warning message if you try to match to a closed purchase order, but
you can still complete the match unless the shipment is finally closed. When you submit
Invoice Validation, Payables applies the appropriate matching hold(s). You can reopen
a closed purchase order in Purchasing by adding a new shipment, over-receiving within
your tolerance, or changing the quantity for a shipment.
Payables closes a purchase order shipment when the quantity billed and the quantity
received (if you require receipt on the purchase order shipment line) against the
purchase order shipment are both greater than or equal to the quantity ordered less the
quantity cancelled on the purchase order shipment.
In Oracle Purchasing, you can manually close a purchase order at the header, release,
line, and shipment levels and also enter a Closed Reason, which is displayed in the
Match to Purchase Order and Match to Receipts windows. This indicates that the record
was intentionally closed and should not be matched. For detailed information, see:
Oracle Purchasing User Guide.
Note: The Finally Closed status of a purchase order indicates that the
purchase order is permanently closed and no further actions can be
performed against it in either Purchasing or Payables.
Invoices 3-305
Related Topics
Final Matching and Final Closing Purchase Orders, page 3-70
Receipt Accrual
Purchasing provides you with a number of windows and reports to support receipt
accrual for purchase orders you match to. You can report on the balance of the receipt
accrual accounts and manually write off any accrual transactions. You can then report
on the transactions you chose to write off.
If goods receipt accruals are enabled, either using the perpetual or Period-end method,
and the Enable Recoverable Tax option is enabled, then the receipt accruals will be
accounted inclusive of nonrecoverable tax to reflect the liability on the receipt of goods.
See: Taxes on Invoices, page 3-190.
Related Topics
Variance Accounts, page 3-301
Accrual Reconciliation Report, Oracle Purchasing User's Guide
Accrual Write-Off Report, Oracle Purchasing User's Guide
Overview of Receipt Accounting, Oracle Purchasing User's Guide
Holding Invoices With Invalid Purchase Order Numbers
If a supplier sends you an invoice that is either missing a purchase order number, or has
an invalid purchase order number, then you can manually apply the Invalid PO hold to
the invoice to prevent payment of it. You can then submit the Invalid PO Supplier
Notice to automatically generate a notice that informs the supplier that you require a
valid purchase order number. See: Invalid PO Supplier Notice, page 9-122.
Purging Payables and Purchasing Information
Payables maintains all invoice, purchase order, and related records you enter in
Payables and Purchasing. You may want to delete these records periodically to limit the
amount of space required for your Payables and Purchasing tables. You can use the
Purge feature to delete all invoices and payments in Payables, and all requisitions,
purchase orders, and receipts in Purchasing. You can also delete inactive suppliers.
When you purge payables and purchasing information, Payables maintains summary
records of all purged information for reference and audit purposes.
Related Topics
Purging Records, page 8-1
3-306 Oracle Payables User's Guide
Oracle Property Manager Integration
You can use Payables to make payments for leases that you record in Oracle Property
Manager. In Property Manager, you abstract a lease, authorize payment, and then
export the lease payment information to Payables by using the Export Payments to
Payables window in Property Manager. This loads the invoice information into the
Payables Invoice Open Interface table. To import this information into Payables and
create Payables invoices, use the Source of Oracle Property Manager when you submit
the Payables Open Interface Import program. You can then query, validate, and pay the
lease invoices in Payables.
Related Topics
Oracle Property Manager User's Guide
Oracle Grants Accounting Integration
If you install Oracle Grants Accounting, you can record an award ID in the following
windows:
•
Invoices
•
Distribution Sets
•
Distributions
If you enter an award ID in the Invoices window, it defaults to invoice distributions.
You can also add award ID information to Distribution Sets to default the award ID to
distributions. In the Distributions window you can add a value for award ID to any
imported invoice distributions.
Oracle Inventory Integration
To comply with the European Union's Intrastat requirements, you might need to record
information associated with the movement of goods between statistics-gathering
countries. If you install Oracle Inventory, and want to comply with Intrastat reporting
requirements, you can record statistics for invoices. For details, see: Collecting and
Reporting Movement Statistics, Oracle Inventory User's Guide
Invoice Window References
Match to Purchase Orders Window Reference
The Match to Purchase Orders window is a customizable folder in which you can move,
Invoices 3-307
resize, and hide fields in the window. See: Customizing the Presentation of Data in a
Folder, Oracle Applications User's Guide.
Accounting Date. Date accounting entries are created.
Associated Charges Freight/Misc. Total of associated Freight or Miscellaneous charges.
Award. If you use Oracle Grants Accounting, the award number of the project.
Allocate. Check the Allocate check box for the shipments for which you want to prorate
tax, freight, or miscellaneous. For detailed information see: Allocate Window, page 3-22.
Buyer. Buyer who created the purchase order associated with this purchase order
shipment.
Closed Code. Indicates whether a purchase order shipment has been closed for
invoicing.
Closed Reason. The reason the purchase order line or shipment was closed.
Deliver To. Person who submitted the purchase requisition for the item.
Distribution Total. Payables displays the sum of the distributions for the invoice you
are matching to the purchase order. This number includes Match Amounts that you
have not yet saved.
Final Match. Check the Final Match check box only if you are certain this is a final
match against the related purchase order. Once you validate a final matched invoice
distribution, you cannot update the Final Match field for the distribution or match other
invoices to this shipment. For detailed information, see: Final Matching Purchase
Orders, page 3-70.
Freight/Misc. Check this check box for the shipments that you want to prorate to freight
or miscellaneous lines. For detailed information see: Allocation, page 3-21.
Invoice Amount. Payables displays the amount of the invoice you are matching to the
purchase order.
Item Category. Item category from the purchase order shipment line.
Item Description. Description of an item from the purchase order shipment line.
Item Num. Payables displays the item number from the purchase order shipment line.
Use this information to compare items ordered on a purchase order shipment line with
items billed on your invoice.
Last Receipt. Last date someone entered receiving information for a purchase order
shipment in Purchasing.
Line. Payables displays the purchase order shipment line number. You can match an
invoice to one or more purchase order shipment lines.
Match. Check this check box to select a shipment and to enter matching data for it. Note
that when you check this box the information in the Shipment Qty display only region
shows the shipment information for the selected shipment line.
Match Amount. Total currency amount you want to match. If you enter Quantity
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Invoiced, Payables calculates and enters this value. (Quantity Invoiced x Unit Price =
Match Amount).
Match Basis. Basis on which invoices are matched to purchase orders. Options include:
Price Correction, Quantity Correction, Invoice Line Correction, Invoice Line Matched to
Purchase Order, Invoice Line Matched to Receipt, Other Charge Invoice Line Matched
to Receipt, or Not Matched. You can also define custom match types in the Invoice Line
Match Type lookup.
Need-By Date. The need-by date, as specified in the purchase order shipment.
Payment Type. The payment type as specified on the purchase order.
PO Number. Payables displays the purchase order number of the shipment.
Purchase Order Payment Terms. Payment terms associated with the purchase order
shipment.
Purchase Order Freight Terms. Freight terms associated with the purchase order
shipment.
Project/Task/Expenditure. If you have Oracle Projects installed, a project to charge the
expenditures on an invoice to a specific project, task, or organization. The system uses
the project information you enter to create an account that defaults to the invoice
distribution. You can override this project information at the invoice distribution. If you
change these values at the invoice header level, then the values will not affect any
existing distributions.
Note: If you enter project information, you must enter a value for Task
unless you have matched to a purchase order with project information
with a null task ID. A purchase order can have a null task ID only if its
destination is Inventory or Shop Floor. If the destination is Inventory or
Shop Floor, the project information is used by Project Manufacturing.
Quantity Invoiced. Number of units invoiced. This value defaults from the unbilled
purchase order shipment quantity.
If you enter Unit Price and Match Amount, Payables calculates and enters this value.
(Quantity Invoiced x Unit Price = Match Amount).
Release. Payables displays the Release associated with a blanket purchase order.
Ship-To Location. Payables displays the shipment location of the item from the
purchase order shipment line.
Shipment Item Description. The description of the item as it appears on the purchase
order shipment.
Shipment Num. Number of the purchase order shipment.
Supplier Item. Supplier item number from the purchase order shipment line.
Unit Price. Price per unit. This value defaults from the purchase order shipment unit
price.
Invoices 3-309
You can update this value at the shipment level only. If you enter Quantity Invoiced
and Match Amount, Payables calculates and enters this value. (Quantity Invoiced x
Unit Price = Match Amount).
If you are recording a price correction, you can adjust the price without affecting the
quantity.
You cannot adjust the Unit Price if you are matching to an amount-based purchase
order shipment with a Unit Price of 1, for example, a purchase order for labor service
charges where the Unit Price is 1 and the labor service amount is entered in the
Quantity Invoiced field.
Display Only Region
Invoice Amount. Payables displays the amount of the invoice you are matching to the
purchase order.
Line Total. The total of the invoice lines.
Shipment Quantity. Payables displays for the currently selected purchase order
shipment the following information:
•
UOM. Unit of measure that was entered on the purchase order line, for example,
Each, Days, or Dozen. You can verify that the unit of measure on a purchase order
line matches the unit of measure on your invoice. The quantity invoiced must be in
the same unit of measure as the quantity ordered on the purchase order.
•
Ordered. Quantity ordered. Compare this value to your current invoice quantity
and the Quantity Billed in the Receipt Quantity Region to ensure that you are not
being billed for too many items.
•
Billed. Total invoice quantity that you have previously matched to the selected
purchase order shipment line.
•
Received/Accepted. Quantity received/accepted for a purchase order shipment
line. Payables displays N/A if receipt/acceptance is not required for a purchase
order shipment line. You determine if receipt/acceptance is required for a purchase
order shipment line in Purchasing when you enter a purchase order.
•
Distributions. The number of distributions for the current purchase order
shipment. This is helpful in determining if you need to match to specific
distributions instead of prorating the match quantity across multiple distributions.
•
Shipped. The number of shipped purchase order lines.
•
Type. The shipment type.
Payment Terms. Payment terms associated with the purchase order shipment.
Freight Terms. Freight terms associated with the purchase order shipment.
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Freight/Misc. If you have used the Freight/Misc. check box, the amounts you have
allocated for Freight or Miscellaneous charges.
Buttons
View PO. Choose this button to view the purchase order.
Distribute. Choose this button to navigate to the Match to Purchase Order
Distributions window.
Match. Choose this button to complete the match.
Related Topics
Closing Purchase Orders, page 3-305
Match to Receipts Window Reference
This window is a customizable folder. Note that in the default folder, many of the fields
listed below are hidden. You can create custom folders by unhiding, hiding, moving,
resizing, and renaming fields in this window. See: Customizing the Presentation of Data
in a Folder, Oracle Applications User's Guide.
Accounting Date. Date accounting entries are created.
Award. If you use Oracle Grants Accounting, the award number of the project.
Allocate. Check the Allocate check box for the shipments for which you want to prorate
tax, freight, or miscellaneous. For detailed information see: Allocate Window, page 3-22.
Bill of Lading. Bill of Lading for the purchase order receipt.
Buyer. Buyer who created the purchase order associated with this purchase order
shipment.
Closed Code. This indicates whether a purchase order shipment has been closed for
invoicing.
Closed Reason. Reason the purchase order line or shipment was manually closed.
Container. Number of the shipping container in which the received goods arrived.
Deliver To. Person who submitted the purchase requisition for the item.
Distribution Total. The sum of the distributions of the invoice you are matching to the
purchase order. This number includes Match Amounts that you have not yet saved.
Freight Carrier. Freight carrier (for example, Rail).
Freight/Misc. Check the Allocate check box for the shipments for which you want to
prorate tax, freight, or miscellaneous. For detailed information see: Allocation, page 321.
Item Category. Item category from the purchase order shipment line.
Item Description. Item description from the purchase order shipment line.
Invoices 3-311
Item Num. Item number from the purchase order shipment line.
Inventory Org. Inventory organization to which the received item belongs.
Invoice Amount. Payables displays the amount of the invoice you are matching to the
purchase order receipt.
Item Num. Item number from the purchase order shipment line.
Item Category. Item category from the purchase order shipment line.
Item Description. Item description from the purchase order shipment line.
Match. Check this check box to select a receipt and to enter matching data for it. Note
that when you check this box the information in the Receipt Qty display only region
shows the shipment information for the selected shipment line.
Match Amount. Total currency amount you want to match. If you enter Quantity
Invoiced, Payables calculates and enters this value. (Quantity Invoiced x Unit Price =
Match Amount).
Match Basis. Basis on which invoices are matched to purchase orders. Options include:
Price Correction, Quantity Correciton, Invoice Line Correction, Invoice Line Matched to
Purchase Order, Invoice Line Matched to Receipt, Other Charge Invoice Line Matched
to Receipt, or Not Matched. You can also define custom match types in the Invoice Line
Match Type lookup.
Need-By Date. The need by date as specified in the purchase order shipment.
PO Line. Purchase order line number.
PO Number. Number of the purchase order shipment.
Packing Slip. Packing slip number entered for the receipt.
Payment Type. The payment type specified on the purchase order shipment.
Project, Task, Expenditure. If you have Oracle Projects installed, associate an invoice
with a project to charge the expenditures on an invoice to a specific project, task, or
organization. The system uses the project information you enter to create an account
that defaults to the invoice distribution. You can override this project information at the
invoice distribution. If you change these values at the invoice header level, then the
values will not affect any existing distributions.
Note: If you enter project information, you must enter a value for Task
unless you have matched to a purchase order with project information
with a null task ID. A purchase order can have a null task ID only if its
destination is Inventory or Shop Floor. If the destination is Inventory or
Shop Floor, the project information is used by Project Manufacturing.
Qty Invoiced. The unbilled quantity or number of units invoiced. This value defaults
from the receipt shipment quantity.
If you enter Unit Price and Match Amount, Payables calculates and enters this value.
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(Quantity Invoiced x Unit Price = Match Amount).
Receipt Date. The date of the receipt.
Receipt Line Num. The receipt shipment line number. You can match an invoice to one
or more receipt shipment lines.
Receipt Num. The receipt number of the shipment.
Release Number. Release number of the blanket purchase order shipment.
Ship To Location. Location where the items are being shipped.
Shipment Item Description. The description of the shipment item, as it appears on the
purchase order.
Shipment Num. Purchase order shipment number.
Shipment Type. The shipment type from the purchase order shipment line.
Shipped Date. Date the items were recorded as shipped.
Supplier Item. Supplier item number from the purchase order shipment line.
Transaction Date. The date the goods were recorded as reviewed.
UOM. Unit of measure that was entered on the receipt shipment line, for example,
Each, Days, or Dozen. You can compare the unit of measure on a receipt shipment line
to the unit of measure on your invoice. The quantity invoiced must be in the same unit
of measure as the quantity ordered on the receipt.
Unit Price. Price per unit. This value defaults from the receipt shipment unit price.
You can update this value at the shipment level only. If you enter Quantity Invoiced
and Match Amount, Payables calculates and enters this value. (Quantity Invoiced x
Unit Price = Match Amount).
If you are recording a price correction, you can adjust the price without affecting the
quantity.
You cannot adjust the Unit Price if you are matching to an amount- based receipt
shipment with a Unit Price of 1, for example, a receipt for labor service charges where
the Unit Price is 1 and the labor service amount is entered in the Quantity Invoiced
field.
Waybill Airbill Num. The waybill/airbill number.
Display Only Region
Invoice Amount. Payables displays the amount of the invoice you are matching to the
purchase order receipt.
Line Total. The total of the lines on the invoice.
Purchase Order. Payables displays purchase order information for the currently
selected receipt:
Invoices 3-313
•
UOM. Unit of measure that was entered on the purchase order shipment line.
•
Qty Ordered. Compare this value to your current invoice quantity and the
Quantity Billed in the Receipt Quantity Region to ensure that you are not being
billed for too many items.
•
Shipped. The number of purchase order items that have been shipped.
•
Unit Price. Price per unit on the purchase order.
•
Payment Terms. Payment terms associated with the purchase order shipment.
•
Freight Terms. Freight terms associated with the purchase order shipment (for
example, Prepaid).
•
Type. The purchase order type.
•
Distributions. The number of distributions for the current purchase order
shipment. This is helpful in determining if you need to match to specific
distributions instead of prorating the match quantity across multiple distributions.
Receipt Quantity. Payables displays receipt quantity information for the currently
selected receipt:
•
UOM. Unit of measure that was entered on the receipt shipment line.
•
Billed. Total invoice quantity previously matched to the selected receipt shipment
line.
•
Received. Quantity received on the receipt line.
•
Returned. Quantity returned on the receipt line.
•
Net Received. Net quantity received, calculated by subtracting Returned from
Received.
•
Accepted. Quantity of items accepted by Quality Control on a shipment.
Associated Charges. If you have used the Freight/Misc. check box and window to
allocate freight or miscellaneous charges, Payables displays the amounts you have
prorated for Freight or Miscellaneous charges.
•
Freight.
•
Misc.
Buttons
Match. Choose this button to complete the match.
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Distribute. Choose this button to navigate to the Match to Receipt Distributions
window.
Invoice Overview. Choose this button to view the invoice in the Invoice Overview
window.
View Receipt. Choose this button to view the receipt.
Invoice Batches Window Reference
You use the Invoice Batches window to set defaults for a group of invoices you enter in
an invoice batch. If you change an invoice batch default, the change will apply only to
invoices you subsequently enter in the invoice batch. For example, if you enter half a
batch with the Standard invoice Type default and then change the batch invoice Type
default to Prepayment, only the invoices you enter after the change will get Prepayment
as a default invoice type.
After you enter invoices in a batch, you can review them in the Invoices window. If you
are reviewing batch invoices in the Invoices window and want field references, see:
Invoices Window Reference, page 3-317.
All amounts in the Invoice Batches window are in the invoice currency.
This window is a customizable folder. Note that in the default folder, many of the fields
listed below are hidden. You can create custom folders by unhiding, hiding, moving,
resizing, and renaming fields. See: Customizing the Presentation of Data in a Folder,
Oracle Applications User's Guide.
Actual Invoice Count. Payables displays the number of invoices you have entered in
the batch.
Actual Invoice Total. Payables displays the cumulative sum of the invoice amounts of
the invoices you have entered in the batch.
Batch Name. Name of the invoice batch.
Control Amount. Enter the sum of the invoice amounts in the batch.
Control Count. Enter the number of invoices in the batch.
Currency. The default currency for all invoices in the batch.
After you save an invoice, you cannot change the Currency. You can use the Invoice
Actions window to cancel the invoice. You can then re-enter the invoice with the correct
currency.
Date. Invoice batch date.
Document Category. Payables uses the document category to assign a unique voucher
number to each invoice if you assign an automatic sequential numbering sequence to
the document category. You can enter a value in this field if you enable the Document
Category Override Payables option. If you do not enable your Sequential Numbering
profile option, Payables provides no default for this field and you cannot enter a value.
Invoices 3-315
GL Date. The default GL Date for each invoice in the batch and its distributions. Must
be in an open or future period. If you do not provide a batch default, the default for
each invoice is the invoice date, goods received date, or system date, depending on your
GL Date Basis Payables option.
Hold Name. Hold you want to apply to each invoice.
Hold Reason. Payables displays the Hold description if you have entered a Hold Name.
Invoice Count Difference. Payables displays the Control number minus the Actual
number.
Invoice Total Difference. Payables displays the Control amount total minus the Actual
amount total.
Liability Account. Account for the liability of each invoice. If you do not enter a batch
default, Payables uses the supplier site Liability Account as a default for each invoice.
Payables uses the liability account when you create accounting entries for your invoices
if you use accrual basis accounting. Payables credits an amount equal to the sum of
your invoice distributions. You cannot enter more than one liability account for an
invoice.
If you enable the Automatic Offsets Payables option, Payables automatically allocates
the invoice liability across multiple balancing segments, rather than using one liability
account. See: Automatic Offsets, page 10-6.
Pay Group. Use Pay Group to group invoices from multiple suppliers in a payment
batch.
Payment Currency. Payables enters the Invoice Currency as the default. If the Invoice
Currency is not a fixed-rate currency, you cannot update the value. If the Invoice
Currency is a fixed-rate currency such as Euro or an EMU national currency, you can
change the Payment Currency value to an associated fixed-rate currency.
Payment Priority. A number, between 1 (high) and 99 (low), that represents the
priority of a payment. If you do not enter a batch default, then the default payment
priority for each invoice will be from the supplier site. You can enter a payment priority
range as a criteria for selecting invoices for a payment batch.
Payment Terms. Payment terms Payables uses to create one or more scheduled
payments for an invoice.
If you want the terms to default from the purchase order, then leave this field blank.
Type. The type of invoice you select determines which processing options Payables
makes available to you.
•
Standard. A trade invoice you receive from a supplier.
•
Credit Memo. An negative amount invoice you receive from a supplier
representing a credit for goods or services purchased.
•
Debit Memo. A negative amount invoice you send to notify a supplier of a credit
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you recorded for goods or services purchased.
•
Expense Report. An invoice you enter to record business-related employee
expenses.
