Preparation of VAT Return in 2015

Contents
Preparation of VAT Returns .......................................................................................................................... 2

Preparation of Section 5 Data ....................................................................................................................... 4

VAT Return Structure .................................................................................................................................... 5

Closing for VAT .............................................................................................................................................. 6

Calculating VAT Totals ................................................................................................................................... 7

Creating Electronic VAT Returns ................................................................................................................... 8

Purchase Ledger ..........................................................................................................................................10

Sales Ledger.................................................................................................................................................13

Preparing Data for Sections 10, 11 and 12 ..................................................................................................16

Preparation of VAT Returns

At the end of the month or each quarter, you submit a VAT return to the tax office. For more information on the
structure of the VAT Return, see VAT Return Structure.

Prerequisites

To be able to prepare VAT returns, make the following settings in Customizing for Financial Accounting (New)
under General Ledger Accounting (New) -> Periodic Processing -> Report -> Statutory Reporting: Russia -> VAT
Returns:

1. Create or select existing layout versions of the VAT return, which are then used by the VAT Return
program to prepare XML files in the Maintain VAT Return Versions (view J_3RFVATUMDVC) activity.

2. Assign reporting tax object hierarchies to VAT return sections in the Assign Reporting Hierarchies to
Return Sections (view J_3RVATDSECHIER) activity. Fill out these hierarchies.

To prepare section 2 of the VAT return:

1. Enter tax codes for country RU and Tax Grouping version DTA in Customizing for Financial Accounting
(New) under General Ledger Accounting (New) -> Periodic Processing -> Report -> Sales/Purchases Tax
Returns -> Group Tax Base Balances (view V_T007K). The Deferred Tax Transfer (RFUMSV50) program
would write data to the Tax Balances per Company Code, Tax Code, Processing Key and Client table
(J_3RUMSV) table.

You can also use your own tax grouping versions instead of DTA by defining them in the Name Tax
Grouping Version (view J_3RTAX_VERSION) activity.

2. Define vendors for section 2 on the SAP Easy Access screen under Accounting -> Financial Accounting ->
General Ledger -> Reporting -> Tax Reports -> Russia -> VAT Return -> Define Customers for Tax Agent
Data (view J_3RCUSTOKTMOV).
3. Define vendors for section 2 on the SAP Easy Access screen under Accounting -> Financial Accounting ->
General Ledger -> Reporting -> Tax Reports -> Russia -> VAT Return -> Define Customers for Tax Agent
Data (view J_3RVENDOKTMOV).

Process
1. You perform closing for VAT as described in Closing for VAT.

2. You prepare the XML-based output files for sections 10-12 by using the Invoice Journal. Check the INN and
KPP codes for correctness against the Unified State Register of Taxpayers (EGRN) by selecting the Check
 INN/KPP option under the Output Control group box on the selection screen. All INN and KPP codes must be
up-to-date at the accounting document date.

For more information, see Preparing Data for Sections 10, 11 and 12.

3. You prepare the XML-based output files for sections 8-9 by using the Sales Ledger and the Purchase Ledger.

For more information, see Sales Ledger and Purchase Ledger.

4. You prepare the data for sections 1-7 by following the procedure described in Calculating VAT Totals. The
system stores the total VAT amounts in the Tax Balances per Company Code, Tax Code and Processing Key
table (UMSV) under the run ID of your choice, which you then state when you prepare the VAT return.

5. You prepare the data for section 2 by using the Deferred Tax Transfer (RFUMSV50) program. In the Prepare
Printing of Forms group box, select Entry in UMSV, enter the run date, and a run ID of your choice. The system
stores the total VAT amounts in the Tax Balances per Company Code, Tax Code, Processing Key and Client
table (J_3RUMSV) under this run ID, which you then state when you prepare the VAT return.

6. You prepare the data for section 5 of the VAT return by following the procedure described in Preparation of
Section 5 Data.

7. You prepare the VAT return XML-based output file as described in Creating Electronic VAT Returns.
Preparation of Section 5 Data
Follow this procedure to prepare data for section 5 of the VAT return. For more information on the VAT return, see
Preparation of VAT Returns.

Procedure
1. Calculate the VAT totals for section 5 separately for each individual tax period in the past as described in
Calculating VAT Totals. The system stores the total VAT amounts in the Tax Balances per Company Code,
Tax Code and Processing Key table (UMSV) under a run ID.

