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Overview

Introduction

Goods and Service Tax (GST) is considered the largest indirect tax reform in India and will replace multiple indirect taxes that are administered
by the Central and State Governments. GST is expected to bring in systematic tax administration with significant process and compliance
requirement changes, including tax calculations, liability accounting, recovery, settlement, and reporting.

This site centralizes all India GST knowledge information for Oracle E-Business Suite users. The India GST legislative update document (ID
2170500.1) is another helpful reference source as it will be updated when there is major progress with the Oracle E-Business Suite or with the
Government of India. You can self-register to receive automated email notifications for new or updates to existing legislative updates by
subscribing to the Hot Topic Alerts feature. Further details with the steps to self-register are available here.

The table below provides navigational details on this India GST Info Center.

Tab Name Tab Details

Overview Introduction and navigational summary
India GST Model Legislative details including links to government FAQ and specifications
Approach Phased development plan details
Early Access Prerequisites and registration process for interested customers and partners
Documentation Pre-release documents and knowledge documentation
Troubleshooting Configuration, Procure to Pay (P2P) and Order to Cash (O2C) troubleshooting documents
FAQ Link to Frequently Asked Questions

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India GST Model

Government of India Summary

Legal compliance target: April 1, 2017 remains the official target date; though following the GST Council meeting in January, officials have
been clear in communicating July 1, 2017 as a more realistic date.

Specifications: Final specifications have yet to be published and may not be published until as late as Feb 2017. A detailed (190 page) GST
Model Law was published in June 2016.

Legislative status: Constitutional amendment passed with significant additional steps to go; though none are considered as difficult to
overcome as the constitutional amendment.

Main Government Steps Status Comment

Passed by Rajya Sabha (Council of States) on 3-Aug-2016, and the
Constitutional (122nd amended bill was passed by Lok Sabha (House of People) on
Complete
Amendment) Bill 8-Aug-2016. Lok Sabha had approved the original amendment on
6-May-2015
Ratification by states of the
constitutional amendment bill by
Complete Completed as of 1-Sep-2016 ahead of plan
at least 50% of state assemblies
(15 of 29)
Presidential assent Complete Completed as of 8-Sep-2016
Cabinet approved creation of GST Council on 12-Sep-2016 and was
GST Council (GSTC) formed Complete
formed on 16-Sep-2016
The Union finance ministry
The GST Council has finalized the GST tax rate structure. A four tier tax
negotiations with empowered
rate is recommended (6%, 12%, 18%, and 26%). GSTC has also
committee of state finance
Complete recommended to levy an additional cess on sin goods, demerit goods,
ministers and GST Council to
and luxury items. The cess is expected to be a non recoverable tax,
arrive at a consensus on GST
though there is no formal information about the cess at this point of time
rates
Final GST bill needs to be
passed by state assemblies and Pending Expected to happen between Dec and Jan
the parliament

Government Resources and Specifications

Link Name Link Details

Draft GST Model Law Comprehensive (190 page) draft specification for India GST published in June 2016
Empowered Committee of State Finance Ministers India GST information published on the Government of India public portal
GST Process Documents GST reporting, registration and refunds process details
FAQ's by Central Board of Indirect Taxes India Government FAQ

Goods and Services Tax Network

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The government IT systems required for GST are being developed through the Goods and Services Tax Network (GSTN):

GSTN is a Section 25 (not for profit), non-government, private limited company that is 51% owned by non-government financial
institutions, 24.5% by Government of India, and 24.5% by States of the Indian Union.
In Sep-2015, a Rs.1,380 crore contract to build and maintain for 5 years the IT systems required for GST was awarded to Infosys.

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Approach

Phased Approach

In anticipation of the Government of Indias rollout of the Goods and Services Tax (GST), Oracle started development work as early as possible
and has phased projects to enable early access to software updates for customers and partners. Oracle EBS Product Development's projects
for India GST are being phased as follows to accelerate the delivery and to enable customer and partner early access.

Phase 1 EBS GST infrastructure: the code is largely complete and is now undergoing testing with internal teams and a small
number of customers. During Q4 calendar year 2016, access to this phase will be expanded from a small number of customers and
partners to all. See the Early Access tab of this Information Center for additional information and to register.
Phase 2 EBS GST Model Law and Transition Capabilities: enhancements based on the draft India GST Model Law made
available by the Government of India in June 2016, and functionality to support the transition from the current tax regime to GST. The
target timeframe for availability for early access for this phase is March 2017.
Phase 3 Final GST requirements: additional requirements, if any, that come in the final specifications published by the Government
of India. If this phase is required, this document will be updated with a target time frame for early access.

