Income tax automation

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Posted on by ST-27040924-0

Dear All,

I am trying to automate monthly income tax calculation and recording of journals in D365 using the Allocation journal type. For our requirements, we take 30% of PBT and record 30% income tax as Debit to P&L Income tax expense account and credit to the balance sheet Income Tax provision account (if there is profit before tax).

Using Allocation, I was able to successfully calculate, create and record the journal based on the account series of the P&L accounts (profit before tax, PBT).

The issue I am seeking help for is that the journal that is created is at each account level i.e. if I have 100 accounts that make up PBT, the income tax journal created through allocation is 200 lines (100 for P&L and 100 for Balance Sheet).

Is there a way that I can create and summarise it to only 2 lines i.e. 1 for P&L and 1 for Balance Sheet?

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Ramit Paul 22,805 Most Valuable Professional on at

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Hi,

Allocation works with each and every lines, you can't summarize in allocation.

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Kevin Xia Microsoft Employee on at

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Hi,

There is currently no such standard feature that meets your requirements. However, you can achieve your goals with custom development. Handle the generation of the income tax journal through custom code or scripting, where after creating the journal, you can calculate and consolidate accounts of the same type to summarize the journal into fewer lines. This would involve some development work and may require collaboration with the Dynamics 365 F&O development team.

Best regards,

Kevin

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ST-27040924-0 8 on at

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Thanks Ramit, so other than custom development that Kevin suggested, is there any other solution from which I can calculated tax and record the journal?

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