2. On the SAP Easy Access screen, choose Accounting -> Financial Accounting -> General Ledger -> Reporting -
> Tax Reports -> Russia -> VAT Returns -> Enter Run IDs for 0% VAT Operations (view
J_3RVATDRFUM0V) and enter the run ID and dates from the previous step.
VAT Return Structure
As of 2015, the VAT return consists of the following sections:

1. Main part (sections 1-7)

1.1. You file section 2 only if you have an active contract for services you perform for a foreign company or a
state authority. Your partner is not registered as a taxpayer in Russia and therefore you must act as a tax
agent and pay the tax for them. You prepare one sheet of section 2 for every partner you have.
1.2. You create section 5 only if you ship goods for export and you have not deducted the VAT on time
because you have not received an incoming VAT invoice from the supplier on time. In this case, you
include data for the period in which you confirmed or not confirmed the goods shipments in section 5 of
the VAT return. You prepare one sheet of section 5 for every period in which there has been a
confirmation or non-confirmation of export operations.
2. Sales ledger and purchase ledger (sections 8 and 9).
3. Additional pages for sales and purchase ledgers (sections 8.1 and 9.1)
4. Outgoing and Incoming Invoice Journals (sections 10 and 11)
5. Invoices from VAT non-payers (section 12)
Closing for VAT

At the end of each period, you carry out the following activities to make sure that the value-added tax (VAT)-
relevant documents are posted correctly, before you prepare your VAT return.

Process
1. Using the Automatic Clearing programs, you check for any payments that you entered without reference to any
invoice, and clear them against the appropriate vendor or customer item.

You carry out this step to ensure that the correct amount of deferred VAT can be recognized.

2. You convert any remaining unassigned payments to down payments (manually).

Normal payment items have no tax code; down payments have a target tax code. You have to pay tax on all open
payments, so you have to convert all payments to down payments so that they will have a target tax code and
thus be included in the VAT return.

We recommend that you post all unassigned payments as down payments to avoid this step.

3. You create the tax transfer documents from the Secondary Events (J_3RFUM26) program. If you need, transfer
the tax items from the deferred VAT account to the tax liability account. To do so, you use the standard Deferred
Tax Transfer (RFUMSV50) program.

The program checks the VAT items on the deferred VAT account. If the report finds an invoice and/or payment
for a VAT item, it recognizes that the VAT is due and thus assigns a target tax code to the VAT item, and
transfers the VAT to the target tax account.

4. You run the Secondary Events program to post the VAT on those business transactions that require a secondary
event in order for the VAT to be recognized.
Calculating VAT Totals
Before you can print a VAT return, the system must add up the total VAT posted under each target tax code. The
system stores the total VAT amounts in the Tax Balances per Company Code, Tax Code and Process.Key table
(UMSV) under a run ID (see below), which you then state when you print the VAT return.

Procedure
1. On the SAP Easy Access screen, choose Accounting -> Financial Accounting -> General Ledger ->
Reporting -> Tax Reports -> General -> Advance Return for Tax on Sales/Purchases -> Advance Return
for Tax on Sales/Purchases (RFUMSV00).

2. On the main selection screen, fill out the following data:

 Company code

 Posting date

 Tax date

Note that document date or VAT date for the documents included in the main VAT return must be in the
current period, document date or VAT date of the documents included in the corrective VAT return must be
in one of the previous periods, and the posting date must be in the current period:

Return Type Document or VAT Date Posting Date

Main return In current period In current period

Corrective return In any of the previous periods In current period

For the corrective VAT return, we recommend you use the same run ID as for the main return, but with a
different run date.

3. In the Output Control group box, select Total by Debit/Credit.

4. In the Posting Parameters group box, enter data as follows:

1. Select Update Documents: Update Run.

2. Enter the program run date and a run ID of your own choice.

5. Click the Execute pushbutton.

Creating Electronic VAT Returns

As of January 1, 2015, all Russian taxpayers are required by law to file the VAT return in electronic form.

You can use the solution described below to do the following:

 Prepare and output the main VAT return in the format prescribed by law

 Prepare and output the VAT return for the Customs Union

 Prepare and output corrective VAT returns for previous tax periods

You can run the program to generate an XML-based output file for the VAT return on the SAP Easy Access screen
under Accounting -> Financial Accounting -> General Ledger -> Reporting -> Tax Reports -> Russia -> VAT
Returns (program J_3RVATDECL).

Prerequisites
You have carried out all the required steps described in Preparation of VAT Returns.

