We recently tried to apply the process to allow for ad-hoc changes to recovery rates and recovery percentages after the recovery tax had been determined. The Oracle note is ‘R12:How to modify/override Recovery Rate in Invoice Workbench (Doc ID 1588011.1)’ and its almost comical in its approach, click here, do that, count to 10, spin around ten times, touch your toes and then click here again. Ok so its not quite as bad as that but not far off.
We have a client who enters invoices for Danish car leasing which usually commands a 50% recovery rate but instead of outlining the exact amount of recovery tax by line, the supplier have an annoying habit of just saying heres the total VAT and here is your recovery tax without linking the two. We desperately wanted to use the ability to change the amount of recovery tax and whilst we were able to change the recovery tax, the percentage was not possible.
The point of this article however is not a ‘how to’ guide but instead to let you know to approach with caution the Oracle note 1588011.1 and in our opinion use a workaround instead where you split the line amount to accommodate this requirement.