Localization for Pakistan Microsoft Dynamics AX is a fully integrated Enterprise Resource Planning (ERP) solution that addresses various business processes of organizations, from Manufacturing, Logistics, Finance to Human Capital Management. While Microsoft Dynamics AX "out-of-the-box" is localized to address specific laws and/or regulations for particular countries, it is does not support localization in all countries, including Pakistan. In order to fully benefit from a Microsoft Dynamics AX implementation, companies in Pakistan need an implementation partner that not only possesses the technology expertise but also understands country-specific laws and
Key Functions • Specific tax calculations for Pakistan. • Accounting for for financial reporting requirements for Pakistan. • Assessable value calculation for Pakistan. • Import sales sales tax, Cost estimations estimations and Actual costing for Pakistan. • Funded and non-funded bank facilities and limits. limits.
regulations. We leverage our world-class Microsoft Dynamics AX consulting team, deep and expansive understanding of Pakistan’s laws and regulations, four decades of experience, and a number of successful technology implementations to deliver highly integrated and robust solutions to our clients. The solution we provide even includes automated and customized tax calculations for Pakistan.
Solutions Features Withholding Tax On a national level, the biggest source for tax collections by the Federal Revenue in Pakistan is Withholding Tax. Tax. Over the years, the collection as well as dependence on Withholding Taxes Taxes is on the rise. Important withholding provisions relate to Salary, Imports, Exports, Commission and Brokerage, Dividends, Contracts, Profits on debt, Utilities, Vehicles Tax, Tax, Stock Exchange-related provisions and Non-residents, to name a few. Systems Limited offers Microsoft Dynamics AX localization for the following Withholding Taxes;
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Withholding Tax Tax Selection On Invoice Level
The solution allows selection of Withholding Tax on invoice level. Using this feature, users can calculate Withholding Tax while making payments as per their selections on invoices. This feature covers the requirement of Tax Tax Withholding of services and supplies, on a single payment made to a supplier or payment received from a customer.
Withholding Tax Selection On Item Level
The solution allows selection of Withholding Tax on Item master level which provides a base for calculation of Withholding Taxes item-wise. Item Withholding Tax Tax group helps users categorize withholding taxes. For F or example, Withholding Tax calculations for supplies and services.
Income And Sales Tax Withholding
The solution keeps a complete record of Income and Sales Tax Tax Withholding which includes payables and receivables both at the time of payment made to suppliers and also upon receipt of payment from the customers.
Withholding Tax Settlement
The solution enables users to process Withholding Tax Tax on weekly and monthly basis. It allows selection of individual Withholding Tax Tax transactions for specific payments. A tax inquiry is available for Withholding Tax Tax settlements where date and Withholding Tax type filter is available for weekly or monthly tax settlements. www.systemsltd.com
Selected data can be exported to excel on weekly or monthly basis. This inquiry includes all the columns required by the local tax authorities.
Computerized Payment Recording (CPR) Number Recording
The solution provides CPR number recording process on Withholding Tax settled transactions. Following screen shows the complete process of CPR calculation and recording.
Receivable Challan Recording
The solution automatically records all the Challans received by customers. It also provides the status report for each Challan.
Payment Sections, Code and Nature References
Withholding Tax Tax is applicable on the purchase of all types of goods including Electronics, Automobiles, etc. Country-specific tax authorities require certain payment sections, Codes of Charges and Nature references when the procurer submits such a type of Withholding Tax. Systems Limited’s localizes the entire process of Payment sections, Code and Nature references in Microsoft Dynamics AX as per the requirements of local governing bodies.
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Weekly and Monthly Tax Submission Report
The solution comes with pre-defined weekly and monthly tax reports, which includes all the details required by tax authorities. These reports are available in Microsoft Excel format.
Withholding Tax On Customer Advances
This feature enables users to record Withholding Tax on receipt of customer advances. Advance Withholding Taxes’ Taxes’ record is linked with the standard Withholding Tax report.
Sales Tax Localization Sales Tax Annexures
Sales tax annexures are available in the form inquiry where users can select the relevant authority to filter sales tax data. For example, you can choose between the Federal Board of Revenue, Sindh Board of Revenue, and Punjab Board of Revenue.