Check file names for XML-based output files of sections 8-12 on the SAP Easy Access screen under Accounting ->
Financial Accounting -> General Ledger -> Reporting -> Tax Reports -> Russia -> VAT Return -> File Names for
VAT Return Sections (view J_3RVATDFILESV).

Activities

Selection Screen

On the selection screen, make the settings as necessary.

Selection Parameters

Enter run dates and IDs of the Advance Return for Tax on Sales/Purchases (RFUMSV00) and the Deferred Tax
Transfer (RFUMSV50) programs. Leave the Correction Number field empty to create a main return or enter a
correction number to create a corrective return. The first correction must have Correction Number 1.
Save to Database

You also have the option of saving program run results to the database and reading them later. When you save the
results to the database, enter an identification key in the Identification field, and when you need to retrieve those
results, use the same identifier. You are advised to use the same identifier across several different periods.

Investment Partnership

You can enter the investment partnership contract date and validity under the Investment Partnership tab.

Output ALV-based List

The output ALV-based list displays a tree with VAT returns on the left side and the contents of the returns on the
right side. The returns are grouped together under the VAT Reporting node. Each child node of the VAT Reporting
node is a main or corrective (if correction number is entered on Selection screen) return. The main or corrective
returns may have tax agent sections.

The contents of the returns are displayed one section at a time. You can choose which section to display by choosing
it from the Section drop-down list.

On this screen, you have the option to generate XML-based output files and save them to a hard drive or server.

Program Log

You can also use the option view the program log by clicking the View Log pushbutton.
Purchase Ledger

You use this report to prepare a copy of the purchase ledger, which you file with the tax authorities as part of the
VAT return.

The purchase ledger lists the vendor invoices that you have paid, together with the payment details, and shows how
much VAT was levied on each. It also shows any input VAT that arises as the result of clearing down payments
made by your customers; and any accounting documents that you have created manually to correct VAT amounts.

To access the report, on the SAP Easy Access screen, choose Accounting -> Financial Accounting -> General
Ledger -> Reporting -> Tax Reports -> Russia -> Purchase Ledger.

Prerequisites
You have:

 Made the settings described in Customizing for Sales and Purchase Ledgers

 Entered purchase orders for imports as described in Entering Purchase Orders for Imports (MM-IV-LIV)

Alternatively, if you do not work with purchase orders, you can also enter the same data in invoices in Accounts
Payable (FI-AP), as described in Entering Invoices from Foreign Vendors.

 Cleared invoices reversed in Materials Management (MM) as described in Clear Reversed Invoices

Features
You can use the report to prepare an ALV list. When you are satisfied that the information in the list is correct, and
you want to prepare a copy of the ledger for the tax authorities, you can generate an XML-based output file to
include in the VAT return.

You can also print out the form in the old format (use versions per decrees 914 of 2009, 1137 of 2012 or 735 of
2014). When you do so, you must activate the line numbering function.

Selection

To improve performance, we recommend that you execute the report in the background.

On the selection screen, you can choose the version of the ledger. If you choose to prepare the VAT return 2015
version of the ledger, specify the VAT return type, calendar year, tax period and, for corrective VAT returns,
correction number.

You can also specify whether you want to create additional sheets for the following purposes:
 To list all those documents of the current fiscal period that reverse documents posted in the previous fiscal
periods

 To list the invoices that have not been posted in time and the fiscal period in which they should have been posted
is already closed

 To list credit memos that are used to reverse documents posted in a previous closed fiscal period

If you select the Create Additional Sheets indicator on the selection screen, the report creates additional sheets to list
these documents as follows:

 If you do not specify a closed fiscal period, the additional sheets list all the documents of the current fiscal
period that reverse documents in any previous fiscal periods

 If you specify a closed fiscal period, the additional sheets include only those documents that reverse documents
in this closed fiscal period

If you have chosen to create a main VAT return, only the main sheet is included in the output. If you have chosen to
create a corrective VAT return, only additional sheets are included.

If you want the report to include invoices that have not been posted in time and credit memos in the additional
sheets, make sure that:

 You fill in the Adjustment Document Type field

In this field you need to enter the same document type that you defined for these types of documents (for more
information, see Customizing for Sales and Purchase Ledgers). If you do not fill in this field, these documents
will be placed in the basic sheet.

 The header text of the credit memo contains a reference to the corrected document in the
format“NNNNNNNNNNYYYY”, where “NNNNNNNNNN” is the number of the corrected document
and “YYYY” is the year when the corrected document was posted.