•
Prepayment. An invoice you enter to make an advance payment to a supplier or
employee.
•
Mixed. A Standard or Credit/Debit Memo invoice for which you can enter both
positive and negative amounts and perform both positive and negative matching.
Buttons
Invoices. Choose the Invoices button to navigate to the Invoices window to enter the
invoices in the batch. Payables automatically defaults the invoice batch defaults you
entered to each invoice you enter. You can override any invoice batch defaults.
Validate. After you have entered invoices in an invoice batch, choose the Validate
button to submit Invoice Validation for each invoice in the batch. In the Invoice Holds
tab, you can review any invoice holds and releases that Payables applies during Invoice
Validation.
Create Accounting. After you have entered invoices in an invoice batch, choose the
Create Accounting button to create accounting entries for each invoice in the batch. See:
Creating Accounting Entries in Payables, page 7-7.
Related Topics
Entering Invoice Batches, page 3-11
Adjusting Invoices, page 3-271
Invoice Adjustment Chart, page 3-232
Invoices Window Reference
The Invoices window is a customizable folder. Note that in the default folder, many of
the fields listed below are hidden. You can create custom folders by unhiding, hiding,
moving, resizing, and renaming fields in this window. See: Customizing the
Presentation of Data in a Folder, Oracle Applications User's Guide.
In the Invoices window, all values are displayed in the invoice currency, except for the
Amount Paid, which is displayed in both the invoice and payment currency.
Supporting Dispute Resolution
Two new fields, Original Invoice Amount and Dispute Reason, are introduced in the
invoice workbench for dispute resolution. These are Display Only fields and are hidden
and use Show Fields folder option to display these fields.
Actual Total. If you are entering or reviewing an invoice batch, Payables displays the
Invoices 3-317
cumulative total of the invoice amounts in the batch.
Approved Amount, Approval Status, Approval Description. Use these fields for your
reference.
For example, you might want to use these fields for future reference when you force
approve an invoice that was manually approved for payment outside of the Invoice
Approval Workflow, for example, by a hardcopy signature.
These fields are not populated by Payables or used by Payables in any way.
Award Number. If you use Oracle Grants Accounting, enter the award number of the
project.
Batch Actual Total. If you are entering or reviewing an invoice batch, Payables displays
the cumulative total of the invoice amounts in the batch.
Batch Control Total. If you are entering or reviewing an invoice batch, Payables
displays the number you entered in the Control Total field of the Invoice Batches
window.
Batch Name. If you entered this invoice in an invoice batch, Payables displays the
batch name.
Business Category: A tax driver field used by E-Business Tax to determine and
calculate applicable taxes.
Cancelled By / Date / Amount. The name of person who cancelled an invoice, date of
cancellation, and original amount of cancelled invoice.
Create Freight Distribution. Check this check box to open the Freight window.
Payables automatically creates a freight distribution from information you enter in the
Freight window.
Credited Invoice. The invoice being credited, when the Quick Credit check box is
enabled.
Date Invoice, Goods Received. Payables enters the Terms Date as default if you have
set Invoice Received or Goods Received as the terms date basis for the supplier site. If
you change the default, Payables automatically updates the Terms Date and
recalculates your scheduled payment.
Description. A description (up to 240 characters) of the goods and services listed on the
invoice. Used as the default for distributions. Description appears on the payment
document remittance.
Discountable Amount. Invoice amount eligible for discount. The default value for
positive and negative amount invoices is the invoice amount, and the default value for
invoices on which you have withheld tax is the adjusted invoice amount.
If your supplier discount does not apply to tax, enable the Exclude Tax from Discount
Payables option to subtract the tax amount from the invoice amount when calculating
the default Discountable Amount. However, Payables will not subtract Offset type
taxes.
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You can manually change the Discountable Amount field. Note that if you apply a
prepayment with a discount to an invoice due a discount, you may need to adjust the
Discountable Amount by the prepayment application amount to ensure that the
discount taken is not overstated. For example, you are applying a $100 prepayment that
has a $10 discount. Before the system creates the scheduled payments, you should
subtract $100 from the Discountable Amount. However, we recommend that you do not
modify this amount to reduce it by the tax amount if your Exclude Tax From Discount
Calculation Payables option is enabled. See also: Discounts, page 3-31.
Distribution Set. Used to automatically create invoice distributions when invoice is not
matched to a purchase order or when you do not want to enter invoice distributions
manually. Payables enters the supplier site default Distribution Set, if one exists.
If you want to use a Distribution Set, you must enter one before you navigate to the
Distributions window.
Distribution Total. Sum of the Item, Freight, and Miscellaneous Invoice distributions
in the Distributions window. This total does not include Tax, Withholding Tax, or some
Prepayment type distributions. When you enter an invoice that references a
prepayment, the distribution total will include Prepayment distributions and any
associated tax distributions that have the Prepayment on Invoice check box enabled. If
the Distribution Total does not match the Invoice Amount, Payables will apply a hold to
your invoice during Invoice Validation.
Document Approval Status. The status of the entire invoice (document) with respect to
the Invoice Approval Workflow program. For more information on the approval status,
see: Invoice Approval Workflow Overview, page 3-182.
Document Needs Reapproval. Indicates that the invoice needs to be processed by the
Invoice Approval Workflow again. Selecting this check box updates the Document
Approval Status field to Needs Reapproval.
Document Category Name. Default document category for an invoice. Payables
predefines a document category for each invoice type. If you enable the Sequential
Numbering profile option, this document category defaults to an invoice during entry.
Payables uses the document category to assign a unique voucher number to an invoice
if you assign an automatic sequential numbering sequence to the document category. If
you do not enable your Sequential Numbering profile option, Payables provides no
default for this field and you cannot enter a value.
Document Sequence. Sequence name assigned to an invoice, based on the document
category of the invoice. Your system administrator defines the sequential numbering
sequences used by Payables and assigns them to a document category,
Exchange Rate, Exchange Date. Foreign currency rate information Payables uses to
convert a foreign currency invoice amount to your functional currency. See: Foreign
Currency Transactions, page 6-1 and Entering Foreign Currency Invoices, page 3-96.
Note that if the Invoice Currency and your functional currency are different associated
fixed-rate currencies, such as Euro and an EMU national currency, Payables displays
the fixed rate and you cannot update this value.
Invoices 3-319
If you are entering an exchange rate between a National Currency Unit of the European
Monetary Union (EMU), and a non-EMU currency, then Payables can calculate the
exchange rate if you provide the exchange rate between the non-EMU currency and the
euro. See: Entering Exchange Rates for EMU Currencies, page 6-8.
Fiscal Classification. A tax driver used by E-Business Tax to determine and calculate
applicable taxes.
Freight Amount. The freight amount you want Payables to exclude when Payables
calculates the default discountable amount for an invoice, if your Exclude Freight from
Discount option is enabled for the supplier site.
Ledger Currency. Currency of your ledger.
Ledger Curr Amount. If you enter a foreign currency invoice and have provided an
exchange rate for the invoice currency, rate type, and rate date, then Payables
automatically calculates and displays the functional currency of the invoice. You can
enter a value in this field only if the Payables option Calculate User Exchange Rate is
enabled, if you use the exchange rate type User, and if the invoice is not yet accounted.
GL Date. The default GL Date for the distributions for this invoice. Must be in an open
or future period. The default is the invoice date, system date, or goods received date
depending on your GL Date Basis Payables option. If you change the date it will not
affect existing distribution GL Dates, but it will default to any new distributions you
enter.
Internal Recording Date. The date the invoice was recorded.
Invoice Amount. The invoice amount including tax, freight, and miscellaneous charges.
This amount does not include the Prepaid Amount (Prepayment distributions) or
Withheld Amount (Withholding Tax distributions).
Invoice Curr. The currency of the invoice. After you save the invoice header, you
cannot change the currency. You can use Invoice Actions to cancel the invoice, then
re-enter the invoice with the correct currency.
Invoice Date. Date on an invoice. Payables uses the system date as a default. Payables
may use the Invoice Date as the Terms Date and GL Date for an invoice, depending on
your system setup. If your GL Date Basis is Invoice Date, the Invoice Date must be in an
open or future period.
Invoice Num. The invoice number provided by the supplier on the invoice. Payables
uses the system date as a default.
Liability Account/Description. Account for the invoice liability. Payables uses the
supplier site Liability Account as a default. Payables uses this account when you create
accounting entries for your invoices if you use accrual basis accounting. Payables
credits an amount equal to the sum of your invoice distributions. You cannot enter
more than one Liability account for an invoice.
If you enable the Automatic Offsets Payables option, Payables automatically allocates
the invoice liability across multiple balancing segments, rather than using one liability
account. See: Automatic Offsets, page 10-6. Also, if you enable Automatic Offsets but
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do not use encumbrance accounting, if you update the liability account for an invoice,
you must resubmit Invoice Validation before you can pay the invoice. (Payables sets the
unaccounted distributions to Needs Revalidation so you need to resubmit Invoice
Validation).
Match Action. The match level: Purchase Order, Invoice, Receipt. These fields default
from the supplier site you had set up. If the invoice is finally matched to a PO that
requires matching to a receipt, then the value is not changed.
Operating Unit. The operating unit for the invoice.
Pay Alone. A Pay Alone invoice is paid with its own payment document without
including other invoices for the supplier. You cannot choose this option if the invoice is
partially paid, has been selected for payment in a payment batch, or has one or more
withholding distributions.
Payment Amount. Invoice amount displayed in payment currency.
Payment Curr. If the Invoice Currency is not a fixed-rate currency, then the payment
currency will be the same as the Invoice Currency and you cannot enter a value in this
field.
If the payment currency is a fixed-rate currency, such as Euro or another EMU currency,
you can change it to an associated currency. For fixed-rate currencies, the payment
currency value defaults from the supplier site, or, if you are using batch control, it
defaults from the batch. If you aren't using batch control and the supplier site has no
default payment currency, the value defaults from the Invoice Currency. If you change
the Invoice Currency then the value for payment currency will change to the value for
invoice currency.
Pay Group. Use Pay Group to group invoices from multiple suppliers for a payment in
a payment batch.
Payment Method. The payment method by which you pay the supplier site. Payables
defaults the Payment Method to all new scheduled payments of the invoice. Payables
enters the supplier site default Payment Method, if one exists.
Note that if you change the payment method after Payables has calculated scheduled
payments for the invoice, Payables will recalculate the scheduled payments and you
will need to re-enter any manual changes you have made to scheduled payments,
including scheduled payment holds.
Payment Rate. If you are making a payment in a different currency than the invoice,
and both currencies are associated fixed-rate currencies, Payables displays the fixed
cross rate. You cannot update this value in this window.
Payment Rate Type. If the Payment Currency is different from the Invoice Currency
and both are fixed-rate currencies, Payables displays EMU Fixed.
Payment Rate Date. The date the Payment Rate is effective. If the payment currency
and invoice currency are associated fixed-rate currencies, then when you enter the
Invoice Date, Payables enters the invoice date value as the payment rate date.
Invoices 3-321
PO Number. The purchase order you are matching the invoice to.
Enter this field when creating or adding lines to an invoice.
Prepaid Amount. The sum of prepayment amounts that have been applied to an
invoice. This is the sum of the invoice's Prepayment type distributions.
Prepayment Type.
•
Temporary. Can apply against invoices.
•
Permanent. Cannot apply against invoices.
If you are not sure which Type you want, you can change from Permanent to
Temporary at any time, and you can change from Temporary to Permanent if you have
not applied the prepayment to an invoice.
Prepayment PO Number. Associate a prepayment with an open purchase order for the
same supplier. If you later apply the prepayment to an invoice, it must be to an invoice
matched to this purchase order. Note: Even if you match a prepayment to a purchase
order, you are not restricted to the value you enter in this field. You can leave this field
blank or you can enter a different purchase order number.
Project/Task/Expenditure information. If you have Oracle Projects installed, associate
an invoice with a project to charge the expenditures on an invoice to a specific project,
task, or organization. The system uses the project information you enter to create an
account that defaults to the invoice distribution. You can override this project
information at the invoice distribution. If you change these values at the invoice header
level, then the values will not affect any existing distributions.
Note: If you enter project information, you must enter a value for Task
unless you have matched to a purchase order with project information
with a null task ID. A purchase order can have a null task ID only if its
destination is Inventory or Shop Floor. If the destination is Inventory or
Shop Floor, the project information is used by Project Manufacturing.
Quick Credit. Enable this check box to create a quick credit from this invoice. See:
Quick Credit, page 3-91
Rate Type. Type of exchange rate between invoice and functional currency. See: Types
of Exchange Rates, page 6-6.
Ready for Approval. Indicates that an invoice is ready to be processed by the Invoice
Approval Workflow. The Invoice Approval Workflow will not process an invoice if this
check box is unchecked. If you want to delay an invoice from being selected for
approval, then uncheck this check box.
This check box is enabled by default for all invoices, even if you don't use the Invoice
Approval Workflow feature. See: Invoice Approval Workflow Overview, page 3-182.
Related Invoice. The invoice that is associated with the selected invoice. For example, a
prepayment that is applied to a standard invoice.
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Release Amount Net of Tax.
Remit To Bank Account Name. The supplier site's remit-to bank account for the invoice
currency. If there is no primary bank account for the supplier site, Payables defaults the
primary bank account for the supplier.
Remit To Bank Account Number. The supplier site's remit-to bank account for the
invoice currency. If there is no primary bank account for the supplier site, Payables
defaults the primary bank account for the supplier.
Requester. Person who requested the goods or services on the invoice. If you use
Invoice Approval Workflow, you can define rules that use this value to generate a
hierarchical list of approvers for the invoice.
Self Assessed Tax Amount. Tax that was not charged by a supplier but that you are
liable for paying to your tax authority. See: Taxes on Invoices, page 3-190.
Settlement Date. The date after which you can apply a temporary prepayment.
Payables adds your Settlement Days Payables option to the system date for employees,
and uses the system date for all other suppliers.
Site. The supplier site address to which you want to remit payment. If you print
checks, Payables prints this address on the check.
If you designate a primary pay site for a supplier then that pay site defaults to this field
for all invoice types during invoice entry.
Supplier. Name of the supplier to which you want to remit payment.
Supplier Num. Identification number for a supplier in your system.
Supplier Tax Invoice Date.The date on the which the supplier charged tax, as shown
on the purchase order.
Supplier Tax Invoice Exchange Rate.
Customs Location Code.. Displays the Custom location code.
Remit to Supplier Name. Enter or accept the Remit to Supplier Name if you want to
pay to the Third Party. This field is mandatory and enable you to record the Third Party
supplier to whom the payments are to be made.
Remit to Supplier Site. Enter or accept the Remit to Supplier Site if you want to pay to
the Third Party. This field is mandatory and enable you to record the Third Party
supplier to whom the payments are to be made. The Remit To Supplier Site list of
values displays only those supplier sites that are attached to the selected Remit To
Supplier Name for which the relationship is defined and is active as on Invoice date.
Taxation Country. The country where tax is applicable
Tax Amount. Amount of tax on an invoice.
Tax Control Amount. The total amount of tax for the invoice, if you are manually
entering tax lines. Enter a tax control amount if you are manually entering tax lines. The
total amount of tax lines must equal the Tax Control Amount or the invoice is placed on
hold.
Invoices 3-323
Terms. Payment Terms that Payables uses to create one or more scheduled payments
for an invoice. You define terms in the Payment Terms window. See also: Payment
Terms, Oracle Payables Implementation Guide.
If you want to ensure that the payment terms default from the purchase order, then
enter a PO Number.
You can change the invoice payment terms in the Invoices window. Payables uses the
invoice payment terms to schedule invoice payment unless the Recalculate Scheduled
Payment option is enabled in the Payables Options window. If that option is enabled,
Payables uses the more favorable payment terms between the purchase order and the
invoice.
Terms Date. Beginning date from which Payment Terms start when Payables
calculates the scheduled payment(s) for an invoice. Can be the invoice date, invoice
received date, goods received date, or invoice entry date depending on the Terms Date
Basis for the supplier site. If the Terms Date Basis is invoice or goods received date,
Payables prompts you to enter that date here and copies the value to the field of the
same name.
Trading Partner. Name of the supplier or payee to whom you want to remit payment.
Transaction Code. Codes that your bank uses to identify different types of transactions
on its statements. You can define these values in Oracle Cash Management.
Type. The type of invoice you select determines which processing options Payables
makes available to you.
•
Adjustment. A system-generated invoice that nets out price corrections and
retroactive price adjustment invoices. For more information, see Retroactive Price
Update on Purchasing Documents., page 3-303
•
Credit Memo. A negative amount invoice you receive from a supplier representing
a credit for goods or services purchased.
•
Debit Memo. A negative amount invoice you send to notify a supplier of a credit
you recorded for goods or services purchased.
•
Interest. An invoice that Payables automatically creates to pay interest for overdue
invoices if you enable automatic interest calculation for a supplier, and if you pay
an overdue invoice for the supplier in a payment batch or with a Quick payment.
See: Interest Invoices, page 10-2.
•
Expense Report. An invoice you enter to record business-related employee
expenses.
•
Mixed. A Standard or credit/debit memo invoice for which you can enter both
positive and negative amounts and perform both positive and negative matching.
See: Mixed Invoices, page 3-96.
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•
PO Price Adjustment. A system-generated positive, negative, or zero amount
invoice that allows Payables to account for the original invoice transaction as if it
had been entered at the final purchase order price. For more information, see
Retroactive Price Update on Purchasing Documents., page 3-303
•
Prepayment. An advance payment you make to a supplier or employee. If you
enter Temporary for the Prepayment Type field, then you can later apply
prepayment to an invoice. See: Prepayments, page 3-72.
•
Retainage Release. An invoice used to record the release of retained amounts for
complex service contracts. See: Retainage Release, page 3-39
•
Standard. A trade invoice you receive from a supplier.
•
Standard Invoice Request. A self service invoice that was entered in Oracle
iSupplier Portal and is not matched to a purchase order. Standard Invoice Request
invoices must be approved before they can be modified in the Invoice Workbench.
See: Self Service Invoices, page 3-167
•
Withholding Tax. An invoice automatically generated by the system to pay a tax
authority amounts withheld from supplier invoices. See: Creating Withholding Tax
Invoices, page 10-22.
Voucher Number. Assign a manual voucher number to an invoice for internal tracking
purposes. Payables assigns a unique, sequential number during invoice entry. You
cannot update a voucher number assigned by Payables.
Withheld Amount. Payables displays the amount withheld from the invoice based on
automatic withholding tax calculations.
Withholding Tax Group. Withholding tax group that Payables will use to calculate the
Amount Withheld for an invoice. Payables enters the supplier site default Withholding
Tax Group, if one exists. If you change this value at the invoice header level, then the
change will not affect any existing distributions.
Buttons
Actions. Opens the Invoice Actions window for a selected invoice(s) which you can use
to perform actions such as validating, approving, cancelling, or printing.
Distributions. Opens the Distributions window for a selected invoice.
Match. Allows you to start one of the following matches, based on the transaction you
select. Select the transaction you want to match to from the poplist, then choose the
Match button. If you enter a positive amount invoice, then Payables defaults either
Purchase Order or Receipt, based on the Invoice Match option of the supplier site.
•
Purchase Order. Match a selected invoice to a purchase order
•
Receipt. Match a selected invoice to a purchase order receipt.
Invoices 3-325
•
Credit Memo. Match a selected credit/debit memo to an invoice.
Quick Match. Automatically matches invoice to open, unbilled purchase order lines for
the specified supplier.
Tax Details. Opens the Tax Lines Summary window, which displays the tax lines on
the invoice. See: Taxes on Invoices, page 3-190.
General Tab
Accounted. Payables displays Yes, No, or Partial to indicate if the accounting entry for
the invoice has been successfully created. If the status is Partial, then you have created
accounting entries for some but not all of the invoice distributions.
Amount Paid. Amount you have paid on the invoice. This amount includes applied
prepayments and related tax distributions that do not have the Prepayment on Invoice
check box enabled. If the invoice has a payment currency, then it is displayed with the
invoice currency above and payment currency below. To see detailed information on
the invoice payment(s), select the invoice and choose the Payments tab.
Approval. The derived status of an invoice with respect to the Invoice Approval
Workflow program. The approval status is derived from the approval status of the
document and the approval status of the invoice lines. For more information on the
approval status, see: Invoice Approval Workflow Overview, page 3-182 If you want to
review the status of an invoice in the Invoice Approval Workflow or want to see the
approval history then see: Invoice Approval History Window Reference, page 3-189,
and Invoice Approval Status Report, page 9-58.
•
Not Required. Invoice does not require approval. Possible reasons include the
following:
•
The Use Invoice Approval Workflow feature is not enabled.
•
The invoice was created by Expense Report Export from an expense report.
•
The invoice is a recurring invoice and the Approval Workflow Required option
was not enabled for the template when the invoice was created.
•
Invoice Approval Workflow processed the invoice and determined that no
individuals need to review and approve the invoice.
•
The invoice existed before you enabled the Invoice Approval Workflow feature.
•
Required. Invoice requires approval and has never been included in the approval
process.
