Hi Team,
We have come across the below scenario and seek your clarification on the appropriate logic to be implemented in computing line level VAT amount.
Taxable amount inclusive of VAT : 0.8
Line Level:
Unit Price (BT-146) : 0.695652174
Quantity (BT-129) : 1
Invoice Line Net Amount (BT-131) : 0.70 (rounded to 2 decimal places)
VAT amount (KSA-11) : 0.11 (rounded to 2 decimal places)
Line amount inclusive VAT (KSA-12): 0.81
The VAT amount (KSA-11) in this case is computed as BT-131 *0.15 and rounded to 2 decimal places and hence resulting in a line total as 0.81 which is 0.01 more than the actual value.
Request your clarification if the VAT amount (KSA-11) needs to be computed as following to avoid the 0.01 difference and match with the actual value.
KSA-11 = round( (BT-146 * BT-129) * 0.15 ,2)
This results in VAT amount as 0.10 and line total as 0.70+0.10 = 0.80 matching with the actual value.