 The header text of the invoices, which have not been posted in time, contains a reference to itself in the
format “NNNNNNNNNNYYYY”, where “NNNNNNNNNN” is the invoice number and “YYYY” is the year
when the invoice should have been posted. In this case the document date of the invoice must fall into a closed
fiscal period.

Note that when creating a corrective VAT return of the VAT Return 2015 version, you enter all periods that
contained corrective VAT returns (including the current period) in the Posting Period fields of the main return. In
the old format version, you only need to enter the current period in the Posting Period field.

If you want to use the drilldown functions in the output list, we recommend that you create an extract.

Extracts

When you run the report, you can choose to save the output into the database by creating an extract, which can be
retrieved by the report later. This is especially useful when the report is set to create an extract and is executed in
background. You can only generate XML-based output files from extracts.
To create an extract, select the Create Extract option under the Output Control group box and assign a name and a
short description to it. To retrieve the extract, select the Read Extract option. To delete an extract, select the Delete
Extract option.

When running the report without creating an extract, you can choose to compare the output with an existing extract
by entering the name of the extract in the Compare with Extract field. When you run the report, documents that were
not previously included in the extract will be highlighted.

Output

The report shows a list of invoices and the related payments, which it determines as described in Determination of
Invoices and Payments.

If your accounts clerk made more than one payment for an invoice, the report shows each payment. If he entered
two payments for the same invoice on the same day, however, the report only shows one payment.

If there is an alternative payer in the document, the report shows the alternative payer data instead of the vendor
master data.

For imports, the list shows the goods' country of origin and the customs declaration number, as stored in the
purchase order or FI-AP invoice. The report first checks for this information in the purchase order header, then the
relevant purchase order item. Finally, it looks in the material or expense items in the FI-AP invoice. See also
“Prerequisites” above.

The report does not show documents that you posted and reversed in the same period. However, it shows documents
posted in the current period that reverse documents in the previous periods. The report can display these documents
on additional sheets and in this case the basic sheet does not include these documents. The report can also prepare
XML-based output files with these documents from an extract.
Sales Ledger

You use this report to prepare a copy of the sales ledger, which you file with the tax authorities as part of the VAT
return. The sales ledger lists the following accounting documents:

 Either all customer invoices issued or paid customer invoices only, depending on when you calculate the VAT
liability

 Down payments received

 Zero-rated exports (see Exports)

To access the report, on the SAP Easy Access screen, choose Accounting -> Financial Accounting -> General
Ledger -> Reporting -> Tax Reports -> Russia -> Sales Ledger.

Prerequisites
You have:

 Made the settings described in Customizing for Sales and Purchase Ledgers

 Cleared invoices reversed in Sales and Distribution (SD) as described in Clear Reversed Invoices

Features
You can use the report to prepare an ALV list. When you are satisfied that the information in the list is correct, and
you want to prepare a copy of the ledger for the tax authorities, you can generate an XML-based output file to
include in the VAT return.

You can also print out the form in the old format (use versions per decrees 914 of 2009, 1137 of 2012 or 735 of
2014).

Selection

To improve performance, we recommend that you execute the report in the background.

On the selection screen, you can choose the version of the ledger. If you choose to prepare the VAT return 2015
version of the ledger, specify the VAT return type, calendar year, tax period and, for corrective VAT returns,
correction number.

You can also specify whether you want to create additional sheets for the following purposes:

 To list all those documents of the current fiscal period that reverse or adjust documents posted in the previous
fiscal periods
 To list the invoices that have not been posted in time and the fiscal period in which they should have been posted
is already closed

 To list credit memos that are used to reverse documents posted in a previous closed fiscal period

If you select the Create Additional Sheets indicator on the selection screen, the report creates additional sheets to list
these documents as follows:

 If you do not specify a closed fiscal period, the additional sheets list all the documents of the current fiscal
period that reverse or adjust documents in any previous fiscal periods

 If you specify a closed fiscal period, the additional sheets include only those documents that reverse or adjust
documents in this closed fiscal period

For documents of the current fiscal period that adjust invoices posted in the previous fiscal periods to be included in
the additional sheets, make sure that the header text of the adjustment document contains a reference to the corrected
document in the format “NNNNNNNNNNYYYY”, where “NNNNNNNNNN” is the number of the corrected
document and “YYYY” is the year when the corrected document was posted.