•
Initiated. Invoice is currently in the approval process.
•
Workflow Approved. Invoice was approved by all required approvers.
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•
Manually Approved. An accounts payable processor manually approved this
invoice by using the Force Approval feature.
•
Rejected. Invoice was rejected by an approver. Workflow also sets invoices to this
status when an approver and the approver's manager both fail to respond to
requests for approval within the specified timeout period.
•
Needs Reapproval. Invoice will be resubmitted to the approval process.
•
Invoice Cancelled. An accounts payable processor cancelled the invoice approval
process. The invoice cannot be resubmitted to the approval process.
•
Stopped. An accounts payables processor stopped the approval process for the
invoice.
Description. Payables displays the invoice description.
Distribution Total. Sum of the Item, Freight, and Miscellaneous Invoice distributions
in the Distributions window. This total does not include Tax, Withholding Tax, or some
Prepayment type distributions. When you enter an invoice that references a
prepayment, the distribution total will include Prepayment distributions and any
associated tax distributions that have the Prepayment on Invoice check box enabled. If
the Distribution Total does not match the Invoice Amount, Payables will apply a hold to
your invoice during Invoice Validation.
Freight. The amount of freight lines on the invoice.
Holds. If the invoice has an invoice hold, Payables displays the number of invoice
holds. Payables does not include the Hold All Payments or scheduled payment holds in
this field. To see detailed invoice hold information, choose the Holds tab. To see
detailed information on all hold types, submit the Invoice on Hold report. See also:
Applying Holds, page 3-210.
Items. The total amount of Item lines on the invoice.
Miscellaneous. The total amount of Miscellaneous lines on the invoice.
Pending Approver. Displays the name of the person to whom workflow notification
has been sent but has not yet responded.
Prepayments Applied. The amount of prepayment applied to the invoice.
Retainage. The amount retained for advances and contract financing.
Scheduled Payment Holds. Number of holds on schedule payments.
Subtotal. The total of the Item lines, Retainage, Prepayments, and Withholding Tax on
the invoice.
Status. Status of an invoice.
•
Validated. The Invoice Validation program has tested and validated the invoice
and it is available for payment and accounting.
Invoices 3-327
•
Available. Temporary prepayment that has an amount available to be applied to an
invoice.
•
Cancelled. You have cancelled the invoice.
•
Fully Applied. Temporary prepayment that has been fully applied to one or more
invoices.
•
Needs Revalidation. Validation has tested the invoice and has applied one or more
holds to the invoice. Before you can pay the invoice, you must manually release the
holds or resolve the problems causing the holds, then resubmit Validation.
•
Never Validated. Validation has never tested the invoice.
•
Permanent. Permanent prepayment that has been fully paid.
•
Unpaid. Prepayment that is not yet paid.
•
Unvalidated Prepayment. Prepayment has not been validated.
•
Selected for Payment. Invoice is selected for payment.
Total. The invoice total including tax.
Withholding. The amount of tax withheld.
Lines Tab
Use the Lines tab to enter item line information to enable you to perform the following
tasks:
•
calculate tax for item lines
•
tie distributions to each line
•
match an invoice line to a purchase order shipment pay item or receipt
•
approve invoices at the line-level
•
match invoice lines to a purchase order
•
capture and transfer information to and from Oracle Projects and Oracle Assets
If a field defaults to the line from the header region, the definitions for these fields are
provided in the Header Region.
Account Segment. One of up to 30 different sections of your Accounting Flexfield,
which together make up your general ledger account combination.
Specify an account segment if you want to overlay a specific account segment in place
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of the segment derived from the template, matching or default accounts. The segment is
ignored if the invoice line:
•
Includes Project information and the Project Account Override is turned off;
•
Is purchase order or receipt matched and the system is accruing on receipt or the
allow account override (system option) is turned off;
•
Is for a price or quantity correction and the system is accruing on receipt or allow
account override (system option) is turned off.
The segment is validated against list of possible values for Account Segment in GL for
the appropriate Chart of Accounts. It cannot be updated if the line cannot add any more
distributions, or if the line has GENERATE DISTRIBUTIONS set to N (No) or D (Done).
See: Automatic Offsets, page 10-12
Amount. Line amount. The line amount is the Quantity Invoiced * Unit Price.
Approval Status. Line amount. The approval status of an invoice line within the Invoice
Approval Workflow process. For more information on the approval status, see: Invoice
Approval Workflow Overview, page 3-182.
Assessable Value. The deemed price at which a product is valued, by a tax authority,
for tax calculation purposes. The same product can have more than one assessable
value, as given by different tax authorities.
Asset Book. This field is used to default to the distributions if the Track as Asset check
box is enabled. The default Asset Book is the ledger, if only one ledger exists.
Asset Category. This field is used to default to the distributions if the Track as Asset
check box is enabled. Defaults in based on the Inventory Item.
Award Number. If you use Oracle Grants Accounting, enter the Award number of the
project. If you have a default value in this field, it is from either the invoice header or
Distribution Set.
Balancing Segment. An Accounting Flexfield segment that you define so that General
Ledger automatically balances all journal entries for each value of this segment.
Specify a balancing segment if you want to overlay a specific balancing segment in
place of the segment derived from the template, matching or default accounts. This
segment is ignored if the invoice line:
•
Includes Project information and the Project Account Override is turned off;
•
Is purchase order or receipt matched and the system is accruing on receipt or the
allow account override (system option) is turned off;
•
Is for a price or quantity correction and the system is accruing on receipt or allow
account override (system option) is turned off.
The balancing segment is validated against list of possible values for Balancing Segment
Invoices 3-329
in GL for the appropriate Chart of Accounts. It cannot be updated if the line cannot add
any more distributions, or if the line has GENERATE DISTRIBUTIONS set to N (No) or
D (Done).
See: Automatic Offsets, page 10-12
Business Category. The business category is a tax driver used by E-Business Tax to
determine and calculate the applicable taxes.
Cancelled. Invoice cancelled by Oracle Payables.
Control Amount. A feature used to specify the total amount available for payment of a
recurring payment. When you generate invoices for a recurring payment, Oracle
Payables uses the control amount and the total number of payments to determine the
invoice amount.
Corrected Invoice. Corrected invoice number.
Corrected Invoice Line Number. If the invoice line is a correction, the invoice number
the line is correcting.
Correction. Possible Correction types are: Price Correction, Amount Correction
(Quantity), or null. This field is populated if the line represents a correction. Price
Corrections are only available for Standard, Mixed, Credit Memo, or Debit Memos.
Price and Amount Corrections are only available for Item lines. Invoice Line
Corrections can be entered for Item, Freight, and Miscellaneous lines, but not for Tax
lines.
Cost Center SegmentAn Accounting Flexfield segment that you define so that General
Ledger automatically balances all journal entries for each value of this segment.
Specify a cost center segment if you want to overlay a specific cost center segment for
the distributions in place of the segment derived from the template, matching or default
accounts. The cost center segment is ignored if the invoice line:
•
Includes Project information and the Project Account Override is turned off;
•
Is purchase order or receipt matched and the system is accruing on receipt or the
allow account override (system option) is turned off;
•
Is for a price or quantity correction and the system is accruing on receipt or allow
account override (system option) is turned off.
The cost center segment is validated against list of possible values for Cost Center
Segment in GL for the appropriate Chart of Accounts. It cannot be updated if the line
cannot add any more distributions, or if the line has GENERATE DISTRIBUTIONS set
to N (No) or D (Done).
See: Automatic Offsets, page 10-12
Default Account DescriptionThe default account for distributions generated for the
line in the absence of a specific account, specified by a Distribution Set.
Deferred End Date, Number of Periods, Deferred Option, Period Type, Start Date.
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Used to generate deferred accounting entries.
Description. Item description.
Discarded. Invoice line discarded by Oracle Payables.
Distribution SetUsed to generate distributions for the line. The distribution set is
automatically validated to ensure that all accounts specified in the set are valid. If a
distribution is specified at the header level, then the value defaults into this field for the
line. You can update the distribution set for the line as necessary.
Encumbrance Status. The status of the invoice line in the Encumbrance process.
Expenditure Item Date. This date defaults in based on the site-level "PA: Default
Expenditure Item Date for Supplier Cost" profile option.
Final Match. Enter Yes only if this is the last invoice line you want to match to the
purchase order and you are sure you want to final match. See: Final Matching Purchase
Orders, page 3-70.
•
Yes. This is the last invoice you want to match to the purchase order. You can enter
Yes only if the distribution is matched to a purchase order, the Allow Final
Matching Payables option is enabled, and the invoice is not yet validated.
•
No or Null. The distribution is not purchase order matched, or you do not want to
final match to the purchase order.
•
Done. When the distribution successfully final matches during Invoice Validation,
Payables changes the status to Done and you cannot update it.
Important: Enter Yes only if you are certain this is a final match against
the related purchase order. Once you validate a final matched invoice
distribution, you cannot update the Final Match field for the
distribution.
Fiscal Classification. A classification used by a tax authority, which is further divided
into: party fiscal classification, party site fiscal classification, product fiscal classification,
transaction fiscal classification, and document fiscal classification.
Included Tax Amount. The amount of tax, both recoverable and non recoverable,
included in the line total. This field is for reference only.
Income Tax Region. The region or state you assign to paid invoice distribution lines for
a 1099 supplier.
Income Tax Type. A type of payment you make to 1099 suppliers. You can assign an
income tax type to each paid invoice distribution line for a supplier. The Internal
Revenue Service (IRS) requires that you report, by income tax type, payments made to
1099 suppliers. For purchase order matched invoices, this value always defaults from
the purchase order, (even if the purchase order value is null and the supplier has a
value). If this happens and you want to use the supplier value, you can enter it here
Invoices 3-331
manually or use the Update Tax Details Utility.
You can update this field even after you have posted a distribution. You can use the
Update Income Tax Details Utility to make adjustments to many distributions.
Inventory Item. Inventory item identifier. This field is only available for Item lines that
are matched to purchase orders or receipts.
Invoice Includes Prepayment. If this check box is enabled, the prepayment is
referenced on the supplier invoice and the invoice amount includes the amount of the
prepayment and any associated tax. Distributions with the Prepayment on Invoice
check box enabled are included in the Distributions Total and are not included in the
Amount Paid for the invoice.
Item Description. Item description. This description defaults from the PO or Receipt if
the invoice is matched. For PO matched invoices, this is the PO Shipment; for Receipt
matched invoices, this is the receipt line.
Line Source. Source of the invoice line. For example, Open Interface or Manual lines.
Manufacturer. Name of the manufacturer of the item. This field is only available for
Item lines.
Match Basis. Basis on which invoices are matched to purchase orders. Options include:
Price Correction, Quantity Correction, Invoice Line Correction, Invoice Line Matched to
Purchase Order, Invoice Line Matched to Receipt, Other Charge Invoice Line Matched
to Receipt, or Not Matched. You can also define custom match types in the Invoice Line
Match Type lookup.
Model. Model number of the item. This field is only available for Item lines.
Nonrecoverable Tax Amount. The part of the tax amount, that is included in the line
amount, that cannot be recovered.
Num. Line number of the invoice line.
Overlay Account. Allows null values for some segments so not all account segments
need to be provided.
PO Distribution Number. Purchase order distribution line number, if the invoice is
matched to a purchase order.
PO Line Number. Purchase order line number, if the invoice is matched to a purchase
order.
PO Number. Purchase order number, if the invoice is matched to a purchase order.
PO Release Number. Purchase order release number, if the invoice is matched to a
purchase order.
PO Shipment Number. Purchase order shipment number, if the invoice is matched to a
purchase order.
Prepayment Invoice Number, Line Number, PO Number. Populated when you apply
or unapply a prepayment to the invoice.
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Primary Intended Use. A tax driver used by E-Business Tax to determine and calculate
the applicable taxes for the line.
Product Category. A type of product fiscal classification that is non-Inventory based.
Product Fiscal Classification. A tax classification used by a tax authority to categorize a
product.
Product Type. A tax driver used by E-Business Tax to determine and calculate the
applicable taxes for the line.
Project, Task, Expenditure Information. If you have Oracle Projects installed, the
project to charge the expenditures on an invoice to a specific project, task, or
organization. The system uses the project information you enter to create an account
that defaults to the invoice distribution. You can override this project information at the
invoice distribution. If you change these values at the invoice header level, then the
values will not affect any existing distributions.
Note: If you enter project information, you must enter a value for Task
unless you have matched to a purchase order with project information
with a null task ID. A purchase order can have a null task ID only if its
destination is Inventory or Shop Floor. If the destination is Inventory or
Shop Floor, the project information is used by Project Manufacturing.
Project Quantity. Project Quantity defaults in based on the quantity invoiced.
Prorate across All Item Lines. Available only for Freight and Miscellaneous lines.
Enable this check box if you want to prorate the Freight or Miscellaneous line across all
Item lines. Tax is always prorated across all Item lines. You cannot update this check
box if the line has allocation rules associated with it, is already distributed, or if the line
is matched by Receipt.
Receipt Line Number. The receipt and receipt line information, if the invoice line is
matched to receipt.
Quantity Invoiced. Quantity of items for matched invoice lines, price corrections,
quantity corrections, or non-matched invoice lines.
Receipt Required. Indicates whether the invoice line is receipt matched and if a receipt
is required (3-way match).
Receipt Verified. Indicates whether the invoice line receipt was verified (4-way match).
Recoverable Tax Amount. The part of the tax amount, that is included in the line
amount, that can be recovered.
Requester. (Optional) Person who initiated the purchase of the line item. This may be
the person who is responsible for approving the invoice line if you are using the Invoice
Approval Workflow.
Serial Number. Serial number of the item. This field is only available for Item lines.
Ship to. A tax driver used by E-Business Tax to determine and calculate the applicable
Invoices 3-333
taxes for the line.
Tax, Classification Code, Jurisdiction, Rate, Rate Name, Regime, Status. Tax drivers
used by E-Business Tax to determine and calculate the applicable taxes for the line.
Track As Asset. If you enable this check box, Payables transfers this distribution to
Oracle Assets when you submit the Create Mass Additions for Oracle Assets Program.
You can then create assets in Oracle Assets from the imported distribution information.
If the distribution has an asset account, Payables enables this option and you cannot
adjust it. If the account is an expense account, Payables does not enable the check box,
but you can enable it at any time before the invoice accounting entries are transferred to
general ledger.
Type. Type of invoice line. Possible types are: Item, Freight, Miscellaneous,
Prepayments, Tax, or Withholding Tax. Prepayment lines are automatically generated
when you apply or unapply a prepayment. You can only enter Tax lines if your tax
setup permits. You can only enter a Withholding Tax if your withholding tax setup
permits.
Unit Price. Unit price of the item.
UOM. Unit of measure for quantity invoiced.
Warranty Number. Warranty number of the item. This field is only available for Item
lines.
Withholding Tax Group. You can assign one or more Withholding Tax type tax names
to a withholding tax group. Assign a withholding tax group to an invoice or
distribution line and use Oracle Payables to automatically withhold tax for expense
reports and supplier invoices.
Holds Tab
Use the Invoice Holds tab to apply manual holds to an invoice and to remove holds
from an invoice. You can release a single hold by entering a Release Name in the
Release Name field, or you can release multiple holds at once by using the Release
button. For more information, see: Applying Holds, page 3-210, and Releasing Holds,
page 3-214.
Held By. Displays who placed the hold.
Hold Date. Displays the date on which the hold was placed.
Hold Name. If you or the system has placed a hold, Payables displays the name of the
hold. If you want to manually apply a hold, enter the hold name here.
Hold Reason. The hold reason associated with the hold.
Release Name. If this is a manually releasable hold, enter the release name to release
the hold. You can select from all invoice hold names defined with the type Invoice
Invoice Release Reason. If this is not a manually releasable hold, Payables will notify
you if you try to enter a value in this field.
Release Reason. The release reason associated with the Release Name.
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Purchase Order Number, Reason, Line, Ship To. If the invoice is purchase order
matched, Payables displays the purchase order information for this invoice. You can
choose the View PO button to view purchase order details.
Receipt Number, Line, Date. If the invoice is receipt matched, Payables displays the
receipt information for this invoice.
Release By. Displays who released the hold.
Release Date. Displays the date on which the hold was released.
WF Status. The status of the hold in the workflow.
View PO (button). Navigates to the View PO window. You can select this only if the
invoice is purchase order matched.
Release..(button). To release multiple holds at once, select the holds you want to
release. Choose the Release button and select a Release Name. You can select from all
invoice hold release names defined with the type Invoice Quick Release Reason. When
you save your work, Payables automatically assigns the release name to all releasable
holds. Choose OK.
View Payments Tab
[] (Descriptive Flexfield). Payables displays any values from the Payment's descriptive
flexfield. If you use a local version of Payables, consult your county-specific
documentation for more information on this flexfield.
Discount Taken. If you realized a discount when you created the payment, Payables
displays the amount of the discount.
Document Number. Payment document number, for example, check number.
GL Date. Payment GL Date.
Payment Amount. Amount of the payment.
Payment Date. The GL Date for the payment lines and the date on the payment
document. The date must be in an open accounting period.
Payment Method.
•
Check. A manual check, a Quick payment, or a check in a payment batch.
•
Electronic. An electronic funds transfer file you generate and deliver to your bank
to create payments.
•
Wire. Wire transfer of funds between your bank and your supplier's bank.
•
Clearing. Used for recording invoice payments to internal suppliers within your
enterprise.
Payment Overview. Navigates to the Payment Overview window which displays
additional payment information. From this window you can navigate to the Payments
Invoices 3-335
Workbench, the Banks window, or the Suppliers window.
Void. Payables enables this check box if you have voided the payment.
Scheduled Payments Tab
All amounts in the Scheduled Payments tab are displayed in the payment currency,
except for the Gross Amount, which is displayed in the invoice currency.
Amount Paid. Invoice amount minus the gross amounts of the remaining payments.
The Amount Paid does not reflect discounts you realize on payments. It shows the
actual amount disbursed. For example, for a 100 invoice, if you paid 90 and realized a
10 discount, then Payables displays 90 in the Amount Paid field.
If you check the Prepayment on Invoice check box when applying prepayments, then
your Prepayment and associated Tax distributions will not be included in the Amount
Paid calculation.
For example, you receive a 500 invoice that references a 100 prepayment. Your invoice
looks like this:
Description
Amount
Services
500
(less Prepayment received)
(100)
Total Amount Due
400
When you enter this invoice, you check the Prepayment on Invoice check box to apply
the 100 prepayment that is referenced on the invoice. You make a 300 payment and
Payables displays 300 in Amount Paid. You still owe the supplier 100, so you apply an
additional 100 prepayment distribution. You do not check the Prepayment on Invoice
check box when applying the 100 prepayment distribution because this prepayment is
not referenced on the invoice. In this case, the 100 prepayment application is included in
the Amount Paid field so Payables now displays a total of 400 in Amount Paid. See:
Entering Invoices that Reference Prepayments., page 3-81
Amount Remaining. Payables displays the unpaid amount of a selected scheduled
payment line.
Remit to Supplier Name. Displays the Remit to Supplier Name to pay to the Third
Party.
Remit to Supplier Site. Displays the Remit to Supplier Site to pay to the Third Party.
Bank Account Name. Name of the account from which a scheduled payment will be
made.
Bank Account Number. Number of the account from which a scheduled payment will
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be made.
Discount Amount Remaining. Payables displays the first discount amount available on
the unpaid amount of a scheduled payment line. Payables displays the discount amount
you would realize if you paid the scheduled payment today.
Discount, Second Discount, Third Discount Date, Amount. Payables displays the
discount amount you are eligible to subtract from the gross amount if you pay the
invoice before the corresponding discount date. For example, you enter a $100 invoice
with a payment terms date of January 1, 2002, and your payment terms allow you to
take either a 10% discount if you pay within 10 days, or a 5% discount if you pay within
20 days. When you select Discount, the date is January 10, 2002, and the amount is
$10.00. You select Second Discount, and the date is January 10, 2002, and the amount is
$5.00. If you make the payment on or before eligible discount dates, you choose
between paying the gross amount of the invoice or taking the most favorable discount
option.
Due Date. Payables calculates the date the invoice is due based on the invoice Terms
Date and invoice Payment Terms. For example, if the terms date is January 1, 2002, and
the invoice payment terms are Net 30, the Due Date is January 30, 2002.
If you enable the Recalculate Scheduled Payment Payables option, then during Invoice
Validation the system recalculates the due date based on your most favorable available
payment terms and start dates, unless you have manually entered or updated any
scheduled payments.
Payables does not default Due Dates for scheduled payments you add manually.
Gross Amount Total. Sum of the scheduled payment Gross Amounts. This must equal
the Invoice Amount.
Gross Amount. Gross amount due for the scheduled payment, displayed in the invoice
currency. Payables subtracts the discount amount, automatic withholding amount, and
prepayment amount from the gross amount to calculate the payment amount.
Hold. Enable this check box if you want to apply a payment hold on the scheduled
payment line. If a scheduled payment has a payment hold, Payables will not create a
payment for that scheduled payment until you disable the check box. See: Applying a
Hold to a Scheduled Payment, page 3-212.