The solution design and beta software for the first phase (EBS GST infrastructure) was showcased to customers during the India Localizations
Forum, held at the Oracle India Development Center in Hyderabad in March 2015 as part of a comprehensive validation program. The input
from customers during this event has been a significant focus of the product development work and internal deep dive testing completed in the
last year.

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Early Access

Early access to the phased software updates is planned for customers and partners starting with phase 1 (EBS GST infrastructure). This early
access will start with a limited number of participants and expand in a controlled way to all customers and partners as quickly as possible.

Oracle is offering early access to pre-release product legislative update software updates in phases to customers and partners under the
following terms and conditions
To enable participants to learn the new software, plan projects, perform preliminary set ups and testing as early as possible, rather
than having to wait for the final software update
The software updates are intended for testing and evaluation only and must not be run on a production environment under any
circumstances
Given the use only for testing and evaluation, SRs will be processed as non-production SRs and will not be candidates for priority-1

Customers and partners interested in participating in early access need to:

Run a EBS 12.1.X or 12.2.x release supported instance as per EBS Error Correction Support Policy
Understand and limit evaluation and testing to the scope of each phase. For phase 1, see the EBS GST Infrastructure Scope
document available from the Documentation tab
Be self-sufficient in using pre-release documentation to understand the phased software updates functionality and in conducting
functional, technical and integration work during early access
Commitment and ability to qualify and appropriately document in functional and technical terms through standard support SRs any
problems encountered
Invest in the required dedicated hardware and staffing to successfully conduct early access
A workable copy of the production environment so that tests can be as relevant as possible
The dedicated hardware with required CPU, memory and disk space for good performance of the copy of the production the
environment
Performance on this environment should be tested before proceeding to early access patch install
Communicate detailed test plan results to Oracle

If you want to apply for early access, please:

1. Download and fill in this document

2. Email the completed document in Excel format as an attachment to: India_GST_Early_Access_ww_grp@oracle.com

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Documentation

Pre-release Documentation

Below are the pre-release documents for the phase 1 EBS GST Infrastructure, which describe the testing scope and provide guidance on set
up and business flow processing. These documents will be updated with additional information for subsequent phases.

Pre-release Documentation

Document Name Document Details

EBS GST Infrastructure Scope
Common Configuration and Setup
explained
Order to Cash (O2C) Setup explained
Order to Cash (O2C) User Guide
Procure to Pay (P2P) Setup explained
Procure to Pay (P2P) User Guide
This document provides an overview of the capabilities of the phase 1 EBS GST infrastructure
including guidance on the features that can be tested based on the scope of this phase.
This document provides details on: (1) testing and carrying out the relevant business scenarios
enabled in phase 1, and (2) different possible tax configuration options.
This document describes how to configure the O2C cycle by providing details on: (1) transaction
flow and tax defaulting in different stages of O2C based on the scope of phase 1, (2) summary
accounting entries generated at each stage, and (3) major difference between the current India
localization structure and the EBS GST infrasctructure.
This document describes different scenarios and transaction flows in the Order to Cash cycle by
providing details on: (1) setups related to O2C, (2) manual sales order, AR transactions, O2C, bill
only transaction cycles, (3) accounting, tax recalculation based on tax point basis (TPB), and (4)
major difference between the current India localization structure and the EBS GST
infrastructure.
This document describes how to configure the P2P cycle by providing details on: (1) types of tax
defaulting, (2) scenarios pertaining to the tax defaulting, (3) major differences from the current
India localization, (4) how to use different permutations and combinations in order to explain the
process for defaulting tax on a transaction.
This document reviews different scenarios and transaction flows in the P2P cycle by providing
details on: (1) transaction flow and tax defaulting in different stages of P2P, (2) summary
accounting entries generated at each stage, and (3) the major difference between the current
India localization structure and the EBS GST infrastructure.

Oracle Learning Channel Recordings

Below are links to the flow-by-flow walk throughs of the EBS GST infrastructure.

India GST and E-Business Preparations

E-Business Suite - Oracle Financials for India: GST Infrastructure Regime to Rate Flow
E-Business Suite - Oracle Financials for India: GST Infrastructure Other Mandatory Setups
E-Business Suite - Oracle Financials for India: Business Cycles in Order to Cash
E-Business Suite - Oracle Financials for India: Business Cycles in Procure to Pay

Knowledge Notes

This section contains all documents published as additional knowledge material. It groups dynamically all GST related Advisor, Bulletin, How
To, White Papers, and Reference document types.