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Credit Facilities Banks finance the corporate sector for its business activities in the form of either Funded or Non-funded facilities. Microsoft Dynamics AX out-of-the-box does not support country-specific calculations for such credit facilities. Systems Limited, leveraging its years of experience in the financial industry, localizes Microsoft Dynamics AX such that it allows users to record and calculate funded and non-funded facilities separately. The solution also enables the users to record limits for banks as main and sub limits. Funded Facilities – Financial Impact
The Loan tab has been introduced to record funded facilities. Upon recording loan transactions users can select the facility type which will record consumption of funded facility fa cility..
Main Limits And Sub Limits
To cover the local requirement of main limits and sub limits of facilities provided by the bank, Systems Limited introduces parent facility and limit type in Microsoft Dynamics AX. Limit type can be a sub limit or main limit whereas if limit type is selected as sub limit then the parent facility should be filled.
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Customs Regulations Microsoft Dynamics AX localization by Systems Limited addresses the unique requirements of Pakistan Customs. All the reports, forms and processes are mapped to bring efficiency in Customs’ operations. The following key features are a part of the localization; Assessable Value Value Calculation
Assessable value is the value of the percentage of duty payable to the central excise tax authorities. In general, the assessable value is the price on the bill or the invoice. The solution provides pre-designed Assessable value calculation forms which are designed as per the standards of Pakistan Customs. The solution enables users to calculate duties and taxes on the basis of both Assessable Value Value and Import Trade Trade Price (ITP). Sales Tax on Import
The solution records and calculates Sales on Import on the basis of assessable value and custom duty.. It also provides calculation duty calculatio n of Third party (Government (Governme nt and/or Tax Authority) liability. liability.
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Shipment Tracking
Shipment tracking customization has been done to maintain complete details of shipments which contain details such as vendor/supplier information, shipment loading information, shipment discharge/dispatch information, delivery information and additional information. Shipment information also includes the details of the container in which the package details can also be maintained along with shipment information. It provides functionality to attach custom-related documents or any other informative document with the shipment. Pre-delivery inspection is the process carried out by any workshop team and in this process the engineers check the equipment, vehicle or other tools within a shipment and verify all the parts that are available. In case of any non-availability of parts, excess, or inaccuracy it will record the details on the shipment with reference to the purchase order. order. This whole functionality is developed and available in the Shipment details as well.
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Vendor Ve ndor Liability
The solution enables the recording of Vendor liability on risk and reward transfer. transfer. Landed Cost Estimate
A Landed cost estimate includes any applicable duties, fees, taxes, and transportation costs that may apply based on the origin, destination, and products of a shipment. Systems Limited localizes the calculation of Estimated landed cost on the basis of estimated charges percentages. Actual Landed Costing
The solution automatically calculates and records actual charges against the Landed cost estimation. It also provides the comparison between actual and estimated costing.
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About Systems Limited Systems Limited, founded in 1977, is the leading Technology and Business Process Outsourcing service provider, delivering innovative business solutions and technology-led BPO services. With over 2,500 employees globally, our people help customers maximize their IT investments around the world and create specialized solutions that drive business results. These solutions leverage our deep technical skills, accelerators, frameworks and products, industry best practices, and domain expertise to ensure they achieve the business goals and give a creative competitive advantage to our customers. Systems Limited brings industry insights and business acumen focused on helping its customers achieve a high ROI, offers the enterprise mission-critical software solutions, and brings a deep technology-agnostic skill-set which remains unmatched in the industry. By delivering on hundreds of projects, we have developed industry-specific and cross-industry offerings, plus a suite of tools and accelerators that enable our customers realize business benefits faster with increased efficiency while lowering overall IT costs. The winning combination of our people, best-in-class technology, innovative business practices and value-added global alliances help us team-up with the corporate and public sectors to deliver value by producing a significant return on our clients’ investments.
FOR MORE INFORMA INFORMATION TION
Lahore
Karachi
Dubai
Chamber of Commerce Building, 11, Shara-e-Aiwane Tijarat, Lahore, Pakistan. (+92 42) 36304825-35 (+92 42) 36368857
E-5, Central Commercial Area, Shaheed-e-Millat Road, Karachi, Pakistan (+92 21) 34549385-87 (+92 21) 34549389
Office 105, Building 11 Dubai Internet City, PO Box 500497, Dubai, UAE (+ 9714) 369 3525 (+ 9714) 456 3761
[email protected] www.systemsltd.com