You cannot enable this hold if the scheduled payment line has already been paid.
Invoice Amount. Amount of the invoice, displayed in the payment currency. If this is a
prepayment, Payables displays the amount of the prepayment that remains unapplied.
Pay..(button). Opens the Payments window so you can pay selected scheduled
payments. See: Paying Invoices From the Invoice Workbench, page 5-23.
Payment Method. Payables defaults the payment method from the invoice (Check,
Electronic, Wire, or Clearing).
Payment Priority. A number, between 1 (high) and 99 (low), that represents the priority
of payment. The value for this field defaults from the invoice batch if you specified one
Invoices 3-337
in the Invoice Batches window. Otherwise it defaults from the supplier site. You can
enter a payment priority range as a criteria for selecting invoices for a payment batch.
Split Schedule. If you want to automatically create an additional scheduled payment,
select a scheduled payment and update the amount. Choose Split Schedule to have
Payables create an additional scheduled payment with the net amount due. For
example, select a $100 scheduled payment and change the gross amount to $40. Choose
Split Schedule to have Payables create a new $60 scheduled payment.
If you use the Split Schedule button to update default scheduled payments then no
payment schedule recalculation will be performed during Invoice Validation, even if
the Recalculate Scheduled Payments Payables option is enabled.
System Hold Reason. The reason the payment is on hold, as determined by the system
based on specified tolerances.
View Prepayment Applications Tab
The View Prepayment Applications tab displays the prepayments applied to the
invoice.
Amount Applied. Amount of prepayment applied to the invoice.
PO Num, Receipt Num. Payables populates these fields for prepayments related to a
purchase order.
INVOICE ENTRY RESTRICTIONS:
INVOICE DATE NOT IN OPEN PERIOD. If you enter a date in a future period,
Payables displays a warning message. When you submit Invoice Validation, Payables
applies a Future Period hold to the invoice. This hold prevents payment and creation of
accounting entries for the invoice. You need to open the period and resubmit Invoice
Validation to pay or create accounting entries for the invoice.
If you enter a date that is more than one year old, Payables displays a warning message.
This warning message helps you detect data entry errors.
LIABILITY ACCOUNT. If you use encumbrance accounting and Automatic Offsets,
and an invoice is fully validated, you cannot update the Liability Account for the
invoice. If you use encumbrance accounting and Automatic Offsets, and there is at least
one unvalidated invoice distribution, then you can update the Liability Account.
Related Topics
Adjusting Invoices, page 3-271
Invoice Adjustment Chart, page 3-232
Invoice on Hold Report, page 9-65
Invoice and Invoice Batch Default Hierarchy Chart, page B-1
Payments Window Reference, page 5-76
3-338 Oracle Payables User's Guide
Distributions Window Reference
This window is a customizable folder. Note that in the default folder, many of the fields
listed below are hidden. You can create custom folders by unhiding, hiding, moving,
resizing, and renaming fields in this window. See: Customizing the Presentation of Data
in a Folder, Oracle Applications User's Guide.
Use this window to enter, review, or adjust distributions for an invoice. Payables uses
distributions to create accounting entries for invoices. You can enter an unlimited
number of distributions for an invoice.
You can enter distributions manually, or you can create them automatically by using
Distribution Sets, allocating, or by Purchase Order Matching.
When you query distributions in this window, Payables displays distributions by Type
in the following order: Item, Tax, Freight, Miscellaneous, Prepayment, Withholding.
You can find detailed information on entering, reviewing and adjusting distributions
throughout the Invoices chapter.
Account. Account to charge when you create an accounting entry for this distribution.
Usually an expense or asset account.
Accounted. Payables displays Yes or No to indicate if accounting entries have been
created for the distribution.
Amount. Amount to charge the general ledger account. If this is a foreign currency
invoice, enter the amount in foreign currency. The sum of the distribution amounts
must equal the invoice amount.
Description. Description of the distribution. This description appears on the payment
document remittance. For manually entered distributions, the default value is the
invoice description. For tax distributions, the default value is the tax code. For
distributions created by Distribution Sets, the default is the Description of the
Distribution Set line. For distributions created by purchase order matching, the default
value is the description of the purchase order line.
Functional Amount. Invoice amount displayed in your functional currency.
GL Date. Payables uses the GL Date as the accounting date. The date must be in an
open or future period. This value defaults from the Invoices window.
Important: If you change the GL Date in the Invoices window, Payables
does not change the GL Date for existing invoice distributions. If you
want to update the GL Date for an invoice, use the Distributions
window to change the GL Date for each invoice distribution.
You cannot change the GL Date after the invoice has completed Invoice Validation.
If the GL Date of an invoice is in a future period in Payables, you cannot pay the
invoice.
Invoices 3-339
Income Tax Region. Income tax region for the distribution. Payables orders
distributions by income tax region on the 1099 form reports. If you enable the
Combined Filing Program Payables option, when you submit the 1099 tape, Payables
will produce K records for all tax regions participating in the Combined Filing Program
that have qualifying payments.
If you enable the Use Pay Site Tax Region option in the Payables options window, the
default for this field is the supplier site's state. If you choose instead to enter a tax region
in the Income Tax Region field in the Payables Options window, the default for this
field is the tax region you entered.
If you do not enter an income tax type for a distribution, you cannot enter an income tax
region. See also: 1099 Reporting Overview, page 9-25
Income Tax Type. Income tax type, for 1099 reporting purposes. If you do not use a
Distribution Set to create invoice distributions, Payables uses the supplier's income tax
type as the default value. If you use a Distribution Set to create invoice distributions,
Payables uses the default income tax type from the Distribution Set as the default value.
You can enter or adjust this field regardless of whether the supplier is defined as a 1099
supplier. Payables uses this information when you submit the 1099 Payments report
and the 1099 form reports. See also: 1099 Reporting Overview, page 9-25.
Validation of Income Tax Type has been modified. You can use NA to indicate that the
type 1099 value is not applicable for the invoice line. When NA is used the Payables
Open Interface Import program will not consider the value as invalid. Instead, a null is
populated as type 1099. When the Payables Open Interface Import is run, the income
tax type is default from the supplier setup.
For purchase order matched invoices, this value always defaults from the purchase
order, (even if the purchase order value is null and the supplier has a value). If this
happens and you want to use the supplier value, you can enter it here manually or use
the Update Tax Details Utility.
You can update this field even after you have posted a distribution. You can use the
Update Income Tax Details Utility to make adjustments to many distributions. See:
Update Income Tax Details Utility and Report, page 9-11.
Num. Unique number for the distribution. You can override Payables default if the
number you enter is unique for the invoice.
PO Number. Purchase order to which the distribution is matched.
PO Distribution Number. Purchase order distribution to which the distribution is
matched.
Project/Task/Expenditure information. If you have Oracle Projects installed, associate
an invoice with a project to charge the expenditures on an invoice to a specific project,
task, or organization. The system uses the project information you enter to create an
account that defaults to the invoice distribution. You can override this project
information at the invoice distribution.
3-340 Oracle Payables User's Guide
Note: If you enter project information, you must enter a value for Task
unless you have matched to a purchase order with project information
with a null task ID. A purchase order can have a null task ID only if its
destination is Inventory or Shop Floor. If the destination is Inventory or
Shop Floor, the project information is used by Project Manufacturing.
Expense Receipt Date. Used to record VAT on expense reports. Date of the receipt or
invoice that included the VAT charge. For example, receipt date of hotel bill that
included a VAT charge.
Status. Validation status of the distribution:
•
Validated. The Invoice Validation program has tested the distribution line.
•
Needs Revalidation. Validation has previously tested the distribution line and a
subsequent change has been made to the line.
•
Never Validated. Validation has never tested the distribution.
•
Unvalidated Prepayment. Prepayment has not been validated.
Tax Regime.Tax regime associated with the distribution. See: Taxes on Invoices, page 3190
Tax. Tax associated with the distribution. See: Taxes on Invoices, page 3-190.
Type. Payables uses Type to differentiate between charges on an invoice.
•
Item. Standard item such as goods or services. Item is the default value for this field
for all distributions.
•
Freight. Distribution for a freight amount. For detailed information see: Entering
Freight on Invoices, page 3-14.
•
Tax. Distribution for a tax amount. For detailed information on tax distributions,
see: Taxes on Invoices, page 3-190.
•
Miscellaneous.
•
Withholding. Distribution for an automatic withholding tax amount. Payables
automatically creates a Withholding type distribution when you enter in the
Invoices window a Withholding Tax Group. See also: Automatic Withholding Tax
Overview, page 10-15.
•
Prepayment. When you apply a prepayment to an invoice distribution, Payables
adds a negative amount Prepayment distribution to the invoice to record the
application and to reduce the invoice amount to be paid.
Unit of Measure. Payables displays a statistical unit if you have defined one for the
Invoices 3-341
distribution's account in General Ledger. For example, you can use a unit of Square Feet
for an office rent purchase order.
Display Only Region
Total. Sum of the invoice or line amounts.
Distribution Total. Sum of the distribution amounts excluding withholding and some
prepayment type distributions.
Status. Validation status of the selected invoice distribution. (See above)
Accounted. Indicates whether accounting entries have been created for the
distribution.
PO Number. Purchase order number that is matched to the distribution.
Account Description. Description of the selected distribution.
Buttons
Tax Distributions. Choose this button to view the tax distributions calculated by
E-Business Tax. See: Taxes on Invoices, page 3-190.
View PO. If you have Oracle Purchasing installed and the selected distribution is
purchase order matched, choose the View PO button to Navigate to the Purchase Order
Distributions window.
View Receipt. If you have Oracle Purchasing installed and the selected distribution is
matched to a receipt, then choose the View Receipts button to navigate to the Receipt
Transactions Summary window.
Related Topics
Adjusting Invoices, page 3-271
Checking Funds for Invoices, page 10-27
Creating Distribution Sets, Oracle Payables Implementation Guide
Distribution Sets, Oracle Payables Implementation Guide
Entering Foreign Currency Invoices, page 3-96
Entering Invoice Distributions, page 3-18
Entering Invoices for Suppliers Subject to Income Tax Reporting Requirements, page 3100
Entering Project Related Invoices and Distributions, page 3-289
Taxes on Invoices, page 3-190
Invoice Adjustment Chart, page 3-232
Invoice Distribution Adjustment Chart, page 3-261
3-342 Oracle Payables User's Guide
Invoice and Invoice Batch Default Chart, page B-1
Matching Credit/Debit Memos to Purchase Orders and Invoices, page 3-91
Reviewing Invoice Distributions, page 3-226
Invoices 3-343
4
Expense Reports and Credit Cards
This chapter covers the following topics:
•
Expense Reports
•
Procurement Card Management
•
Credit Card Management
•
Managing Credit Card Outstanding Transactions
Expense Reports
Use the Expense Reports window in Payables to enter Payables expense reports for
your employees. You can also use this window to review and modify any of the
following expense reports:
•
expense reports entered in the Payables Expense Reports window.
•
expense reports entered in Oracle Projects and then transferred from Projects to
Payables.
If you have paid advances to an employee you can use this window to apply advances
to expense reports to reduce the amount you pay. You can also apply a hold to an
expense report to prevent payment. You can apply advances and holds to expense
reports that are from any source.
Before you can pay expense reports you must submit the Expense Report Export
program which automatically creates invoices from the expense reports. You can then
use Payables to validate, pay, and account for the invoices. You cannot view expense
reports in this window if they have been purged. If you do not purge expense reports,
you can still view successfully imported expense reports in this window, but you
cannot modify them.
To manage expense reports:
1.
Enter employees and their locations, expense addresses, Supervisors, and default
Expense Reports and Credit Cards 4-1
expense accounts. See: Employee Information, page 2-42.
2.
Enter Human Resources Financials options and Expense Report Payables options.
See: Human Resources Financials Options, Oracle Payables Implementation Guide, and
Expense Report Payables Options, Oracle Payables Implementation Guide.
3.
Define the employee as a supplier using either of the following methods:
•
Enable the Create Employee As Supplier Payables option to automatically
create suppliers from employees when you submit Expense Report Export. See:
Expense Report Payables Options, Oracle Payables Implementation Guide.
•
Enter the employee as a supplier in the Suppliers window before submitting
Expense Report Export for expense reports. See: Entering Employees as
Suppliers, page 2-8.
4.
For expense reports entered in Payables and Oracle Internet Expenses, define
expense report templates that model the different expense report formats your
employees use and the rate and policy schedules that your enterprise uses. See:
Defining Expense Report Templates, Oracle Internet Expenses Implementation and
Administration Guide.
5.
Enter expense reports in any of the following products:
6.
•
Payables Expense Reports. See: Entering Expense Reports in Payables, page 43.
•
Oracle Internet Expenses. See: Oracle Internet Expenses Implementation and
Administration Guide.
In the Payables Expense Reports window optionally apply holds and/or apply
advances to the expense reports. See: Applying Holds to Expense Reports, page 46, and Applying Advances Against Expense Reports, page 4-7.
Optionally modify or review Payables or Projects expense reports. See the
following:
•
Modifying and Reviewing Payables Expense Reports, page 4-9
•
Modifying and Reviewing Oracle Projects Expense Reports, page 4-9
7.
Submit the process, PRC: Interface Expense Reports from Payables to interface
project-related expense report costs to Oracle Projects. See: Expense Report Export
Program, page 4-11. Review the Expense Report Export. If there are exceptions,
correct any expense reports that caused exceptions and resubmit Expense Report
Export.
8.
Submit the Employee Update Program to update employee-type supplier records
4-2 Oracle Payables User's Guide
with up-to-date name and address information from the employee record. See:
Employee Update Program, page 2-44.
9.
Pay the invoices as you would any other invoices. See: Creating Single Payments,
page 5-13, or Creating Multiple Payments, page 5-25.
Entering Expense Report Template
The Expense Report Template window is used by the Oracle Internet Expenses
application. To define Expense Report Template, refer to the Defining Expense Report
Templates topic in the Oracle Internet Expenses Implementation and Administration Guide.
Entering Expense Reports
You can enter expense reports in these products:
•
Oracle Payables
•
Oracle Internet Expenses
•
Oracle Projects
Entering Basic Expense Reports in the Payables Expense Reports Window
Prerequisites
•
Enter employees and their locations, expense addresses, Supervisors, and default
expense accounts. See: Employee Information, page 2-42.
•
Enter Human Resources Financials options and Expense Report Payables options.
See: Human Resources Financials Options, Oracle Payables Implementation Guide and
Expense Report Payables Options, Oracle Payables Implementation Guide.
•
Define expense report templates. See: Defining Expense Report Templates, Oracle
Internet Expenses Implementation and Administration Guide.
•
If you want to be able to check the Includes Tax check box, you must use Line or
Tax Code level automatic tax calculation (at the site level if one exists, at the
supplier level if there is no supplier site, or the Payables Options level if the
employee is not defined yet as a supplier) and you must enable at least one of the
following two options:
•
Distribution Amount Includes Tax check box on the Expense Report Template,
or
•
Allow Override (for Distribution Amount Includes Tax) Payables option. For
Expense Reports and Credit Cards 4-3
more information, see: Calculate Taxes, Oracle E-Business Tax User Guide.
To enter a basic expense report:
1.
In the Expense Reports window, either enter the employee name in the Employee
field, or enter the employee number in the Number field.
2.
Optionally change the GL Account, which defaults from the employee record.
3.
In the Send to field, optionally change the location to which you want to send
payment for the expense report. You control the default expense address in the
Financials Options window.
4.
In the Date field, enter the period ending date for the expense report. Payables uses
this date as the GL Date for invoice distributions created from the expense report.
When you submit Expense Report Export you have the option to override this date.
5.
Either enter an Invoice Number, or Payables will enter the invoice date or the
expense report date as the Invoice Number. Enter a Description of the expense
report. This will become the invoice description, and it will appear on reports.
6.
Enter the total Amount of the expense report. Payables will confirm that the sum of
the item amounts matches this amount.
7.
If you enable the Reviewed By Payables check box, this indicates that receipts are
not required for this expense report. Consequently, the Receipt Verified check box
in the Expense Audit tabbed region becomes nonupdatable.
8.
Enter the expense report Template you want to use. If a default template is defined
in the Payables Options window and the template is active, then Payables displays
that default value. The template determines which items you can select. The
template also might provide default values for Type, Includes Tax, Tax Code, and
GL Account. During Expense Report Export, Payables creates invoice distributions
from the item lines.
For each Item line on the expense report, select the item and enter the item amount.
Optionally change the tax value in the Tax Code field associated with the item. The
value for the Includes Tax check box defaults from the Expense Report Template for
that item. If you use inclusive automatic tax calculation at the Line or Tax Code
level and if the Allow Override (Distribution Amount Includes Tax) Payables
option is enabled and if the item amount includes tax, then you can adjust the
Includes Tax check box.
Optionally update the GL Account. The default GL Account for each item line is
the GL Account for the employee overlaid with any segments defined on the
template for the expense item.
9.
Save your work.
4-4 Oracle Payables User's Guide
Expense Report Restrictions
Unique Invoice Number. The same invoice number cannot be used twice for the same
employee.
Date. If the period ending Date is in a Never Opened accounting period, then Payables
does not import the expense report, and Payables lists the expense report in the
Exceptions section of the Expense Report Export Report. If the period ending Date is in
a Closed period, Expense Report Export uses the first day of the next Open or Future
accounting period as the GL date. If no open or future period is available then import
will reject the expense report.
Recording VAT Details on an Expense Report
You can record VAT (Value Added Tax) details on an expense report in the Expense
Reports window. You can also enter or update VAT information in the Distributions
window after the Expense Report Export program has created invoices from expense
reports. See: Merchant Information Tabbed Region, page 4-19, and Receipt Information
Tabbed Region, page 4-20.
Related Topics
Applying Advances Against Expense Reports, page 4-7
Applying Holds to Expense Reports, page 4-6
Withholding Tax Overview, page 10-15
Entering Expense Reports, page 4-3
Entering Foreign Currency Expense Reports, page 4-5
Expense Report Export Program, page 4-11
Defining Expense Report Templates, Oracle Internet Expenses Implementation and
Administration Guide.
Expense Reports, page 4-1
Expense Reports Window Reference, page 4-15
Modifying and Reviewing Existing Expense Reports, page 4-8
Paying Expense Reports, page 4-10
Expense Report Export Program, page 4-11
Entering Foreign Currency Expense Reports in the Expense Reports Window
Foreign currency expense reports are subject to the same system requirements as
foreign currency invoices. For more information on foreign currency and the Exchange
Rate fields in the Expense Reports window, see: Foreign Currency Transactions, page 61, and Entering Foreign Currency Invoices, page 3-96.
Expense Reports and Credit Cards 4-5
You can only apply advances (prepayments) that have the same currency as the
expense report.
Prerequisites
•
Enable the Use Multiple Currencies Payables option. See: Payables Options, Oracle
Payables Implementation Guide.
•
Enable the currencies you need in the Currencies window. See: Currencies
Window, Oracle General Ledger User's Guide.
To enter an expense report in a foreign currency:
1.
In the Expense Reports window, enter a basic expense report. See: Entering Expense
Reports, page 4-3.
2.
Select the expense report Currency. This is the currency in which Payables will pay
the invoice.
3.
Enter the Exchange Rate information.
4.
Save your work.
Related Topics
Expense Reports, page 4-1
Applying Holds to Expense Reports
At any time before you submit Expense Report Export for an expense report, you can
apply a single User-defined hold to an expense report. This prevents payment of the
invoice Payables creates from the expense report. Payables also prevents creation of
accounting entries for the invoice if you select a hold that prevents accounting.
Note: You can apply only one user-defined hold to an expense report.
Prerequisite
•
Enter user-defined holds in the Invoice Hold and Release Names windows. See:
Invoice Hold and Release Names, Oracle Payables Implementation Guide.
To apply a hold to an expense report:
1.
In the Expense Reports window, enter or query an expense report.
2.
In the Hold field, enter a user-defined hold.
4-6 Oracle Payables User's Guide
3.
Save your work.
During Expense Report Export, Payables applies the hold to the invoice it creates
for the expense report. You can release the invoice hold by using the Invoice
Actions window or the Invoice Holds window. See: Releasing Holds, page 3-214.
Related Topics
Invoice Hold and Release Names, Oracle Payables Implementation Guide
Expense Reports, page 4-1
Applying Advances Against Expense Reports
You can pay an employee an advance (prepayment) and later apply the advance against
an expense report to reduce the amount you pay for an expense report. For example,
you pay an employee a $500 travel advance. When the employee returns from a trip, the
employee's expense report totals $1500. You fully apply the advance against the actual
expenses when you enter the expense report. When you import the expense report, the
system creates a $1500 invoice, and records a prepayment application of $500, resulting
in a $1000 unpaid balance on the invoice.
You can apply advances to any expense report you can query in the Expense Reports
window. You can apply an advance at any time before submitting Expense Report
Export for an expense report.
Note: The advance is not actually applied until the import process.