Oracle Financials for India (OFI) -Goods and Service Tax - Order to Cash Functional Flow [Updated: 11/10/2016]
Oracle Financials for India (OFI) -Goods and Service Tax -Regime to Rate Functional Flow [Updated: 10/25/2016]

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India Localization - Oracle Financials for India (OFI) - Goods and Services Tax (GST) Configuration - EBS GST Infrastructure [Updated:
10/17/2016]
Oracle Financials for India (OFI) -Goods and Service Tax -Procure to Pay Functional Flow [Updated: 10/17/2016]
Overview of Tax Computation in Purchase to Pay Transactions with Goods & Service Regime - GST [Updated: 10/17/2016]
Overview of Tax Computation in Order To Cash Transactions with Goods & Service Regime - GST [Updated: 10/17/2016]
Overview of India GST Knowledge Notes [Updated: 10/12/2016]

Oracle Roundtable Series: GST and Oracle E-Business Suite

Below are the presentations from the January 2017 GST roundtable sessions held in Bangalore, Mumbai and Delhi.

Oracle GST Strategy and Roadmap, Michael Miller

India GST: Implementation considerations and solution approach for EBS, Baburaj Sreekumar
Transitioning to GST: Business and IT Readiness, Ashwani Bansal
GST Impact on Economy and Industry, Arun Singh
Impact of GST on Industry, D&B Research Report

Oracle Financials for India Community

Use the Oracle Financials for India Community to ask questions and learn from other users and support experts. Use the GST tag to filter
content and post comments.

Financials For India Community

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Troubleshoot

Troubleshooting Documents

EBS R12: Order to Cash (O2C) Troubleshooting for India GST [Updated: 02/25/2017]
EBS R12: Configuration Troubleshooting for India GST [Updated: 02/23/2017]
EBS R12: Procure to Pay (P2P) Troubleshooting for India GST [Updated: 02/07/2017]

Diagnostics Documents

R12: Forms Runtime Diagnostics (FRD), Tracing And Logging For Forms In Oracle Applications [Updated: 05/26/2016]

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FAQ

Oracle EBS Financials for India: FAQ on India GST

(Q) How does a customer configure EBS for addressing the India GST compliance requirements?

Oracle has made significant investments to enhance the EBS India localizations (Oracle Financials for India), which will enable customers to
map India GST requirements through flexible user configuration. With the new flexible user configuration approach, customers can configure
the GST regime, different tax types proposed under the new GST regime, applicable tax rates, define and default applicable taxes to specified
transactions and account the tax liability and input tax credit.

(Q) What is the current state of Oracle EBS readiness for GST?

GST development execution is being phased to accelerate delivery and to enable early access

Phase 1 GST infrastructure: dev complete and available through early access program for customers and partners starting in November
2016.

Phase 2 GST model law and transition capabilities: enhancements based on the draft GST Model Law published in June 2016 and
updated in November 2016, and infrastructure to support the transition from the current tax regime to GST

Phase 3 Final GST requirements: additional requirements that may come in final specifications published by the government that cannot be
addressed by functionality delivered in phase 1 and 2. This phase may or may not be needed as it is entirely dependent on what late
specification changes may or may not come from the Government of India.

(Q) How are you making customers aware of the changes in the software?

Through prerelease documentation, knowledge notes, and video demos made available through the India GST Information Center on My
Oracle Support.

Most importantly, also through early access to phased software updates that allow customers and partners to get hands on in learning the new
EBS GST infrastructure, other new functionality, and in planning and testing in their own environments, rather than having to wait for a final
product legislative update patch to be available.

If desired, there are also services available from Oracle Advanced Customer Services (ACS), Oracle Consulting (OC) and trained Oracle SI
partners to assist customers with EBS India GST projects.

(Q) How do you plan to implement the changes in software in the existing clients?

Customers must configure their GST and other transaction tax requirements using the new India Localization GST solution. Using the new
GST solution, customers can configure their GST requirements. GST brings in significant process changes to the compliance requirements
and the flexibility provided by the new software solution will enable customers to configure their GST requirements.

(Q) When will Oracle release the final GST patch?

This is dependent on when the final specifications for GST are published by the Government of India. The phased development approach not
only enables customers to start as early as possible, but is also focused on minimizing the scope of work that is needed to be completed by
Oracle once the final specifications are available from the government. Oracle is also working with the India Goods and Services Tax Network
(GSTN) and other agencies to understand as early as possible the detailed requirements. Customers are advised to review the MOS Note
2170500.1 for the latest information on progress for India GST.

(Q) Would separate license be required to be purchased to apply GST patch?

No, as a product legislative update, the GST patch will work for all EBS versions that are on premier or extended support as of the date of the
release of patch (e.g. 12.1.x and 12.2.x). It will not be available for any release versions that are in sustaining support (e.g. 11.5.10).

(Q) What is the minimum version of Oracle EBS that will be supported by the patch?

