QAD 2017 Enterprise Edition > User Guides > Internationalization > QAD Internationalization > Country-Specific Solutions > Asia/Pacific
  
Asia/Pacific
China
The following tables describe QAD Enterprise Edition features that resolve specific Chinese requirements.
General Ledger
 
Requirement
QAD Solution
GL Transaction Reports
Chinese financials statements have specific formatting requirements. For example, reports at the transactional level are categorized by cash and bank transactions, foreign currency transactions, and account transfer transactions. Reports must also be printed on blank standard forms that are issued under the governance of Chinese financial authorities; while in some areas of the country it is also possible to format and print the reports on blank paper.
Use Chinese GL Transaction Reports (25.15.7.1) to print financial reports that meet these requirements. You must perform the following functions before printing:
• Enable the Additional GL Numbering option for the entities following Chinese accounting practices. This has the effect of assigning a consecutive transaction ID to any statutory GL posting of an entity, so that the ID appears in Chinese regional reports as a transaction voucher number.
• Run Journal Entry Verify (25.13.1.7) and Journal Entry Approve (25.13.1.8). These functions assign a verifier and approver to each transaction so that their names appear in Chinese regional reports.
The following reports are available for use with this program:
• Cash and Bank Receipt Journal
• Cash and Bank Payment Journal
• Account Transaction Journal
• Foreign Currency Journal
• General GL Journal
• Cash and Bank GL Report
• Subledger Report
• Account Balance of Totals
• Columnar Ledger Report
• General Ledger Report
• Value-Added Tax Payable Ledger
These reporting functions are described in QAD Financials User Guide.
Electronic Accounting Data
It is a requirement by tax Authorities that electronic data to be provided by the company as a source of information for tax auditing. The main source of this data are ERP systems. The scope of data that are subject to this electronic auditing is:
• Accounting
• Invoicing (Sales and Purchase)
• Manufacturing
• Financials (Accounts Payable and Accounts Receivable)
• Taxation
 
Use Accounting Data Export (25.13.23.1) to export files of accounting data in standard format and file types that are required by Chinese financial authorities.
Each export file corresponds to one type of accounting data, and the data elements and file formats are strictly defined. The export files can be in plain text, and include the following:
• Electronic Accounting Book
• Chart of Accounts
• Subsidiary Accounting – Department
• Subsidiary Accounting – Supplier/Customer
• Subsidiary Accounting – Project
• Account Balance and Movement
• GL Voucher
• Balance Sheet
• Income Statement
• Format File
For more information on Accounting Data Export, see QAD Financials User Guide.
GL Transaction Verification
In China, GL transactions are verified and approved in order to prevent fraud. This bookkeeping practice ensures that every transaction of a business is recorded, checked, and approved by authorized signatories. Accordingly, a transaction has its creator, verifier, and approver; these each must be different individuals in the business to ensure that the transactions information is accurate.
The functions on Status Transition Menu (25.3.12) are used in combination with the Verify and Approve activities in the Journal Entry function to define and implement the process to verify and approve transactions.
A status transition defines how the status of a transaction can be changed from one status to the other. You can select from the following verification and approval statuses to customize the flow of status transitions to fit your business requirements.
Verification Statuses:
• Initial
• Verified and Not Passed
• Verified and Corrected
• Verified and Passed
Approval Statuses
• Initial
• Approved and Not Passed
• Approved and Corrected
• Approved and Passed
The Journal Entry Verify (25.13.1.7) and Journal Entry Approve (25.13.1.8) functions assign a verifier and approver to each transaction so that their names appear in Chinese regional reports.
For more information on these options, see QAD Financials User Guide.
Taxes
 
Requirement
QAD Solution
Golden Tax
 
 
The Golden Tax system (called “Jingshui”) is a legal information system in China for processing value added tax (VAT) invoices. The system was established by the Chinese government to prevent tax fraud. When a company doing business in China needs to send VAT invoices to domestic customers, they must first obtain pre-printed blank invoices from Chinese tax bureaus. A unique VAT invoice number appears on each blank invoice to identify its legality.
To support these requirements, the Golden Tax Invoice Process menu (7.13.20.1) provides functions that let you:
• Define invoice types of ordinary or special.
• Define split logic of invoices based on the invoice type.
• Include all customer invoices, including non-taxable invoices and invoices in other currencies.
• Export in XML format to the Golden Tax application.
• Import in XML format from the Golden Tax application.
• View the Golden Tax transaction type in many customer records.
For more information on golden tax, see QAD Global Tax Management User Guide.
Japan
The following table describes QAD Enterprise Edition features that resolve specific Japanese requirements.
 