Therefore, to prevent overapplication of an advance, you cannot select
a prepayment number that has been applied to another expense report
that has not yet been imported.
Of course, you can also apply advances to an expense report after you import it, just as
you would for any other invoice. Query the invoice in the Invoices window and use the
Apply Prepayments check box in the Invoice Actions window.
Note: You cannot apply advances to an expense report for more than
the amount of the expense report.
You can enable the end users to enter details of available advances in Oracle Internet
Expenses. See: Setting Up Advances in Oracle Internet Expenses, Oracle Internet
Expenses Implementation Guide.
Prerequisites
•
Enable the Apply Advances Payables option. See: Expense Report Payables
Options, Oracle Payables Implementation Guide.
Expense Reports and Credit Cards 4-7
Important: This automatically enables the Apply Advances check
box. If you do not want to apply advances to an expense report you
must disable the Apply Advances check box in the Expense Reports
window. If the check box is enabled, Payables will apply all
available advances to the invoice.
•
The advance has a settlement date on or before the system date, is fully paid, is type
Temporary, has the same invoice and payment currency as the expense report, and
has not been fully applied.
To apply an advance against an expense report before Expense Report Export:
1.
In the Expense Reports window, enter or query an expense report. Payables notifies
you if the employee has outstanding advances.
2.
Check the Apply Advances check box. Enter information to apply one or more
advances:
3.
To apply a single advance, enter the invoice Number of the advance (prepayment).
Payables displays in the Amount field the remaining amount of the advance up to
the expense report total. If you do not want to apply the full available advance to
this expense report, change this to a lesser value.
4.
To apply multiple advances, leave the Number field empty. Payables applies all
outstanding advances in chronological order, starting with the oldest advance first,
up to the amount of the expense report, unless you specify a maximum amount in
the Amount field.
5.
If you want to apply a specific advance first, enter the number of the advance
(prepayment) in the Number field, then override the advance's available Amount
and enter a greater number. The system will then apply the specified advance first,
then apply remaining advances (oldest first) up to the Amount you specify.
6.
Complete expense report entry and save your work.
Payables applies the advances during Expense Report Export.
Related Topics
Prepayments, page 3-72
Expense Reports, page 4-1
Modifying and Reviewing Existing Expense Reports
You can review and modify expense reports in the Expense Reports window. If you
have successfully imported an expense report using Expense Report Export but have
4-8 Oracle Payables User's Guide
not yet purged it, then you can view it but you cannot modify it.
You can quickly open an expense report you have saved as an icon on your Navigator.
When you have the expense report open, select Place on Navigator from the Actions
menu. Later, if you choose the icon in the Documents region of your Navigator, then
Payables will automatically open the Expense Reports window and query the expense
report.
This section includes the following topics:
•
Modifying and Reviewing Payables Expense Reports, page 4-9
•
Modifying and Reviewing Oracle Projects Expense Reports, page 4-9
Modifying and Reviewing Payables Expense Reports
Prerequisites
•
If you want to modify the expense report, then you have not submitted Expense
Report Export for the expense report.
•
If you want to view the expense report, you have not purged the expense report.
To review or modify a Payables expense report:
1.
In the Expense Reports window, query the expense report you want to review or
modify.
2.
Make any modifications you want to the expense report, including applying a hold
and applying advances.
3.
Save your work.
Modifying and Reviewing Oracle Projects Expense Reports
In the Payables Expense Reports window, you can query and review Projects expense
reports you have transferred from Projects to the Expense Report Interface tables. You
cannot view an expense report in this window that you have imported into Payables
and tied back to the original expense report in Projects.
Important: You must make all changes to Projects expense reports in
the Projects Expense Reports window. If you were to make changes in
the Payables Expense Reports window, then Projects would have no
record of the modification, and the GL accounts for the invoice
distributions would be blank. However, you can apply advances and
holds to these expense reports in the Payables Expense Reports
window before you submit Expense Report Export.
Expense Reports and Credit Cards 4-9
Prerequisites
•
Enter expense reports in Oracle Projects.
•
Submit the Oracle Projects Distribute Expense Report Costs Process to calculate the
amount and generate accounts.
•
Submit the Oracle Projects Interface Expense Reports to Payables process to transfer
expense reports to the Payables Expense Report Interface tables.
To review or modify an Oracle Projects expense report:
1.
In the Expense Reports window, query the expense report you want to review or
modify.
2.
Apply a hold and/or apply advances to the expense report.
3.
Save your work.
Related Topics
Expense Reports, page 4-1
Defining Expense Report Templates, Oracle Internet Expenses Implementation and
Administration Guide.
Paying Expense Reports
Payables will pay invoices only. Submit Expense Report Export to have Payables create
invoices from expense reports. You can then create payments for the invoices.
Prerequisite
•
Submit Expense Report Export to create invoices from expense reports. See:
Expense Report Export Program, page 4-11.
To pay invoices created from expense reports:
•
Create payments for the invoices as you would for any other invoices. See: Creating
Single Payments, page 5-13, or Creating Multiple Payments, page 5-25.
Related Topics
Voucher Numbers, Oracle Payables Implementation Guide
Entering Employee Information, Oracle iSupplier Portal Implementation Guide
4-10 Oracle Payables User's Guide
Expense Report Export Program
Use Expense Report Export to create Payables invoices from expense reports you enter
in Payables or Oracle Internet Expenses. You can then use Payables to validate and pay
these invoices and create accounting entries for them.
When you export expense reports from Internet Expenses, Payables records the source
of the invoices and invoice details. Expense Report Export verifies all your expense
report information to ensure it creates valid, fully-distributed invoices that are ready for
validation. If the expense report information fails validation, then Expense Report
Export does not export the expense report, and Payables does not create an invoice from
the information. You can view rejected expense reports on the Export Results page.
Oracle Internet Expenses does not export an expense report more than once.
This discussion covers the following topics:
•
Creating Invoices from Expense Reports entered in Payables and Internet Expenses,
page 4-11
•
Expense Report Export Parameters, page 4-13
•
Resolving Expense Report Export Exceptions, page 4-14
Related Topics
Financials Options, Oracle Payables Implementation Guide
Entering Employees, Oracle iSupplier Portal Implementation Guide
Payables Options, Oracle Payables Implementation Guide
Creating Invoices from Expense Reports entered in Payables and Internet Expenses
When you enter expense reports using the Expense Reports window in Payables, or
when employees enter expense reports in Oracle Internet Expenses, Internet Expenses
automatically saves the expense information in the Expense Report transaction tables.
When you submit Expense Report Export, Internet Expenses exports expense report
data, and Payables creates invoices from the expense reports. Payables processes all
expense reports entered since the last time you submitted Expense Report Export.
Expense Report Export places expense reports on hold:
•
Manually placed on hold by the auditor in the Payables Expense Reports window
or the Internet Expenses Audit Expense Reports page.
•
Automatically, according to the rules in the active Hold rule set. See: Setting Up
Hold Rules, Oracle Internet Expenses Implementation and Administration Guide for
more information.
Expense Reports and Credit Cards 4-11
Expense reports placed on hold are not exported into Payables as an invoice.
If you enable the Automatically Create Employee As Supplier Payables option,
Payables automatically creates suppliers and supplier sites for employees who are not
already suppliers. If you do not enable this option, you must manually enter the
employee as a supplier before submitting Expense Report Export.
Prerequisites
•
Enter expense reports in Payables or Internet Expenses.
•
If the Create Employee As Supplier Payables option is not enabled, manually enter
the employee as a supplier in the Suppliers window. See: Entering Supplier
Information, Oracle iSupplier Portal Implementation Guide.
To submit Expense Report Export for expense reports entered in Payables or Oracle
Internet Expenses:
1.
Using the Internet Expenses Auditor responsibility, select the Expenses Export tab
to submit Expense Report Export.
2.
Enter the parameters. For more information, see: Expense Report Export
Parameters, page 4-13.
3.
If you use batch control, enter a Batch Name.
4.
Select Payables Expense Reports for the Source to create invoices from expense
reports entered in Payables.
5.
Select Oracle Internet Expenses for the Source to create invoices from expense
reports entered in Internet Expenses and to create credit card provider invoices
from imported credit card transactions, if your company uses the Both Pay scenario.
Optionally enter or modify the GL Date to override all expense report GL Dates.
6.
Choose Submit to submit Expense Report Export for all Payables and Internet
Expenses expense reports that have not yet been exported. Payables creates invoices
with the following attributes:
•
Type is Expense Report.
•
Invoice Number is from the expense report Invoice Number.
•
Invoice lines and distributions are based on the expense items.
•
Scheduled payments are based on payment terms defined for the supplier site.
•
Payment Method defaults from the supplier site.
4-12 Oracle Payables User's Guide
7.
View the status of your program submission on the Export Requests page.
8.
View program results on the Export Results page.
Use this page to review detailed information about rejections and holds, as well as
information about the expense reports that were exported and created as invoices in
Payables during Expense Report Export.
Use this page to review the advances (prepayments) applied to expense reports
exported into Payables. Payables displays a listing of all prepayments that were
applied during Expense Report Export.
Tip: If you submit Expense Report Export from the Submit
Requests window, then you can review the export results directly
from the Oracle Payables navigator by adding the Expenses: Export
Results function, OIE_EXPORT_RESULTS_FN, to your Payables
menu.
9.
When the program is complete, you can query the new invoices in the Invoice
workbench. The new invoices are ready for the normal process of validation and
payment.
Expense Report Export Parameters
This section describes selected parameters for Expense Report Export.
Batch Name. Payables groups the invoices created from the expense reports you export
from Oracle Internet Expenses and creates an invoice batch with the batch name you
enter. You can enter a batch name only if the AP: Use Invoice Batch Controls profile
option is enabled. Payables verifies that the batch name you enter is unique.
Tip: A systematic naming convention for batches helps you to file your
physical documents and quickly retrieve them later.
Source. Enter the name of the source of the expense reports. Payables automatically
creates invoices from the source you enter.
•
Payables Expense Reports. Expense reports entered in Oracle Payables.
•
Oracle Internet Expenses. (the default) Expense reports entered in Oracle Internet
Expenses. Also used to export credit card provider invoices for the Both Pay
process.
Transfer Descriptive Flexfield. Enter Yes if you want to export Descriptive Flexfield
details for the source you select. If you enter Yes, Payables transfers any Descriptive
Flexfield information you have defined for the expense report you are exporting, and
creates invoices and invoice distributions with the same Descriptive Flexfield details.
Expense Reports and Credit Cards 4-13
Important: If you choose to transfer Descriptive Flexfield details for
expense reports or invoices, you should enable the corresponding
invoice and invoice distribution Descriptive Flexfield segments. If you
do not enable the segments, you will not be able to view your
Descriptive Flexfield details in the Invoice workbench.
You should also ensure that the value sets you define for your invoice
and invoice distribution Descriptive Flexfield segments match the value
sets for your expense report header and lines Descriptive Flexfield
segments. If they do not match, when you navigate to the Descriptive
Flexfield fields in the Invoice Workbench, Payables will prompt you to
enter valid values.
GL Date. The date you enter must be in an Open or Future period or Payables will not
create invoices from the expense reports.
If you leave the GL Date parameter blank, then Payables uses the GL Date Payables
option defined in the Payables Options window to determine the default GL date for
invoice distribution lines. If the GL Date Payables option is Invoice or Invoice Received
Date, Payables enters the Period Ending Date of the expense report as the default GL
Date for all exported expense reports. If the GL Date Basis Payables option is System or
one of the Goods Received Date options, Payables enters the system date as the default
GL Date for all exported expense reports. If you enter a GL date when submitting
Expense Report Export, Payables enters that date on the invoice distribution lines
created by the Expense Report Export process.
Important: If you are using encumbrance accounting, you must enter a
GL Date in a period that is within the latest open encumbrance year.
(See also: Budgetary Control In Payables, page 10-26).
Group. To limit the export to expense reports with a particular Group ID, enter the
Group ID. The Group must exactly match the GROUP_ID in the Payables Open
Interface tables. You can export data in concurrent processes for the same source by
specifying a unique Group for each request. This reduces the processing time of your
export. Payables Open Interface Import imports data with the source and group
combination you specify.
Debug Switch. Select Yes to have Expense Report Export provide you with more
detailed troubleshooting information.
Organization Name. To limit the export to expense reports for a particular
organization, enter the organization.
Send Notifications To. Select a person to receive notifications in case of rejections.
Resolving Expense Report Export Exceptions
When you submit Expense Report Export, the Expense Results page provides detailed
4-14 Oracle Payables User's Guide
information about:
•
the expense reports that were exported and created as invoices in Payables
•
holds
•
advances (prepayments) applied to expense reports exported into Payables
•
exceptions (rejections)
For each expense report for which Payables did not create an invoice, the Export Results
page lists employee and expense report information. Information might not properly
export into Payables for a variety of reasons, including duplicate invoice numbers or
invalid suppliers.
The Export Results page displays the reason why Payables did not create an invoice
from an expense report. For a list of rejection reasons, see: Payables Open Interface
Import Report, page 3-153.
Access this page on the Expenses Export tab, using the Internet Expenses Auditor
responsibility.
To resolve Expense Report Export exceptions:
1.
Review the Export Results page to identify the reason(s) your information did not
export properly.
2.
Resubmit Expense Report Export.
3.
Review the Export Results page again to confirm that you resolved the problems
that had prevented export.
Expense Reports Window Reference
You can enter employee expense reports in the Expense Reports window. Use this
window to view expense reports you have entered in Payables, or view expense reports
you have transferred from Projects. In addition, you can apply advances (prepayments)
to expense reports in this window.
You submit the Expense Report Export program to convert the expense reports into
invoices that you can pay.
Operating Unit. The operating unit of the employee.
Name/Number. Name and number of the employee. This employee will become the
supplier on the invoice Expense Report Export creates. Before submitting Expense
Report Export for expense reports, you should either enable the Create Employee As
Supplier Payables option, or enter the employee as a supplier in the Suppliers window.
GL Account. GL Account for the employee. This value defaults from the Enter Person
window. You cannot enter an account you have defined as a summary account.
Expense Reports and Credit Cards 4-15
Payables overlays the employee's GL Account with the segment values defined for an
Item's GL Account.
For example, an employee's default GL Account is 01-450-5800. The expense report
template you use has two expense item lines:
Meals: XX-XXX-5900 (Meals Expense)
Airfare: XX-XXX-5920 (Airfare Expense)
During Expense Report Export for the expense report, Payables creates invoice
distributions for the expense items in the following manner:
Meals: 01-450-5900 (Meals Expense)
Airfare: 01-450-5920 (Airfare Expense)
Send To. Location to which the payment will be sent. Defaults from the Enter Person
window.
Date. Period ending date for the expense report. Payables uses this date as the invoice
date and the accounting date for the invoice created from the expense report. When you
submit Expense Report Export you have the option to override this date.
If the date you enter is in a future closed accounting period, Payables will not import
the expense report and will list it on the Rejections tab of the Export Results page. If the
date you enter is a date in a closed accounting period in the past, then when Payables
imports the expense report, it uses the first day of the current accounting period as the
GL Date.
Invoice Num. Number Payables uses as the invoice number when it creates the
invoice. The number must be unique for the employee. If you do not enter a value, the
invoice number will be the Date you enter.
Amount. Total amount of the expense report. Once the Workflow process has
completed for an expense report, this field becomes read-only.
Inv Description. Description of the expense report. This will become the invoice
description and it will appear on reports.
Currency. Currency that will be the invoice currency and the currency in which the
invoice will be paid.
Lines Total. Payables displays the cumulative sum of the expense report Item line
amounts. You cannot save the expense report unless the Lines Total equals the Amount
you enter for the expense report. Once the Workflow process has completed for an
expense report, this field becomes read-only.
Hold. If you enter a user-defined hold name in this field, Payables automatically applies
this hold to the invoice that Expense Report Export creates from the expense report.
You cannot pay or account for the invoice until you release the hold by using the
Invoice Holds window.
Withholding Tax Group. If you want to default a withholding tax group to each item
you enter, enter a withholding tax group for the expense report. Alternatively, you can
4-16 Oracle Payables User's Guide
leave this field empty and enter a withholding tax group for individual items.
Functional Region
This region displays functional currency information.
Currency. Payables displays your functional currency.
Type. Type of exchange rate between the expense report currency and your functional
currency (Spot, Corporate, User, or User-defined). If the expense report currency and
your functional currency are different currencies and have a predefined fixed rate,
Payables displays EMU Fixed as the Type.
Date. The date used to determine functional rate. You can override the Payables default
of the system date.
Rate. If you selected the User rate type, enter the Rate. Otherwise, the Rate will default
from the GL Daily Rates Table if you have defined a rate for the Type and Date you
selected. If a rate is not defined in the GL Daily Rates Table, you can define it later and
then submit the AutoRate program. If the Invoice Currency is different from your
functional currency, and both currencies are associated fixed-rate currencies, Payables
will enter the fixed rate.
Payment Region
Currency. The currency in which the expense report will be paid. The default is from
the Send To supplier site, if a supplier site exists for the employee. Otherwise the
default is the expense report currency, which is your functional currency. If the expense
report invoice currency is a fixed-rate currency such as euro or another EMU currency,
you can change the payment currency value to an associated fixed-rate currency.
Type. If the Payment Currency is different from the Invoice Currency and both are
fixed-rate currencies, Payables displays EMU Fixed. If the invoice and payment
currencies are the same, you cannot enter a value in this field.
Date. If the Payment Currency is different from the Invoice Currency and both are
fixed-rate currencies, enter the date the Payment Cross Rate is effective. Payables
displays the value you entered for Date as the default. If the Date is null, Payables
displays the first date of the first period. If the invoice and payment currencies are the
same, you cannot enter a value in this field.
Rate. If you are making a payment in a different currency than the expense report, and
both currencies are associated fixed-rate currencies, Payables displays the fixed cross
rate. You cannot update this value in this window. If the invoice and payment
currencies are the same, you cannot enter a value in this field.
Apply Advances Region
Apply Advances. Enable this check box if you want to apply employee advances
(prepayments) to an expense report. Payables performs the applications during Expense
Report Export. After you enter the employee name in this window, Payables notifies
Expense Reports and Credit Cards 4-17
you if there are prepayments available to apply. You can apply an advance only if it has
a settlement date on or before today's date, is type Temporary, has been fully paid, is
not fully applied, and has the same currency and supplier/employee as the expense
report.
Payables automatically enables this check box if you enable the Apply Advances
Payables option and there are available advances.
Important: If you do not want to apply advances to an expense report
you must disable the Apply Advances check box. If the check box is
enabled, Payables will apply all available advances to the invoice even
if the Number and Amount fields are empty.
Payables prevents you from enabling this check box if there are no outstanding
advances to apply. Payables applies the advances you specify when you submit
Expense Report Export for an expense report. See also: Applying Advances Against
Expense Reports, page 4-7.
Number. Invoice number of a specific prepayment you want to apply. Leave this field
blank to apply all available advances in chronological order, starting with the oldest
prepayment first, up to the amount of the expense report.
Line. Distribution number of a specific Item distribution on the specified prepayment
that you want to apply. Leave this field blank to apply all available prepayment Item
distributions, starting with the lowest distribution number first, up to the amount of the
expense report.
Amount. If you are applying prepayments, the maximum currency amount of the
prepayments you want to apply to an expense report. If you leave this field and the
Number field blank, Payables applies available prepayments up to the amount of the
expense report. If you specify a prepayment number in the Number field, Payables
enters the unapplied prepayment amount up to the amount of the expense report. You
can decrease the amount Payables enters. Payables ensures that the prepayment
amount does not exceed the expense report amount.
GL Date. Accounting date for the application of the advance. This will be the GL date
on the new Prepayment type distribution on the expense report invoice.
Reviewed By Region
Payables. Check this box if the Accounts Payable department has completed a review
of an expense report entered in Internet Expenses, including a verification of receipts.
Once the Workflow process has completed for an expense report, this check box
becomes read-only.
Management. Oracle Workflow checks this check box after all appropriate managers
have approved expense reports entered in Internet Expenses. Once the Workflow
process has completed for an expense report, this check box becomes read-only.
4-18 Oracle Payables User's Guide
Template
Template. Expense report template you are using to enter the expense report. Expense
report templates determine the expense report items you can select. You define expense
report templates in the Expense Report Templates window. The list of values includes
all active templates. If you use multiple-organization support, the list of values is
limited to templates defined for your organization. If a default expense report template
was selected in the Payables Options window, then that template is the default in this
field if the template is still active.
Expense Reports Window Tabbed Regions
The following two fields appear in each of the tabbed regions of the Expense Reports
window.
Item. Name of an expense item. The items you can enter depend on the template you
enter for the expense report. You define expense items for an expense report template in
the Expense Report Templates window.
Note: You can associate tax codes with expense items in the Expense
Report Templates window. If an expense item is associated with a tax
code that is now inactive, then you cannot select the item in the
Expense Reports window.
Amount. The amount of an expense item. If the sum of the expense item amounts does
not equal the reimbursable amount you entered for the expense report, you cannot save
the expense report. Once the Workflow process has completed for an expense report,
this field becomes read-only.