The India GST patch will be available for EBS release version 12.1.1 onwards. India GST is a product legislative update patch made available

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per the Oracle support policy for release versions in Premier or Extended support.

(Q) What are the key changes in functionality delivered by this patch?

There are major functional and design changes for the GST solution. Some of that includes: unified regime to rate flow for every tax type with
user configurable tax types, date effective tax computation logic, user configurable taxable events, tax defaulting logic based on user
configurable rules, major process changes for input tax credit management, and unified tax repositories, etc.

(Q) Would there be any changes in India localization functionality other than indirect tax (e.g. TDS, TCS, BOE, outside processing transactions,
etc)?

No functionality changes on TDS and TCS except the way in which TDS and TCS taxes are defined/configured. BOE design will undergo
minor changes. OSP solution will support calculation of GST on the value addition and availing input tax credit on GST for the value addition.

(Q) Will all tax reporting requirements be met through GST patch or will new custom reports need to be developed?

The EBS GST patch will make the data required for reporting available through unified repositories and extracts. The electronic transmission of
returns to the GSTN portal must be routed through appointed GSPs (GST Suvidha Provider).

(Q) What would be impact on current master data and tax register balances data?

Customers need to configure the master data like 1st party registration, 3rd party registration, Item classification, service classification etc in the
new solution. Current expectation is that GSTN will fetch the closing balance of input tax credit from the last returns filed under the existing tax
regime and carry forward it as opening balance under GST regime.

(Q) Can I configure the India GST solution if I did not previously implement India localizations?

Yes. There is no requirement that India Localizations must be implemented first before configuring the GST solution. The final patch for India
GST will replace all previous India localizations functionality. The GST solution can be implemented even if the current India localizations were
not previously configured. To use the final patch for India GST, users are required to configure the GST solution as per the requirements and
complete all mandatory setups including for configuring GST, excise, existing transaction taxes that are not going to get subsumed by GST for
specific industries.

(Q) Is it mandatory to use the EBS GST patch?

Yes. With the transition to India GST, use of the EBS GST legislative update patch will be mandatory for enabling compliance with India
localization requirements. The current India localization solutions will be de-supported once the transition to GST regime is completed. Support
for India localization will be available only for the new solution. To get continued support, it is mandatory for customers to upgrade to the India
GST patch.

(Q) How is the management of co-existence of different tax regimes handled as GST is not applicable in the case of some exempted goods
(e.g. petroleum products, etc.)

The user will be able to configure this requirement by using the new GST solution. For example, two different regimes can be created and
these regimes can be used for transactions.

(Q) Is there going to be anything available in Oracle patch to capture GSTN number for Customer/Dealer & Vendor master and HSN/SAC
number for item master?

The GST registration number of the organization, supplier and customer need to be captured using the Oracle Financials for India 1st party
registration and 3rd party registration. The GST solution support capturing the registration details of all the parties involved in the supply of
goods or services.

(Q) Is any utility going to be provided to update the Customer/Dealer, Vendor, or item masters?

No. There will not be any utilities to upload the master data information. Customers are expected to update the master data for the GST
regime manually or build custom utilities for mass data upload.

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There is a dedicated form for capturing the GST registration information for the organization, customers, suppliers, and item/service
classification.

(Q) Is there going to be anything in the Oracle India GST patch for computing and accounting GST on stock-transfers happening using
sub-inventory?

Yes. IRISO transactions across operating units will be supported with the phase 2 early access patch.

(Q) Will the India localization around GRN be maintained as it is, or will it change? Will multiple tax lines for the item (for SGST, CGST and
IGST) be allowed on the GRN?

There are many changes to the existing solution. Receipt and tax recovery related features are completely re-engineered to enable
compliance to the GST requirements and for better user experience. Multiple taxes are allowed.

(Q) How will the AP ERS invoices deal with multiple tax lines for an item (e.g. SGST & CGST)?

Taxes confirmed on receipt will get imported to AP.

(Q) Is Oracle patch going to come up with new tax codes for GST?

Yes. The GST solution provides complete flexibility for the customer to configure the regime to rate flows. The set up procedures are very
different in the new GST solution.

(Q) Is the GST patch covering the functionality for TDS of Indirect taxes?

Specifications on requirements for TDS under GST are not yet available. Any important requirements related to TDS for GST will be
considered once the final specifications are available.

(Q) How will the IGST on imports be handled in the patch?

The BOE functionality will support computation of IGST on imports and the application of customs type of taxes and IGST paid on import.

(Q) Is Oracle building an out of the box interface to send data to the government website

No, the interface for electronic submission to GSTN and from GSTN back to company systems will be done through intermediaries call GSPs.
GSTN is in the process of finalizing work with GSPs and we expect additional information on selected or approved GSPs to be available soon.

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