If you have chosen to create a main VAT return, only the main sheet is included in the output. If you have chosen to
create a corrective VAT return, only additional sheets are included.

If you want the report to include invoices that have not been posted in time and credit memos in the additional
sheets, make sure that:

 You fill in the Adjustment Document Type field

In this field you need to enter the same document type that you defined for these types of documents (for more
information, see Customizing for Sales and Purchase Ledgers). If you do not fill in this field, these documents
will be placed in the basic sheet.

 The header text of the credit memo contains a reference to the corrected document in the
format“NNNNNNNNNNYYYY”, where “NNNNNNNNNN” is the number of the corrected document
and “YYYY” is the year when the corrected document was posted.

 The header text of the invoices, which have not been posted in time, contains a reference to itself in the
format “NNNNNNNNNNYYYY”, where “NNNNNNNNNN” is the invoice number and “YYYY” is the year
when the invoice should have been posted. In this case the document date of the invoice must fall into a closed
fiscal period.

Note that when creating a corrective VAT return of the VAT Return 2015 version, you enter all periods that
contained corrective VAT returns (including the current period) in the Posting Period fields of the main return. In
the old format version, you only need to enter the current period in the Posting Period field.

If you want to use the drilldown functions in the output list, we recommend that you create an extract.
Extracts

When you run the report, you can choose to save the output into the database by creating an extract, which can be
retrieved by the report later. This is especially useful when the program is set to an extract and is executed in
background. You can only generate XML-based output files from extracts.

To create an extract, select the Create Extract option under the Output Control group box and assign a name and a
short description to it. To retrieve the extract, select the Read Extract option. To delete an extract, select the Delete
Extract option.

When running the report without creating an extract, you can choose to compare the output with an existing extract
by entering the name of the extract in the Compare with Extract field. When you run the report, documents that were
not previously included in the extract will be highlighted.

Output

The report shows a list of invoices and the related payments, which it determines as described in Determination of
Invoices and Payments.

If a customer made more than one payment for an invoice, the report shows each payment. If your accounts clerk
entered two payments for the same invoice on the same day, however, the report only shows one payment.

The report does not show documents that you posted and reversed in the same period. However, it shows documents
posted in the current period that adjust or reverse documents in the previous periods. The report can display and
print these documents on additional sheets and in this case the basic sheet does not include these documents.
Preparing Data for Sections 10, 11 and 12
You can use Invoice Registration Journal to display data and create xml-files for sections 10-12 of the VAT return.

Access this report on the SAP Easy Access screen under Accounting -> Financial Accounting -> Accounts
Receivable or Accounts Payable -> Reporting -> Russia -> Invoice Journal -> Invoice Journal.

Prerequisites
Specify names for the following hierarchies for sections 8-12 in Customizing for Financial Accounting (New) under
General Ledger Accounting (New) -> Periodic Processing -> Report -> Statutory Reporting: Russia -> VAT
Returns -> Assign Reporting Hierarchies to Return Sections (view J_3RVATDSECHIER):

Section Valid from Hierarchy code

10 01.01.2015 RUA10

11 01.01.2015 RUA11

12 01.01.2015 RUA12

To prepare section 12 of the VAT return, enter tax codes for the corresponding invoices for country RU and
Grouping version S12 in Customizing for Financial Accounting (New) under General Ledger Accounting (New) ->
Periodic Processing -> Report -> Sales/Purchases Tax Returns -> Group Tax Base Balances (view V_T007K).

Authorization
Maintain authorization object J_3RF_VATR to determine which activities can be carried out for the VAT Return.
Allowed values are 03 (to allow displaying data of VAT Return) and 23 (to allow creation of XML files for
the VAT Return).

Process
1. Run the report in VAT Return mode. Select a period for which you need to create sections 10-12. The
system will select all invoices whose registration dates belong to this period.

2. Leave the Correction Number field empty to create sections 10-12 of a VAT return for the given period, or
enter a correction number in the Correction Number field to create a corrective VAT return.

You can preview the results for the given section in the ALV-based output list if the Generate XML for Selected
Section option is not selected. If this option is selected, you make a productive run and the system generates an
XML-based file for the given section. Its name is written into the Display File Names for VAT Return Sections (view
J_3RVATDFILESV) activity.
You can re-generate sections 10-12 for VAT Return for the given period if there were no productive runs for further
periods. Otherwise, you can only make corrections for the given period. You can also re-generate the last correction
for any of the sections 10-12 of the VAT Return for the period. Previous corrections cannot be re-generated.