Accounting Tabbed Region
GL Account. Payables displays the default expense account for the expense item you
enter. When you define a default account for an expense item, you do not have to enter
a value for every segment of the account because it gets combined with the employee's
GL Account during invoice entry. You cannot enter an account that you have defined as
a summary account.
Tax Code. The tax code for the current expense report item.
Withholding Tax Group. The withholding tax group for the current expense report
item. The default for this field is the withholding tax group you entered for the expense
report.
Merchant Information Tabbed Region
Name. Used to record VAT on expense reports. Name of merchant that issued the
receipt with the VAT charge. For example, name of hotel that issued a bill that included
a VAT charge. This value is not validated against suppliers defined in Payables.
Expense Reports and Credit Cards 4-19
Document Number. Used to record VAT on expense reports. Number of the receipt or
invoice that included the VAT charge. For example, receipt number of hotel bill that
included a VAT charge.
Tax Reg Number. Used to record VAT on expense reports. Tax registration number for
the merchant that issued the VAT-inclusive receipt. This number is used for reporting
and reclaiming VAT.
Taxpayer ID. Used to record VAT on expense reports. Taxpayer ID number of the
merchant that issued the VAT-inclusive receipt. Also known as the NIF in Europe or the
NIT in Latin America.
Receipt Information Tabbed Region
Receipt Date. Date a receipt was recorded, for example, the receipt date of a hotel bill.
For receipts that contain taxable items, this date is used as the tax effective date. If you
do not provide a value here, then Payables will use the invoice date as the tax effective
date.
Country of Supply. Used to record VAT on expense reports. Two-letter ISO
designation for the country of origin of the goods or services.
Reference. Used to record VAT on expense reports. This entry is not validated and can
be used for any notes for internal use.
Currency Tabbed Region
Receipt Currency. Displays the receipt currency for this expense item.
Receipt Amount. Displays the amount of the receipt in the receipt currency.
Exchange Rate. Displays the exchange rate used to convert the receipt amount to the
reimbursement currency amount.
Expense Audit Tabbed Region
Justification. The justification for the expense item. Entered by an employee in Internet
Expenses.
Receipt
•
Verified. Check this box if the employee has sent a receipt to Accounts Payable for
this item. Once the Workflow process has completed for an expense report, this
check box becomes read-only.
•
Required. This check box is enabled if you indicated in the Expense Report
Templates window that a receipt is required for this expense item. Once the
Workflow process has completed for an expense report, this check box becomes
read-only.
•
Missing. This box is checked by the employee if the original receipt is not available
for an expense item. After the employee submits the expense report with a receipt
4-20 Oracle Payables User's Guide
missing check box enabled, Oracle Workflow, in its standard configuration, will
indicate to management in the approval notification whether an original receipt is
missing for an expense item. Once the Workflow process has completed for an
expense report, this check box becomes read-only.
Adjustments Tabbed Region
Audit Exception Comment. If you adjust or shortpay the expense report item that the
employee entered, enter an audit exception comment. Once the Workflow process has
completed for an expense report, this field becomes read-only.
Policy Non-Compliance. Check this check box to perform a policy violation shortpay
for an expense item for which the employee has not provided sufficient information.
Once the Workflow process has completed for an expense report, this check box
becomes read-only.
Related Topics
Expense Reports, page 4-1
Creating Invoices from Expense Reports entered in Payables and Internet Expenses,
page 4-11
Procurement Card Management
You can streamline your procure-to-pay process by implementing a procurement card
program in which your employees purchase items directly from suppliers using a
procurement card. The procurement card issuer then sends transaction files directly to
you (the employer). You can import procurement card transaction files from your card
issuer directly into Payables. Then, you can automatically generate transaction
accounting distributions and create invoices to pay the card issuer.
This will help you reduce transaction costs and eliminate low-amount invoices. For
additional flexibility, your employees can use Self-Service Web Applications to verify
transactions and to override default transaction accounting.
Payables Procurement Card Overview
This section gives you an overview of the Payables procurement card process. Each step
refers you to the sections in the documentation where you can find more information on
the step.
1.
Set up Payables and Self-Service Web Applications credit card programs. See:
Setting Up Credit Card Programs, Oracle Payables Implementation Guide.
2.
Import procurement card transactions. The card issuer sends you a file with the
card transactions and charges. You load this data into the
AP_EXPENSE_FEED_LINES table. See: Payables Procurement Card Transactions
Expense Reports and Credit Cards 4-21
Interface Table, Oracle Payables Implementation Guide.
3.
Validate imported procurement card transactions. Submit the Procurement Card
Transactions Validation program. This program creates distribution records in the
AP_EXPENSE_FEED_DISTS_ALL table, for transactions where the
CREATE_DISTRIBUTION_FLAG is Y. Otherwise, you can create distribution
records manually in the Transaction Distributions window. This program also
identifies transaction exceptions, such as card numbers that are undefined, and
builds the default GL Accounts for the transactions. See: Procurement Card
Transactions Validation, page 4-24.
Note: If the CREATE_DISTRIBUTION_FLAG is set to N, ensure
that the STATUS_LOOKUP_CODE column is set to 'Approved' in
the AP_EXPENSE_FEED_DISTS table.
4.
Employee verification. Submit the Procurement Card Transactions Verification
Process. This executes the AP Procurement Card Employee Verification Workflow
as you have defined it. If verification is required, an employee can verify
transactions directly from a workflow notification. The employee can also use
Self-Service Web Applications to verify transactions. If verification is not required,
an employee will receive a notification indicating that transactions were posted to
the employee's card account. See: AP Procurement Card Employee Verification
Workflow, Oracle Payables Implementation Guide.
5.
Manager approval or notification. Submit the Procurement Card Transactions
Approval Process. This executes the AP Procurement Card Manager Approval
Transaction Workflow as you have defined it. If approval is required from the
manager, a manager can approve an employee's procurement card transactions
directly from a workflow notification. If approval is not required, a manager will
receive a notification that lists all procurement card transactions incurred by the
manager's direct reports. See: AP Procurement Card Manager Approval
Transaction workflow, Oracle Payables Implementation Guide.
6.
Adjust transaction distributions. If card program administrators need to adjust or
create transaction distributions, use the Procurement Card Transactions window.
See: Procurement Card Transactions Window, page 4-23.
7.
Create invoices. You submit the Create Procurement Card Issuer Invoice program
to move the transaction data from the AP_EXPENSE_FEED_DISTS_ALL table to
the AP_INVOICES_INTERFACE and AP_INVOICE_LINES_INTERFACE tables.
You can summarize transactions by GL Account. See: Create Procurement Card
Issuer Invoice, page 4-27.
You submit the Payables Open Interface Import Program to create invoices in
Payables from the invoice data in the Payables Open Interface tables.
4-22 Oracle Payables User's Guide
8.
The invoices are ready for accounts payable validation and payment. See: Invoice
Validation, page 3-172.
Procurement Card Transactions Window
Use the Procurement Card Transactions window to review and update procurement
card transaction distributions.
During Payables Open Interface Import, Payables converts transaction distributions
into invoices with distributions. When you load transactions from the card issuer, each
transaction has one distribution. You can use this window to split a transaction
distribution into multiple distributions, which you can then process separately. For
example, an employee receives a bill for a hotel room. Instead of charging the $100
corporate rate, the hotel charged $130. You can create two distributions for the
transaction, one for $100, and one for $30. You can assign a status of Disputed for the
$30 transaction and process the $100 distribution as usual.
Important: To prevent payment of a transaction distribution with a
status of Disputed, you also need to check the Disputed check box in
the Don't Pay If Status region of the Card Programs window. See: Card
Programs Window, Oracle Payables Implementation Guide.
Card holders can create multiple distributions per transaction in the Open Credit Card
Transactions page of Self-Service Web Applications. You can also use the Distributions
region of the Procurement Card Transactions window in Payables to split distributions.
The total amount of the transaction distributions must equal the transaction amount.
Procurement Card Transactions Window Reference
Card Number. Card number of the procurement card that incurred the transaction.
Transaction Date. Date that the transaction posted to the card account.
Reference Number. The reference number that the card issuer assigned to the
transaction.
Currency. Currency of the procurement card statement.
Amount. Amount of the transaction in the procurement card statement currency.
Card Program. Card program assigned to the procurement card used for the
transaction.
Card Code. Card code (supplier or supplier type) of the transaction.
Employee Name. Card holder's name.
Merchant Name. Merchant that processed the transaction.
Expense Reports and Credit Cards 4-23
Transaction Distributions Window
Status. Current status of the transaction. Card holders can update their own
transactions, either in the Open Procurement Card Transactions page or by responding
to a workflow notification, and managers can approve the transactions of their direct
reports. In addition, you can update the status of transactions in the Procurement Card
Transactions window. The statuses you select for the Do Not Pay If Status Is option in
the Card Programs window determine whether Payables will allow you to pay a
transaction with a particular status.
•
Approved. All approvals are complete and the transaction is ready for
procurement card issuer invoice creation.
•
Disputed. A card holder or manager assigns this status to a distribution to indicate
that there is a dispute over the transaction.
•
Hold. A card holder assigns this status to a distribution to indicate that there is a
problem with the transaction.
•
Personal. A card holder uses this status to indicate that a transaction was personal.
•
Rejected. Workflow assigns this status to a transaction if the manager denies
approval for the transaction.
•
Validated. The Procurement Card Transactions Validation program assigns this
status to a transaction if it was successfully validated.
•
Verified. The card holder has verified the transaction either in the Procurement
Card Transactions Verification page or by using workflow.
Amount. Amount of the transaction distribution.
Account. Account to which the transaction distribution will be charged. The
Procurement Card Transactions Validation program builds accounts depending on how
you set up your card profile. Card holders can change the default account by using the
Procurement Card Transactions Verification page. In addition, you can override the
account in this window.
Description. Description of the transaction distribution. This will be the invoice
distribution description (unless you summarize by GL Account when you submit the
Create Procurement Card Issuer Invoice program).
Account Description. Payables displays the description of the account.
Procurement Card Transactions Validation
Use the Procurement Card Transactions Validation program to validate the
procurement card transactions you import from your card issuer. This program
identifies exceptions such as undefined card numbers, invalid transaction or posted
4-24 Oracle Payables User's Guide
currency codes, and invalid card codes. This program also builds the default GL
accounts for the transactions based on options you selected when setting up your credit
card programs and card profiles. This program populates all foreign keys and validates
foreign key values in the table.
The program creates a report that lists all validated transactions and all transactions
that could not be validated. Once a transaction has been validated, it is not listed on any
subsequent reports. In addition, it creates default accounting distributions for all
records in AP_EXPENSE_FEED_LINES for which the CREATE_DISTRIBUTION_FLAG
is Y. You can also use this report to review existing accounting distributions for
transactions that have already been validated.
The status of a transaction after the successful completion of the Procurement Card
Transactions Validation is contingent upon the Employee Notification Method (ENM)
and Manager Notification Method (MNM) setting in the Profiles window. If both the
notification settings are set to None, then the transaction status is automatically set to
Approved. If neither Employee Verification nor Notification is required, but Manager
Notification or Approval is required, then the transaction status is set to Verified. For all
other combinations of these settings, the transaction status is set to Validated.
MNM
MNM = None
MNM = Approval or
Notification
ENM = None
ENM = Verification or
Notification
Approved
Validated
Verified
Validated
Program Submission
You submit this report from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Selected Program Parameters
Card Program. The name of the card program for which you want to validate
procurement card transactions.
Transaction Start Date and Transaction End Date. If you want to limit validation to
transactions within a particular posted date range, enter the date range. If you enter a
date range, the report selects all transactions where the value for
AP_EXPENSE_FEED_LINES.POSTED_DATE is within the date range.
Selected Report Headings
Rejection Reason. For each transaction, the program checks for the following rejections
in the following order. For each record, the program stops searching when it finds a
Expense Reports and Credit Cards 4-25
rejection, and it prints that rejection on the report.
•
INVALID CARD NUM. Invalid Card Number. The Card Number does not match
a defined procurement card.
•
DUPLICATE REFERENCE. Duplicate Reference Number. Another transaction
exists with this reference number.
•
INVALID POST CURR. Invalid Posted Currency. The Posted Currency does not
match any currency defined in the Currencies window.
•
INVALID TRX CURR. Invalid Currency. The transaction currency does not match
any currency defined in the Currencies window.
•
INVALID CARD CODE. The card code does not match any card code defined in
the card code set for this credit card program.
•
DIST REQUIRED. Distribution Required. A distribution must be created because
employee verification or manager approval is required at the credit card profile
level for this transaction.
•
INVALID ACCOUNT. Cannot determine account. An account cannot be
determined.
Card Number. Card number to which the transaction was charged.
Employee. Employee in your organization who is the procurement card holder.
Card Profile. Card profile assigned to the procurement card.
Post Date. Date the merchant posted the transaction.
Date. Date of the transaction.
Reference Number. Unique number for the transaction, assigned by the card issuer.
Merchant Name. Merchant that recorded the transaction.
Account. Default GL account to which you will charge the transaction. For details on
how Payables builds the GL account, see: Default Account Template, Oracle Payables
Implementation Guide.
Currency. Currency of the credit card program. The posted currency of all transactions
you load for a card program should match the credit card program currency.
Amount. Transaction amount, in the credit card program currency.
Card Transaction Count. Total number of transactions recorded for the procurement
card during the date range you specified when you submitted the report.
Card Transaction Total. Total amount of transactions recorded for the procurement
card during the date range you specified when you submitted the report.
4-26 Oracle Payables User's Guide
Create Procurement Card Issuer Invoice
This program creates invoices for your procurement card issuers in the Payables Open
Interface tables. This program selects all records for a given date range in
AP_EXPENSE_FEED_DISTS with a status of at least Validated. The program will not
select any statuses that you have specifically excluded from payment in the Card
Programs window. Also, the program will not select any records that have been
previously selected by the program. If you choose to summarize the transactions, the
system will create a single invoice for each unique combination of GL Account and Tax
Code. In addition, if you summarize the transactions, the report will display only the
Line, Account, and Amount.
After this program creates invoices in the Payables Open Interface tables, they can be
imported into Payables for approval and payment using the Payables Open Interface
Import program. When you run Payables Open Interface Import, enter Procurement
Cards in the Source parameter.
Program Submission
You submit the Create Procurement Card Issuer Invoice program from the Submit
Request window. See: Submitting Standard Reports, Programs, and Listings, page 9-1.
Prerequisites
•
Submit Procurement Card Transactions Validation, page 4-24.
•
Employees and managers have completed any verification or approval of the
transactions that your organization requires. See: AP Procurement Card Employee
Verification Workflow, Oracle Payables Implementation Guide and AP Procurement
Card Manager Approval Transaction Workflow, Oracle Payables Implementation
Guide.
•
Card program administrators or profile administrators make any necessary
adjustments to procurement card transaction distributions in the Procurement Card
Transactions window. See: Procurement Card Transactions Window, page 4-23.
Selected Program Parameters
Card Program. If you want to limit the import to a single card program, enter the card
program name.
Transaction Start Date and Transaction End Date. If you want to limit transfer to
transactions within a particular posted date range, enter the date range in these fields.
Roll Up Transaction by Account. Enter Yes if you want to create one record in
AP_INVOICE_LINES_INTERFACE for each code combination ID. Enter No if you want
to create one record in AP_INVOICE_LINES_INTERFACE for each record in
AP_EXPENSE_FEED_DISTS. If you summarize the records, the report will not display
Expense Reports and Credit Cards 4-27
the following Headings: Transaction Date, Employee, Card Number, and Merchant
Name.
Selected Program Headings
Invoice Number. Payables concatenates the unique identifier with the invoice date.
Invoice Amount. Total invoice amount.
Invoice Currency. Currency of the invoice.
Card Issuer. Name of supplier that issued the procurement card. The invoice is created
for this supplier.
Payment Site. Supplier payment site.
Line. Transaction line number.
Employee. Employee in your organization who is the procurement card holder for the
transaction.
Card Number. Card number to which the transaction was charged.
Merchant Name. Merchant that recorded the transaction.
Account. GL account to which you will charge the transaction amount. This account
was built by the Procurement Card Transactions Validation program.
Amount. Amount of the transaction.
Invoice Line Count. Total number of transaction lines for the invoice.
Procurement Card Transactions Verification Process
The AP Procurement Card Employee Verification workflow is a predefined workflow
that you initiate after you submit the Procurement Card Transactions Validation
program. You initiate the AP Procurement Card Employee Verification workflow by
submitting the Procurement Card Transactions Verification Process from the Submit
Request window. This workflow determines whether Workflow will notify a card
holder of transactions created with the card holder's credit card, and determines if the
card holder is required to verify the transactions.
Prerequisites
•
Install and configure Oracle Workflow. See: Installing Oracle Applications.
•
Set up the AP Procurement Card Employee Verification Workflow. See: AP
Procurement Card Employee Verification Workflow, Oracle Payables Implementation
Guide.
Program Parameters
Card Program. If you want to limit the workflow to a single card program, enter the
4-28 Oracle Payables User's Guide
name of the card program. Leave blank to submit the workflow for all card programs.
Employee Name. If you want to submit the workflow for a single card holder, enter the
employee name. To submit the workflow for all card holders, leave blank.
Feed Distribution Status. To limit the workflow to transactions with a particular
status, enter the status. Leave blank to submit the workflow for transactions regardless
of their status.
Procurement Card Transactions Approval Process
The AP Procurement Card Manager Approval Transaction workflow is a predefined
workflow that you can initiate to notify managers of transactions incurred by their
direct reports. You initiate the AP Procurement Card Manager Approval Transaction
workflow by submitting the Procurement Card Transactions Approval Process from the
Submit Request window. The AP Procurement Card Manager Approval Transaction
workflow determines whether workflow will notify a manager of transactions created
by a direct report's procurement card, and also determines if the manager must approve
the transactions.
Prerequisites
•
Install and configure Oracle Workflow. See: Installing Oracle Applications.
•
Set up the AP Procurement Card Manager Approval Transaction workflow. See: AP
Procurement Card Manager Approval Transaction Workflow, Oracle Payables
Implementation Guide.
Program Parameters
Manager Name. To limit the workflow to a single manager, enter the manager's name.
Leave blank to submit the workflow for all managers.
Credit Card Management
This section describes the programs and reports that you use to manage your credit
card transactions for expense reporting.
Credit Card Transactions Validation Program
Use the Credit Card Transactions Validation program to validate the credit card
transactions data from your card issuer. The program processes all transactions for a
given card program, including transactions belonging to inactive employees.
After you run the Credit Card Transactions Validation program, use the report
available in the Internet Expenses Credit Card Transaction Administration pages to
view all validated transactions and all transactions that could not be validated.
Expense Reports and Credit Cards 4-29
Once a transaction has been validated, it is not listed on any subsequent reports. Once
you validate credit card data, employees can enter these transactions on expense
reports.
You can perform the load and validate steps in one step by running one of these seeded
Request Sets from the Submit Request Set window:
•
American Express Transaction Load and Validate
•
Diner's Club Transaction Load and Validate
•
US Bank Visa Transaction Preformat, Load, and Validate
•
MasterCard CDF Transaction Load and Validate
Program Submission
You submit this report from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Prerequisite
•
Load the credit card data into the AP_CREDIT_CARD_TRXNS_ALL table using the
appropriate loader program. See: Credit Card Transaction Loader Programs, Oracle
Payables Implementation Guide.
Selected Program Parameters
Card Program. The name of the card program for which you want to validate credit
card transactions.
Transaction Start Date and Transaction End Date. If you want to limit validation to
transactions within a particular posted date range, enter the date range.
Credit Card Transactions Inactive Employees Process
Use the Credit Card Transactions Inactive Employees Process and report to initiate the
Credit Card Transactions Inactive Employees workflow to detect and process
unsubmitted credit card transactions for inactive employees. If unsubmitted
transactions exist, the workflow process notifies the employee's manager to submit
these transactions and assigns the manager the employee's securing attribute (if the
employee and manager belong to the same organization). The workflow only processes
each unsubmitted transaction once.
The Credit Card Transactions Inactive Employees Process generates a report that lists,
by inactive employee, the outstanding credit card transactions that have not been
invoiced or paid. The report lists all outstanding transactions, including transactions not
picked up by the workflow process.
4-30 Oracle Payables User's Guide
Program Submission
You submit this process from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Selected Program Parameters
Card Program. The name of the card program for which you want to process
unsubmitted credit card transactions for inactive employees.
Billed Start Date and Billed End Date. Enter the date range to use for the process and
report.
Create Credit Card Issuer Invoice
This program creates invoices for your credit card issuers in the Payables Open
Interface tables, imports them into Payables for approval and payment, and generates a
report. You only run this program if your company is responsible for paying corporate
credit card charges to the card issuer, that is, where the setting for Payment Due From
of the applicable card program is Both or Company. The program will not select any
records that have been previously selected by the program.
Program Submission
You submit the Create Credit Card Issuer Invoice program from the Submit Request
window. See: Submitting Standard Reports, Programs, and Listings, page 9-1.