Requirement
QAD Solution
Delivery Based Invoicing
In Japan, and mainly in the automotive sector, it is a common practice to create customer invoices where the date of the last shipment is used as the invoice, tax point, and posting date.
You can enable this functionality by selecting the Delivery Based Invoicing field in Sales Order Accounting Control (36.9.6). When you select this field, customer invoices are created with the last shipment date used as the invoice, posting, and tax point date. The shipment date is used for the Posting, Invoice, and Tax Point dates in Customer Invoice and Journal Entry.
When this functionality is enabled, the GL effective date is disabled in the following menus:
• Pre-Shipper/Shipper Confirm (7.9.5)
• Pre-Shipper/Shipper Auto Confirm (7.9.7)
• Sales Order Shipments (7.9.15)
• Invoice Post and Print (7.13.4)
• Inventory Usage Create (7.18.13)
• Authorization Usage Create (7.18.14)
• Sequenced Usage Create (7.18.15)
• Shipper Usage Create (7.18.19)
Consumption Tax
In Japan, companies must produce a yearly report showing the consumption tax of all postings made on selected accounts. At a minimum, the report shows the list of accounts, the account description, and the base amount per taxation rate. There are no legal requirements for the report layout.
You can make the consumption tax property available on supplier and customer Invoice postings.
• To enable consumption tax in a domain, select the Use Consumption Tax field on the General tab of Domain Create. When enabled, you can define a default tax code for GL account maintenance on standard and open item accounts with manual posting.
• On the Consumption Tax tab in GL Account Create, you can enable consumption tax for the GL account and specify the tax code to use for consumption tax in each domain that you add. The GL account must be of standard and open item with manual posting.
• The Consumption Tax Code field is available in Customer Invoice Create in the grid on the CI Posting tab and on the Matching Posting tab of Supplier Invoice Create.
• The setup for consumption tax is available to use in GL Account Excel Integration (25.3.13.5) and with the XML Daemon.
AP Bank Charges
In some countries, bank charges apply to payment transfers that you make to your supplier to pay for goods or services. You agree with your supplier who pays these. It must be possible to configure the system to take these charges into account during the AP payment process.
Banks keep a list of the charges that they apply to payments made. These charges are dependent on the bank that you are making the payment to, the amount of money that you are paying, the payment format, and the date of the payment. If your supplier pays for these charges, you can configure the system so that the charges are automatically deducted from the payment that you make to the supplier.
There are a number of steps to complete so that the system is configured to calculate bank charges on payments to suppliers:
• Record bank branch details using Bank Branch Create (31.14.5).
• Record bank charges using AP Bank Charge Create (31.14.1).
• Enable bank charges in your own bank’s GL account.
• Link your own bank account to payment methods, and specify which payment methods incur a bank charge using Bank Payment Format Link (25.11.2).
• Configure the supplier record to show that the supplier pays the bank charge.
• Record the details of the supplier’s bank account.
When paying an invoice using Supplier Payment Create (28.9.3.1), the payment posting date is used to find the valid bank charge rate. The bank charge appears in the Bank Charge Amount field. You can use Journal Entry View to display the details of the accounts that the bank charge and net payment were posted to.
Note When payments are created, the system checks whether the bank currency, the payment currency, and the bank charge table currency are the same. It also checks that the currency is the base currency or statutory currency of the entity where the payment is made. If these conditions are satisfied, the bank charge is applied. Otherwise, the payment is processed without the bank charge.
For more information, see QAD Financials User Guide.