Prerequisites
•
Define an expenses clearing account in either the Card Programs window or the
Payables Financials Options window.
•
Submit the Credit Card Transactions Validation program.
Selected Program Parameters
Card Program. If you want to limit the import to a single card program, enter the card
program name. The program runs for Travel card programs only.
Transaction Start Date and Transaction End Date. If you want to limit transfer to
transactions within a particular posted date range, enter the date range in these fields.
Related Topics
Credit Card Transaction Administration, Oracle Internet Expenses Implementation and
Administration Guide
Expense Reports and Credit Cards 4-31
Expenses Overdue Receipts Tracking Program
The Expenses Overdue Receipts Tracking program tracks overdue and missing receipts
on expense reports. The program initiates the Receipts Overdue Process or the Receipts
Missing Process of the Expense Receipts Workflow for the applicable expense reports of
the operating units included in the program run. The Receipts Overdue Process is
initiated for expense reports with overdue receipts and the Receipts Missing Process is
initiated for expense reports that require a receipt document.
The Expenses Overdue Receipts Tracking program determines which expense reports
have overdue or missing receipts according to the active Notification rule set assigned
to the operating unit. See: Managing Receipt Notifications, Oracle Internet Expenses
Implementation and Administration Guide for more information.
The Expenses Overdue Receipts Tracking program also evaluates the Audit List rule
"Receipt package received after the maximum number of days" and places users on the
audit list if the rule is violated. The process of placing users on the audit list includes
these activities:
•
Compares the value in the "Receipt package received after the maximum number of
days" rule to the difference between the expense report submit date and the system
date, if the receipts are not received, or the difference between the expense report
submit date and the receipts received date, if the receipts are received.
•
Evaluates all expense reports with a receipt status other than Not Required and
Waived.
•
Places the user on the audit list in either of these cases: Receipts have not been
received within the policy requirements; or Receipts have been received but after
the number of policy days.
•
If the user is already on the audit list, the program updates the end date.
You submit the Expenses Overdue Receipts Tracking program from the Submit Request
window. See: Submitting Standard Reports, Programs, and Listings, page 9-1.
Program Parameter
Operating Unit. Enter an operating unit if you want to limit the program run to a single
operating unit. Leave this field blank to run the program for all operating units.
The Expenses Overdue Receipts Tracking program only runs on operating units that
have an active Notification rule set assignment.
Upload Accumulated Mileage program
Use the Upload Accumulated Mileage program to upload the accumulated mileage
details of employees.
4-32 Oracle Payables User's Guide
Due to the difference in rates and tax consequences in some countries, the mileage rates
paid to employees can depend on their accumulated mileage for a fiscal year. In the
event of a mid-year implementation of Oracle Internet Expenses, you can upload the
accumulated mileage details of the employees for the fiscal year using the Upload
Accumulated Mileage program.
The accumulated mileage details must be presented in a semi-colon delimited ASCII file
format with the following details:
•
Employee Number. The employee number stored in the Human Resources module.
•
Accumulated Mileage. The accumulated mileage for the employee for the current
fiscal year.
•
Decimal. Whether the accumulated mileage details entered has a decimal value. A
value of 1 specifies that there is one decimal place; 0 specifies that there are no
decimal places.
The program uses the employee number to retrieve the name of the employee from the
human resources module. The program creates a row in the
AP_WEB_EMPLOYEE_INFO_ALL table for all employees whose accumulated mileage
details are successfully uploaded. The accumulated mileage details are stored in
kilometers.
The output report will show all parameters selected for the program, the total number
of records in the file, and the number of rows that are successfully uploaded. Details of
failed upload of rows because of invalid employee numbers, or inactive employees will
also be provided in the output file.
Program Submission
You submit this process from the Submit Request window. See: Submitting Standard
Reports, Programs, and Listings, page 9-1.
Prerequisites
•
Create a mileage schedule and assign it to the template
Important: You must not run the Upload Accumulated Mileage
program after you enable the ends users to use Internet Expenses and
go live with Oracle Internet Expenses.
Parameters
File Name. Enter the filename including the full filepath.
Organization. Enter an organization to limit the program run to this operating unit
only. Leave the field blank to run the program for all organizations.
Expense Reports and Credit Cards 4-33
Period Date. Enter all active periods in the mileage schedule with distance threshold
rules available to the selected organization through expense templates.
Distance Unit of Measure. Enter the unit of measure for distance. The options are Miles
and Kilometers.
Related Topics
Uploading Accumulated Mileage for Mid-Year Implementations, Oracle Internet
Expenses Implementation and Administration Guide
Credit Card Historical Transactions Management Program
Use the Credit Card Historical Transactions Management program to deactivate unused
transactions. You can select transactions to deactivate by specifying a date range,
operating unit, card number, and transaction amount.
The Credit Card Historical Transactions Management program is designed to
deactivate credit card transactions that were imported and validated in Internet
Expenses prior to going live with the credit card integration. You can also use the Credit
Card Historical Transactions Management program to handle exceptions, such as for
unused transactions belonging to a terminated employee.
The Credit Card Historical Transactions Management program categorizes as Historical
all transactions that satisfy the criteria that you specify in the program parameters. Once
categorized, they are no longer available in the Expenses Entry flow. In addition, these
transactions are not processed by any of the Outstanding Credit Card Transaction
processes.
You can access transactions that are marked as Historical from the Credit Card
Transactions History page. If any transactions were deactivated in error, use the Credit
Card Historical Transactions Management program to reactivate them.
Important: Oracle strongly recommends that you not run the Credit
Card Historical Transactions Management program on transactions
created after you go live with the credit card integration in Oracle
Internet Expenses, especially if you use either the Company Pay or Both
Pay payment options. Deactivating valid transactions could affect the
entire expense accounting and credit card provider payment processes.
The Credit Card Transactions Deactivation/Activation report is generated automatically
when you run the Credit Card Historical Transactions Management program. The
Credit Card Transactions Deactivation report provides details of deactivated
transactions. The Credit Card Transactions Activation report provides details of
reactivated transactions. The reports include employee name, posted date, transaction
amount, card number, merchant name, location, and supplier name for the applicable
transactions.
Submit the Credit Card Historical Transactions Management program from the Submit
4-34 Oracle Payables User's Guide
Request window. See: Using Standard Request Submission, Oracle Applications User's
Guide.
Program Parameters
Process. Enter Deactivate Transactions to deactivate unused transactions. Enter Activate
Transactions to reactivate transactions that were deactivated in error. This is a required
field.
Posted Start Date. Enter the earliest transaction posted date to include in the program
run. If you leave this field blank, the program run includes all transactions prior to the
posted end date that have not been saved or submitted on expense reports.
Posted End Date. Enter the latest transaction posted date to include in the program run.
This is a required field.
Operating Unit. Enter an operating unit to limit the program run to this operating unit
only. Leave the field blank to run the program for all operating units.
Card Number. Enter a credit card account number to limit the program run to this
credit card account only. You can search for a credit card account by card number,
employee name, or card program name.
Leave the field blank to run the program for all accounts.
Transaction Amount. Enter a transaction amount to limit the program run to this
transaction amount only. Leave the field blank to run the program for all transaction
amounts.
Send Notification. Enter Yes to send a Deactivated Transactions workflow notification
to employees about the transactions that were deactivated.
Report Headings
Employee Name. The employee who incurred the expense.
Posted Date. The date that the transaction was posted.
Amount. The transaction amount.
Card Number. The credit card number.
Merchant Name. The merchant name where the expense was incurred.
Location. The expense location
Card Provider Name. The credit card provider name.
Managing Credit Card Outstanding Transactions
After importing and validating credit card transaction files, use the Credit Card
Outstanding Transactions programs and reports to identify and manage transactions
that were not imported into Payables and require further action. A transaction appears
in any of the Credit Card Outstanding Transactions reports until the expense report to
Expense Reports and Credit Cards 4-35
which it belongs is imported into Payables.
There are three programs for managing credit card outstanding transactions:
•
Credit Card Outstanding Transactions Management (Details)
•
Credit Card Outstanding Transactions Management (Summary)
•
Credit Card Outstanding Transactions Management (Aging)
Each program generates a report for the extracted data. When you run the Details or
Aging program, Payables also notifies the necessary personnel of the outstanding
transactions. If a transaction has not been included in an expense report, or included in
an expense report that was not submitted, a notification is sent to both the employee
and the manager indicating the amount and date of the transaction. If an expense report
requires manager approval, a notification is sent to the manager with the corresponding
expense report number.
Credit Card Outstanding Transactions Management (Details)
Use the Credit Card Outstanding Transactions Management (Details) report to print
detailed information about the outstanding transactions of a particular credit card
program. The report orders results by transaction date and amount. You can run this
report for all employees, current employees only, or inactive employees only.
Report Submission
You submit Credit Card Outstanding Transactions Management (Details) from the
Submit Request window. See: Submitting Standard Reports, Programs, and Listings,
page 9-1.
Selected Report Parameters
Card Program (required). Enter the credit card program for which you want to view
outstanding transactions.
Employee Status. Enter one of these options:
•
All Current and Inactive Employees. Include outstanding transactions for all
current and inactive employees.
•
All Inactive Employees. Include outstanding transactions for inactive employees
only.
•
Current Employees. Include outstanding transactions for current employees only.
This is the default.
Employee Name. Enter an employee name, if you want to run the report for this
employee only.
4-36 Oracle Payables User's Guide
Include Direct Reports. This parameter works in conjunction with the Employee Name
parameter. Enter one of these options:
•
Yes. If the employee is a supervisor and this supervisor has direct reports, the
program runs for the supervisor's transactions and all direct report transactions.
•
No. The program runs for the employee transactions only. This is the default.
Send Notifications. Enter one of these options:
•
No. Submit the report without sending any notifications. This is the default.
•
Notify Individuals Only. Send notifications of outstanding transactions to
employees only.
•
Notify Individuals and Managers. Send notifications to employees and managers.
Minimum Transaction Amount. Minimum transaction amount to process. The
program only processes transactions with amounts greater than the value you enter.
Billed Start/End Date. Date range for the program. The program only processes
transactions within the date range you enter.
Selected Report Headings
Employee Name. Name of the employee with outstanding transactions.
Card Number. Credit card number to which the transactions were charged. The report
only prints the last four digits of the card number.
Billed Date. The transaction billing date.
Billed Amount. Transaction amount, in the credit card program currency.
Reference Number. Unique number for the transaction, assigned by the card issuer.
Merchant Name. Place of business that recorded the transaction. For example, the name
of a hotel or restaurant.
Expense Report Number. Number of the expense report submitted for this transaction
(if an expense report was submitted).
Status. Reason the transaction is outstanding.
Credit Card Outstanding Transactions Summary Report
Use the Credit Card Outstanding Transactions Summary Report to view summary
transaction information of a particular credit card for one or more employees. The
report orders results by manager and employee, and shows for each employee the
employee status and total amount outstanding. The report includes outstanding
transaction subtotals for each manager.
Expense Reports and Credit Cards 4-37
Report Submission
You submit the Credit Card Outstanding Transactions Summary Report from the
Submit Request window. See: Submitting Standard Reports, Programs, and Listings,
page 9-1.
Selected Report Parameters
Card Program (required). Enter the credit card program for which you want to view
outstanding transactions.
Employee Status. Enter one of these options:
•
All Current and Inactive Employees. Include outstanding transactions for all
current and inactive employees.
•
All Inactive Employees. Include outstanding transactions for inactive employees
only.
•
Current Employees. Include outstanding transactions for current employees only.
This is the default.
Employee Name. Enter an employee name, if you want to run the report for this
employee only.
Include Direct Reports. This parameter works in conjunction with the Employee Name
parameter. Enter one of these options:
•
Yes. If the employee is a supervisor and this supervisor has direct reports, the
program runs for the supervisor's transactions and all direct report transactions.
•
No. The program runs for the employee transactions only. This is the default.
Billed Start/End Date. Date range for the program. The program only processes
transactions within the date range you enter.
Selected Report Headings
Manager. The employee's manager.
Employee Name. Name of the employee with outstanding transactions.
Status. The employee's status.
Total Due. The total transaction amount outstanding for the employee.
Credit Card Outstanding Transactions Management (Aging)
Use the Credit Card Outstanding Transactions Management (Aging) program and
report to review aging information on outstanding transactions of a particular credit
card for one or more employees. The report is in three parts:
4-38 Oracle Payables User's Guide
•
the first part shows a summary of all transactions by status grouping;
•
the second part shows a breakdown of transactions by employee and employee
manager with aging information and disputed transactions (if any);
•
the third part explains each transaction status and to which status grouping it
belongs.
If you use Oracle Human Resources and define jobs and employee/supervisor
relationships, you can send escalation notifications concerning outstanding
transactions. You can send notifications to employees only, employees and managers,
or employees, managers and personnel at higher job levels, according to your Oracle
Human Resources definitions.
Report Submission
You submit Credit Card Outstanding Transactions Management (Aging) from the
Submit Request window. See: Submitting Standard Reports, Programs, and Listings,
page 9-1.
Selected Report Parameters
Card Program (required). Enter the credit card program for which you want to view
outstanding transactions.
Employee Name. Enter an employee name, if you want to run the report for this
employee only.
Include Direct Reports. This parameter works in conjunction with the Employee Name
parameter. Enter one of these options:
•
Yes. If the employee is a supervisor and this supervisor has direct reports, the
program runs for the supervisor's transactions and all direct report transactions.
•
No. The program runs for the employee transactions only. This is the default.
Send Notifications. Enter one of these options:
•
No. Submit the report without sending any notifications. This is the default.
•
Notify Individuals Only. Send notifications to employees only.
•
Notify Individuals and Managers. Send notifications to employees and managers.
•
Notify with Escalations. Send notifications to employees and managers, and send
escalation notifications to personnel up the employee/supervisor hierarchy, to the
job level limit specified in the Escalate Job Level Limit parameter.
If this option is selected, the employee's manager would always receive a
notification, no matter which aging bucket the transactions fall in. The notification
Expense Reports and Credit Cards 4-39
also informs the manager whom escalation notifications will be sent to.
The escalation notifications are not sent if transactions fall in the first aging bucket.
Once they fall in the second aging bucket, the manager's manager is notified. If the
transactions fall in the third bucket, notifications go up another level, and finally
one last level for the fourth bucket. Escalations go up at most three levels above the
employee's manager.
Note: Notifications might not be sent to all managers before the
highest level manager. For example, if transactions are in the oldest
bucket when escalation notifications are first sent, only the highest
level manager possible is notified.
Escalate Job Level Limit. If you are sending escalation notifications, enter the number
that represents the highest job level limit that you want escalation notifications sent to.
The number of job levels in your organization is defined in the Oracle HRMS Job
window.
Note: Enter a number between 1 and 4, with 1 representing the
employee's manager.
Dispute Grace Days. Enter the number of grace days before disputed transactions are
reported in higher aging buckets and therefore included in escalation notifications. The
default is 60.
Aging Bucket - 1. Enter the number of days for the first aging bucket. The default is 15.
Aging Bucket - 2. Enter the number of days for the first aging bucket. The default is 30.
Aging Bucket - 3. Enter the number of days for the first aging bucket. The default is 45.
Selected Report Headings
Manager. The employee's manager.
Employee Name/Status. Name of the employee with outstanding transactions, and the
employee's current status.
Transaction Status. The status groupings for transactions: Employee Pending, Manager
Pending, AP Pending, Sys Admin Pending.
0-15 Days. The amount due for the first aging bucket.
16-30 Days. The amount due for the second aging bucket.
31-45 Days. The amount due for the third aging bucket.
46+ Days. The amount due for the fourth aging bucket.
4-40 Oracle Payables User's Guide
Related Topics
Enterprise Modeling, Using Oracle HRMS - The Fundamentals
Expense Reports and Credit Cards 4-41
5
Payments
This chapter covers the following topics:
•
Payables and Receivables Netting
•
Creating Single Payments
•
Refunds
•
Paying Invoices From the Invoice Workbench
•
Creating Multiple Payments
•
Using the Home Tab
•
Using the Payments Dashboard
•
Creating Payment Process Request Templates
•
Initiating Payment Process Requests
•
Creating Payment Instructions
•
Working with Payments
•
Creating Foreign Currency Payments
•
Creating Zero-Amount Payments
•
Bills Payable
•
Update Matured Bills Payable Status Program
•
Bills Payable Maturity Date Report
•
Reviewing and Adjusting Payments
•
Reconciling Payments with Oracle Cash Management
•
Payments Manager Page Reference
•
Payments Window Reference
Payments 5-1
Payables and Receivables Netting
The Payables and Receivables Netting feature enables the automatic netting of Payable
and Receivable transactions within a business enterprise. You can predefine a netting
agreement that incorporates the netting business rules and transaction criteria needed
to run your tailored netting process. The netting process automatically creates the
Payables payments and Receivables receipts required to clear a selected number of
Payables and Receivables transactions.
Netting Agreement
A netting agreement controls how a group of trading partners net Payables and
Receivables transactions. You can create a netting agreement for each group of trading
partners that agrees to net transactions. Netting agreements include the business rules
that define the types of transactions that may be selected for netting, and which
suppliers and customers can be netted.
General Ledger Setup Prerequisites
•
Define a netting control account.
•
Define the exchange rate types if using multi-currency netting.
Cash Management Setup Prerequisites
•
Define a netting bank account.
•
Define the bank account at the legal entity level.
•
Define the netting control account.
•
Enable the Multi Receipt Currency check box for each netting bank account. This
option lets you create receipts in foreign currencies.
Receivables Setup Prerequisites
•
Before multiple customers are netted, you must set up a paying relationship for the
customers.
•
Associate the bank account used in the netting agreement with the AP/AR Netting
receipt class.
•
Enable the Allow Payment of Unrelated Transactions Receivables System Option.
See: Transactions and Customers System Options, Oracle Receivables Implementation
Guide.
5-2 Oracle Payables User's Guide
To create a netting agreement:
1.
Select the Netting Agreement tab.
2.
In the Netting Agreements page, select the Create Agreement button.
3.
In the Create Netting Agreement: Business Rules page, enter the required
information and any needed optional information. The following fields are
optional:
•
Trading Partner Reference - Enter any desired reference.
•
End Date - Enter a date. Leaving the field blank results in no term limit.
•
Trading Partner Approval Required - If you want to require approval by the
trading partner, check the check box. Checking the check box displays the
required Approver Name list of values and the No Response Action drop-down
list.
Each trading partner approver must have an email address defined.
•
No Response Action - You can choose from the following values:
•
Reject - Treat a non-response from the approver as a rejection and reject the
batch.
•
Approve - Treat a non-response from the approver as if it was an approval.
4.
In the Netting Preferences region, enter the required and optional criteria needed to
create the desired netting agreement.
5.
In the Payables Invoice Types region, if the Select only Invoices matched to
Purchase Orders with Outsourced Assemblies drop-down list is displayed, select
one of the following:
•
Yes - Only invoice lines that are matched to purchase order lines with
outsourced assembly items are selected for netting.
•
No - Only invoice lines that are matched to purchase order lines with
non-outsourced assembly items are selected for netting.
•
Disregard - Select all Payables invoices for netting without regard to outsourced
assembly items.
For information on enabling and using the Select only Invoices matched to Purchase
Orders with Outsourced Assemblies drop-down list, see: Chargeable
Subcontracting, page 5-4.
Payments 5-3
6.
Select the invoice type of the invoices that are available for netting. At least one
invoice type must be selected.
7.
In the Receivables Transaction Types region, select the transaction type of the
invoices that are available for netting. At least one transaction type must be
selected.
8.
In the Trading Partners region, enter values for the trading partner priorities and
select the suppliers and customers that are available for netting.
•
The priority value determines the order in netting transactions The customer
transaction with the highest rank is netted first. If all customers have a priority
of 1, then there is no priority for selecting transactions and they are ordered
based on the Netting Order rule.
If you choose to prioritize the customers for netting, then the priority must be
entered in sequence and as unique whole numbers, such as; 1, 2, and 3.
•
Site - If you select a supplier but do not select a specific site, the application
includes all the suppliers' sites for netting.
•
Location - If you select a customer but do not select a specific location, the
application includes all the customers' locations for netting.
Chargeable Subcontracting
Chargeable subcontracting is used in Japan for outsourced assemblies (OSA). If you
have enabled chargeable subcontracting, you can selectively include or exclude the
invoices with outsourced assembly invoices. In the Select only Invoices matched to
Purchase Orders with Outsourced Assemblies drop-down list on the Create Netting
Agreement: Business Rules page, you can specify how chargeable subcontracting
invoices are included as follows:
•
Select only the invoice lines that are matched to purchase order lines with
outsourced assembly items.
•
Select only the invoice lines that are matched to purchase order lines with
non-outsourced assembly items.
•
Select all the Payables invoices for netting, without regard to outsourced assembly
items.
To enable netting with chargeable subcontracting process invoices, you must first
complete the following:
•
Enable the Chargeable Subcontracting Enabled profile option to display the Select
only Invoices matched to Purchase Orders with Outsourced Assemblies drop-down
list, which enables netting with chargeable subcontracting.
5-4 Oracle Payables User's Guide
•
Enable the JMF: Enable Chargeable Subcontracting profile option.
•
Identify your chargeable subcontracting receivables invoices with your chargeable
subcontracting-specific receivables transaction type.
•
Create a chargeable subcontracting-specific netting agreement for each
manufacturing partner involved with outsourced assemblies.
Related Topics
Profile Options, Oracle Payables Implementation Guide
Netting Batch Process
The netting batch process uses the predefined information from the netting agreement,
together with the information defined in the netting batch, to select the netting business
rules and transactions for netting. You can optionally review the selected transactions
and remove any that should not be a part of the netting batch. After the transactions are
submitted for netting and approved by the trading partner, if required, the netting
process begins. The netting process reconciles and clears the selected transactions for
both Payables and Receivables.
Netting Process
The main components of the netting process includes the following:
•
Create Netting Batch - You enter the netting parameters and the application builds
the desired netting batch. See: Creating a Netting Batch, page 5-7.
•
Review and Modify Netting Batch - Optionally, you can review, add or remove
transactions from the netting batch. See: Review and Modify Netting Batches, page
5-9.
•
Submit Netting Batch - Netting compares the Payables and Receivables balances to
determine the receipt and payment information. See: Submit Netting Batch, page 59.
•
Submit Trading Partner Approval - Optionally, send the Netting Proposal Report to
your trading partner for review and approval of the netting batch. See: Netting
Proposal Report , page 9-100. Send and receive netting batch approval notifications
to the trading partner. See: Submit Trading Partner Approval, page 5-10.
•
Settle Netting Batch - Netting creates the Payables payment and creates and applies
the Receivables receipt which clears the balances in Payables and Receivables. See:
Settle Netting Batch, page 5-11.
•
Netting Batch Details - After a netting batch has been cleared, you can review the
Payments 5-5
details online, which includes the netted transactions as well as the corresponding
payment and receipt information. You can also run the Final Netting Report. See
Final Netting Report , page 9-102. To review the details of the cleared batch, see:
Finalize Netting Batch, page 5-12.
Netting Status
The table below provides a detailed description of each netting status.
Netting Status Table
Status
Enable Delete Icon
System Action if
Deleted
Action Permitted
Running
No
None
Wait for batch to
complete before
deleting.
Selected
Yes
Deletes the batch and
releases the
transactions.
Review batch, you
can delete batch.
Submitted
Yes
Deletes the batch and
releases the
transactions.
Review batch, you
can delete batch.
Suspended
Yes
Deletes the batch and
releases the
transactions.
Review batch, you
can delete batch or
resubmit to trading
partner with updated
information.
Rejected
Yes
Deletes the batch and
releases the
transactions.
Review batch, you
can delete batch or
resubmit to trading
partner with updated
information.
Clearing
No
None
Wait for batch to
complete before
deleting.
Complete
No
None
Reverse enabled. You
cannot delete batch.
5-6 Oracle Payables User's Guide
Status
Enable Delete Icon
System Action if
Deleted
Action Permitted
Error
Yes
Delete the batch and
release the
transactions
Review batch, you
can delete batch or
resubmit to trading
partner with updated
information.
Creating a Netting Batch
The following steps describe the Create Netting Batch process and how it is used.
Step 1 - Enter Netting Parameters
You can create a netting batch by using an existing netting agreement and entering the
new date-specific parameters. The netting agreement contains the trading partners,
terms, and conditions of netting. See: Netting Agreement, page 5-2.
To create a netting batch:
1. In the Netting Batch page, click the Create Batch button.
2.
In the Create Netting Batch page, enter the required and any necessary optional
information. A description for selected fields include the following:
•
•
Netting Agreement - You can select a single netting agreement or leave it blank
to select all the netting agreements. If all the netting agreements are selected,
the transaction selection processes occurs as follows:
1.
All active agreements within the operating unit are included.
2.
All transactions are included that are due on or before the transaction date.
3.
The transaction selection processes occurs by trading partner priority; then
within trading partner, by the netting rules.
4.
If all trading partners are priority 1, then the transactions are processed
based on the netting rules; and within the netting rules, in the supplier
alphabetical order.
Transaction Due Date - The netting process selects all transactions that are due
on or before the date based on the invoice's payment terms. The date can be one
of the following:
•
Payables Pay Through Date - Selects all approved, unpaid, and validated
Payments 5-7
invoices that have a due date on or before the pay through date. If an
invoice has a payment schedule with one or more payment dates, only
those with a payment date on or before the transaction due date is selected.
•
Receivables Due Date - Receivables calculates the due date from the invoice
date and payment terms assigned to this invoice. If a transaction has
installment payments with multiple dates, only the payment with a due
date that is due on or before the transaction date is selected.
•
Settlement Date - The date netting occurs.
•
GL Date - The date entered here supersedes the GL date defined on the
transaction.
•
Response Date - The date by which the trading partner must respond to
workflow approval.
•
Exchange Rate Type - The exchange rate type used for the netting batch.
The list of available exchange rate types depends on the netting agreement
selected. If a netting agreement is selected and it applies the Use Single
Currency netting currency rule, you can select a User exchange rate. If a netting
agreement is not selected, the exchange rate is Spot, Corporate.
•
Submits Batch Without Review - If set to Yes, the batch is submitted for Trading
Partner Approval or Netting Settlement without review. If set to No, you can
review and modify the netting batch.
Find and Order Transactions
The application automatically selects the transactions for netting based on the
parameters entered in the netting batch setup and those entered in the predefined
netting agreement.
When all of the transactions available for netting have been selected, the application
orders the transactions based on the netting order rule and the priority of the trading
partners entered in the netting agreement. See: Netting Agreement., page 5-2.
Compare Payables and Receivables Balance Amounts
The initial Payables and Receivables transactions are selected for netting, and the
netting amount is determined. The amount is determined as follows:
•
If Receivables has a larger outstanding balance than Payables, then the final netting
amount is the sum of the Payables open selected transactions.
•
If Payables has a larger outstanding balance than Receivables, then the final netting
amount is the sum of the Receivables open selected transactions.
5-8 Oracle Payables User's Guide
•
If there is no outstanding balance in Payables or Receivables, then netting does not
occur.
Select and Lock Payables and Receivables Transactions
The Payables and Receivables transactions are selected and locked. No updates are
allowed to these transactions while netting is in process.
Note: Receivables transactions cannot be locked during this step if
trading partner approval is required or it is set to Yes. These transaction
can only be locked after receiving the trading partner's approval.
Review and Modify Netting Batches - Status Selected
In this optional process, you can review, remove, or add transactions before submitting
the netting batch. The Review and Modify Netting Batch process is included in the
netting process if the Review Netting Batch field is set to Yes in the netting batch
parameters. If the Review Netting Batch field is set to No, this step is unavailable and
Submit Netting Batch is the next process available. See: Submit Netting Batch, page 59.
Step 2 - Review Transactions Selected
You can review the transactions selected before submitting the netting batch. The
Netting Proposal report is created, which lists all the transactions selected for netting.
See: Netting Proposal Report , page 9-100 If trading partner approval is required, a copy
of this report is sent to the trading partner approver.
Step 3 - Update Transactions Selected
You can update the selected transactions by adding or removing transactions.
Submit Netting Batch – Status Clearing
The Submit Netting Batch process determines the receipt and payment information. The
following steps describes the Submit Netting Batch process and how it is used.
Final Comparison of Payables and Receivables Balances
The netting process returns the actual net amount that can be netted. A comparison of
the Payables and Receivables balances determines the final netting amount, which is
calculated as follows:
•
If Receivables has a larger outstanding balance than Payables, then the final netting
amount is the sum of the Payables open selected transactions.
•
If Payables has a larger outstanding balance than Receivables, then the final netting
amount is the sum of the Receivables open selected transactions.
Payments 5-9
•
If there is no outstanding balance in Payables or Receivables, then netting still
occurs. For example, if the outstanding balance in Receivables is $800 and the
outstanding balance in Payables is $800, the netting process still occurs and applies
the receipts and closes the invoices to avoid the invoices becoming overdue.
Submit Trading Partner Approval - Status Submitted
The Submit Trading Partner Approval process is included in the netting process if a
trading partner approver was selected in the netting agreement. This is a required
process when the trading partner approval is required. The following steps describe the
Submit Trading Partner Approval process and how it is used.
Step 4 - Submit Trading Partner Approval
The actions that are available during the Submit Trading Partner Approval process are
as follows:
•
Approve Netting Batch
•
Reject Netting Batch
•
No Response to Netting Batch
Approve Netting Batch
If the trading partner approves the netting batch on or before the netting settlement
date, the process continues to the next step to validate the netting batch and moves on
to the final completion of the netting batch process.
If the trading partner has not approved the netting batch by the netting settlement date,
the netting batch status changes to Suspended. The actions available include:
•
Review and modify the netting batch.
•
Delete the batch and unlock the transactions. The unlocked transactions are
available again for settlement by either future netting batch or by cash.
Reject Netting Batch
If the trading partner rejects the netting batch, the status changes to Rejected. The
actions available include:
•
Review and modify the netting batch.
•
Delete the batch and unlock the transactions. The unlocked transactions are now
available again for settlement by either future netting batch or by cash.
No Response to Netting Batch
If the trading partner does not respond to the netting batch workflow notification by the
response date, you can take the following actions:
•
Approve Netting Batch - Assume the lack of response is an approval and process
5-10 Oracle Payables User's Guide
the netting batch in the following step.
•
Delete Netting Batch - Delete the batch and unlock the transactions. This makes the
transactions again available for settlement, which can be from a future netting batch
or by cash.
Validate Netting Batch
When a trading partner's response of Approved is received, the application validates
the netting batch to determine if changes were made. This validation is performed since
none of the Receivables transactions selected for netting are locked.
•
If the Receivables transactions in the netting batch have not changed, the netting
process continues to the next step.
•
If the Receivables transactions in the netting batch have changed, the netting batch
is cancelled.
Receivables Transactions Locked
The Receivables transactions are locked to prevent updating while netting is run.
Settle Netting Batch - Status Clearing
The Netting Batch is finalized when a Payables payment and a Receivables receipt are
created to offset the Payables and Receivables balances due to netting.
Create Payables Payment
The system creates a Payables payment to offset the Payables balance due to netting.
Netting uses Payables to create a Payables payment to offset the Payables balance with
the final netting amount. All the activities required to create a payment are needed
except the actual format and payment creation. The following checks and processes are
performed for netting payments:
•
All netting payments use the Netting payment method, which can be used to
identify netting payments.
•
If a payment is created as cleared, the application ensures that only the created
accounting event is included. The clearing accounting event does not need to be
included because the cash account is not required for netting payments.
•
The Payables transactions associated with the payment and netting settlement are
selected in the netting batch.
•
The grouping rules determine the number of payments created. Examples of
grouping rules include: grouping by payee, payment amount must be zero or more,
and grouping by currency.
•
Determine the number of payments required.
Payments 5-11
•
The amount of each payment and the final netting amount are calculated.
Create and Apply Receipt
A Receivables receipt is created to offset the Receivables balance due to netting. Once
the receipt is created for netting, it cannot be unapplied. The following information
must be determined for the receipt:
•
Receivables Transactions Associated to Receipt - The Receivables transactions
associated with the receipt are selected in the netting batch.
•
Customer Name on Receipt - The customer defined on the receipt is determined by
the customer ranking in the netting agreement or the first customer defined in the
netting agreement.
•
Amount of Receipt - One receipt is created to total the final netting amount.
Finalize Netting Batch - Status Complete
This is the final step in the netting process, where the netting batch status changes to
Complete.
Update Netting Batch Status
The netting batch status changes from Clearing to Complete. While in the Clearing
status, you cannot make any changes to the batch.
Deleting a Netting Batch
You can delete a netting batch and return the transactions to the state they were in
before they were included in the netting process. Deleting the batch releases the
transactions and the batch is not processed any further or settled.
To delete a netting batch in the Batch Simple Search Results page, find the batch you
want to delete and select the Delete icon.
Note: If a netting batch has a status of Suspended, Rejected, or Error,
you must correct the issue and resubmit the batch before Delete is
available.
Reversing a Netting Batch
You can reverse a batch and return it to the state it was in before the netting payment or
the receipt was created for the batch. Only the netting batches with a status of Complete
can be reversed.
1.
To reverse a netting batch In the Netting Batch page with Simple Search results,
find the batch you want to reverse and select Action.
2.
The batch status changes from Complete to Reversing and finally to Reversed when
5-12 Oracle Payables User's Guide
the processes completes.
Running the Generate Netting Batches Program
The Netting Batch process enables you to net Payables invoice balances against
Receivables invoice balances for those customers who are also your suppliers.
For example, if you have a customer who is also your supplier, then rather than them
paying you and then you paying them back, the Netting Batch process enables you to
pay the net difference between how much you owe the supplier, and how much they
owe you.
After establishing a netting agreement with your trading partners, you set up the
agreement and the rules associated to it. Netting agreements add trading partner terms
as well as deploying company controls. The netting batch generating process
automatically pulls information from Oracle Receivables and Oracle Payables, taking
into consideration all the rules and other parameters set up in the netting agreement.
Upon submitting a Netting Batch, a receipt is created in Receivables and a payment is
created in Payables with the netting amount calculated in the netting batch. You can
create and submit netting batches in Oracle Payables and Oracle Receivables.
The Generate Netting Batch concurrent program enables you to schedule the netting
batch creation process. By running this program, you can automatically create netting
batches in specific intervals without manual intervention.
To run the Generate Netting Batch concurrent program, enter information for the
following fields and submit your request:
•
Batch Number
•
Batch Name
•
Agreement Name
•
Currency
•
Status
Creating Single Payments
When you want to create a single payment, rather than an entire payment batch, you
either record a manual payment you generated outside of Payables, or you can create a
Quick payment (single computer generated payment). You can record zero-amount
payments if the disbursement bank account you select allows them.
This discussion includes the following topics:
•
Recording Manual Payments and Wire Transfers, page 5-14
Payments 5-13
•
Paying Invoices with Quick Payments, page 5-16
•
Paying Invoices with Clearing Payments, page 5-18
Recording Manual Payments and Wire Transfers
When you create a payment outside of Payables, for example, using a typed check or
wire transfer, within Payables you can record the payment and update the invoices that
you paid.
Note: A manual payment is the typical way to record a wire transfer.
However, you can also use payment batches and Quick payments.
With a manual payment, you can override some payment controls of Payables. You can
record a single payment for multiple Pay Alone invoices. You can record payment for
invoices that are associated with any Payment Method type, except Electronic. You can
also record a payment for an invoice for a supplier that has the Hold All Payments
option enabled.
Note that if you withhold taxes at payment time, Payables does not automatically
withhold taxes if you pay with a manual payment.
Prerequisites
•
Create the payment outside of Payables.
•
Each invoice you want to pay must be validated, not cancelled, and without holds.
•
If you use Invoice Approval Workflow, then each invoice that requires approval
must be approved before you can pay it.
•
Each invoice must have use either the same currency as the payment or use an
associated fixed-rate currency.
Recording a manual payment
1.
In the Payments window select the Manual Type.
2.
Enter a Trading Partner. The Supplier Number is automatically displayed. If there
are multiple Supplier Sites, select the appropriate site from the list.
3.
Enter the Payment document Date. The date must be in an open period. If the
Allow Pre-Date Payables option is enabled, then you can only predate a
computer-generated payment.
4.
Enter the Bank Account from which you want to make the payment.
5-14 Oracle Payables User's Guide
5.
Select a Payment Method.
6.
Select the type of Payment Document if Printed is selected as the Payment Process
Profile.
7.
Select a Payment Process Profile.
8.
If you have enabled the Allow Remit-to Account Override Payables option, then
you can select a different, active Remit-to account. The list of values includes bank
accounts assigned to the supplier that have the same payment currency.
Important: The system ensures that Quick payments cannot be
created for payment to inactive bank accounts.
9.
Enter a Maturity Date if the Bills Payable payment method is selected.
10. Select a Rate Type.
11. If necessary, enter or adjust other information:
•
If you created the payment for an address different from the supplier site and
your Allow Address Change Payables Option page, Payments tab is enabled,
adjust the address. For example, you may need to send an expense check to a
consultant working at a site away from home.
•
If you record voucher numbers either manually or using Sequential
Numbering, enter or review voucher information.
•
If the payment currency was different from your functional currency, enter
exchange rate information. For more information, see Foreign Currency
Transactions, page 6-1.
12. Choose Enter/Adjust Invoices to navigate to the Select Invoices window. Select the
invoices you paid. The sum of the invoices must equal the payment Amount you
entered. Optionally choose Invoice Overview to see detailed information about an
invoice.
13. Save your work. Payables records your payment and updates the invoices as paid.
If you have selected the wrong invoice, you can select the invoice, and then choose
the Reverse Payment button. This automatically creates a reversal, which
disassociates the invoice from the manual payment. You can now select the correct
invoice.
Related Topics
Selecting Multiple Records, Oracle E-Business Suite User's Guide
Payments 5-15
Entering Flexible Addresses, Oracle Receivables User's Guide
Supplier-Initiated Manual Future Dated Payments, page 5-57
Paying Invoices with Quick Payments
You can create and print a computer generated payment to pay a supplier for one or
more invoices.
When you create a quick payment you can select an invoice regardless of the payments
terms and due date. For example, you can create a Quick payment for an invoice that is
not yet due.
Prerequisites
•
If you are creating an electronic payment, then:
•
You must assign supplier banks to your supplier. See: Defining Bank Account
Details, Oracle iSupplier Portal. The scheduled payment(s) must have the
Remit-to supplier bank specified.
•
If you have defined a payment document that uses an electronic payment
format, and you must use it for the payment.
•
To predate a Quick payment, select the Allow Pre-Date check box in the
Payables Options window, Payment tab.
•
To print the check:
•
Enable the Automatically Print after Formatting set up attribute in the
Payment Process Profile.
•
A payment document must be set up for bank accounts if the Payment
Process Profile Processing Type is set to Print.
•
To create an electronic payment, assign supplier banks to your supplier. See:
Defining Bank Account Details, Oracle iSupplier Portal Implementation Guide. The
scheduled payment(s) must have the Remit-to supplier bank specified.
•
Each invoice you want to pay must be validated, not cancelled, and without holds.
•
If you use Invoice Approval Workflow, then each invoice that requires approval
must be approved before you can pay it.
•
Each invoice must have use either the same currency as the payment or use an
associated fixed-rate currency.
5-16 Oracle Payables User's Guide
Creating a Quick payment:
1.
In the Payments window, if you have access to more than one Operating Unit, then
select the appropriate operating unit, otherwise the default operating unit is
automatically entered.
2.
Enter a Trading Partner. The Supplier Number is automatically displayed. If there
are multiple Supplier Sites, select the appropriate site from the list.
3.
Enter the Payment document Date. The date must be in an open period. If the
Allow Pre-Date Payables option is enabled, then you can only predate a computer
generated payment.
4.
Enter the Bank Account from which you want to make the payment.
5.
Select a Payment Method.
6.
Select the type of Payment Document if Printed is selected as the Payment Process
Profile.
7.
Select a Payment Process Profile.
8.
If you have enabled the Allow Remit-to Account Override Payables option, Invoice
tab, then you can select a different, active Remit-to account. The list of values
includes bank accounts assigned to the supplier that have the same payment
currency.
Important: The system ensures that Quick payments cannot be
created for payment to inactive bank accounts.
9.
Enter a Maturity Date if the Bills Payable payment method is selected.
10. Select a Rate Type.
11. Click Enter/Adjust Invoices to navigate to the Select Invoices window. Select the
invoices you want to pay.
12.
Optionally choose Invoice Overview to review more information about an invoice.
13. Save your work.
If any invoices are subject to withholding tax, a message is displayed. You can
choose to proceed, change your selection, or cancel the process.
If applicable, any Japanese bank charges are then calculated.
Payments 5-17
Quick Payment Restrictions:
NUMBER OF INVOICES: You can only pay as many invoices as you defined for the
remittance advice of the payment document.
SAME SUPPLIER SITE: You can only select invoices that have the same supplier site
as the payment supplier site you enter. You can, however, change the payment mailing
address if the Allow Address Change Payables Option page, Payment tab is enabled.
PAY ALONE INVOICES: The system adjusts the list of values to ensure that you don't
pay a "Pay Alone" invoice when you pay multiple invoices. If you have selected an
invoice for payment and then select more invoices for payment, then Payables does not
include Pay Alone invoices on this list of values. If you select a Pay Alone invoice for
payment then you cannot select more invoices.
PAYING IN A FOREIGN CURRENCY: You must pay in the same currency as the
invoice. You can enter and pay a foreign currency invoice only if your Allow Multiple
Currencies Payables option is enabled, and you have defined a multi-currency or
foreign currency denominated bank account.
CANNOT STOP FORMATTED QUICK PAYMENTS. You cannot stop a Quick
Payment before it has been formatted.
Related Topics
Updating Payments, page 5-66
Voucher Numbers, Oracle Payables I