SAP localization Factory

Level 3 Configuration Asset Building Handbook

 DOCUMENT INFORMATION

Document Name Egypt: Level III Documentation

Document Purpose SAP S/4 HANA 1709, on premise edition Impact on Localization with
Configuration details
Document Status Initial

Contact For Enquiries

Document Control
Release Description Created Date Reviewed Reference
Date by by
1.0 Initial Draft Dhiman 15 May 2017
Ghoshal
1.1 Updated Dhiman 10 Oct 2019 Debashis
Ghoshal Hajra
Changes in SAP Applications areas:

 SAP S/4 HANA 1709:

 Country/Currency Settings & Checks
 Asset Accounting
 VAT
 Withholding Tax
 Bill of Exchange

L1 – 1. Legal or statutory compliance - Enterprise Setting: Country/Currency Settings & Checks

Business requirement / legal requirement
Currency Checks – Legal Requirements
- Official currency is EGP
- Decimal Places should be 2
- Rounding off mathematically to nearest
CAD cent.
SAP Process
Impact on SAP Defined L3 Process
SAP S/4 HANA Finance 1709:
Currency configuration and
Currency types
Attachment
Configuration / Data
maintenance guidelines / Non
standard solution for GAPs
Currency Configuration:
In both the versions, new
transaction code S4 HANA 1709
FINSVC_LEDGER is available currency set up.doc
to define currencies at company
code level for both leading and
non leading ledgers.

Currency Types:
In 1709 version, 8 additional
currency types can be defined
with customer namespace like
Y* or Z* along with the standard
currency types available in the
ECC system.

L1 – 2. Legal or statutory compliance - Asset Accounting

Business requirement / legal requirement SAP Process Attachment
SAP Defined L3 Process Configuration / Data
maintenance guidelines / Non
standard solution for GAPs
Country Settings – Local Requirements. Config Steps in SAP Configuration details in attached
document
The Statutory requirement as per the Egyptian GAAP. S4 HANA 1709 asset
accounting.doc
Depreciation is deductible for tax purposes and may be
calculated using either the straight-line or declining-
balance method. Depreciation rates are as follows:
Type of asset Rate Method
Buildings 5% Straight-line
Intangible assets 10% Straight-line
Computers 50% Declining-balance
Heavy machinery and equipment 25%
Declining-balance
Small machinery and equipment
25% Declining-balance
Vehicles 25% Declining-balance
Furniture 25% Declining-balance
Other tangible assets 25% Declining-
balance
L1 – 1. Legal or statutory compliance – VAT
Business requirement / legal SAP Process Attachment
requirement Impact on Configuration / Data maintenance guidelines / Non standard solution for GAPs
SAP
Defined L3
Process
- As a business SAP S/4 With this SAP Note, a new reporting definition is delivered for the reporting category
operating in Egypt, HANA 'EG_VAT_DCL' to generate the updated Form 10 for the Egypt VAT Return. The
you need to submit Finance following features have also been added to the Egypt VAT return with this SAP Note:
SAP Note
1709: VAT
your VAT returns 2701328.pdf
Possibility to disable automatic identification of adjustment documents such that
every month to adjustment documents are only identified based on the document types and tax codes
Egypt’s tax mapped to the adjustment tax groups.
authorities. The VAT Possibility to view the report output in a data preview and change the tax base
Return report for amounts manually to update the reported figures
Egypt provides
information on the The report generates Form 10 in PDF format. You can download the generated PDF form
VAT and Schedule tax to your local computer. In addition, you can also view the report output in a data preview
payable to the tax and change the tax base amounts manually to update the reported figures.
authorities for a
You use the Run Advanced Compliance Reports (tile title: Run Compliance Reports) app
reporting period. The to generate VAT Return for Egypt.
reporting category
'EG_VAT_DCL' can
be used in the Updated VAT report definition EG_VAT_REP_DEF_V3 as of 2019
Advanced (According to the new regulations of the ETA, tax payers now need to submit their VAT
Compliance reporting returns directly onto the ETA portal, in CSV format. The current VAT reporting solution
provided by SAP S/4 HANA Advanced Compliance Reporting (ACR) for Egypt SAP Note
framework for this 2755412.pdf
purpose. generates VAT returns in a PDF format. To comply with the new regulations of ETA, the
ACR solution needs to be updated to generate VAT Returns for Egypt in a pre-defined
CSV format. This SAP Note contains changes made to the reporting logic for the ACR
solution for Egypt VAT reporting, to generate VAT Returns in CSV format. It contains a
new report definition EG_VAT_REP_DEF_V3 that enables generation of VAT Return for
Egypt in CSV format.)

You are using VAT functionality for country Egypt. You would like to generate sequential
- VAT ET: Official numbers for the below types of documents.
Document
Numbering Customer Invoice
 functionality Outgoing Credit Memo
- Free-of-charge Outgoing Debit Memo
delivery for which tax SAP note
is paid by sales 2615358.pdf
In some countries (such as Italy and Egypt), there is a requirement that the value-added
organization tax has to be paid for a gift invoice. The tax is then assumed by the sales organization
itself and posted to a different G/L account

SAP note
2747473.pdf

L1 – 1. Legal or statutory compliance – Withholding Tax

Business requirement / legal SAP Process Attachment
requirement Impact on Configuration / Data maintenance guidelines / Non standard solution for GAPs
SAP
Defined L3
Process
- From January 2019, SAP S/4 ALV Output of the withholding tax clearing and remittance report for Egypt:
tax payers In Egypt HANA
will need to submit Finance * Tax Period, Year, Vendor registration number, Vendor tax file number, Tax authority
1709: code, Vendor name, Vendor address, Payment currency.
their withholding SAP Note
Withholding
return in electronic Tax Refer Attached Note 2725758.pdf
format, via the
Egyptian Tax
Authority's portal.

L1 – 1. Legal or statutory compliance – Bill of Exchange

SAP Process Attachment
Business requirement / legal Impact on Configuration / Data maintenance guidelines / Non standard solution for GAPs
requirement SAP
Defined L3
Process
- Enablement of Bill of SAP S/4 The Bill of Exchange functionality has been enabled to be also used by customers in
Exchange HANA Egypt.
Functionality Finance
1709: Bill This includes the full functionality and support of the following transactions and reports:
of Exchange SAP note
Transaction F-36: Bill of exchange payment 2396838.pdf

Report RFIDTRBOE1: Bill of Exchange Transactions

Report RFIDTRBOE2: Reversal of Bill of Exchange Transactions

Report RFIDTRWEKO: Bill of Exchange List

Report RFTR_BOE_REPRINT: Printout of Transaction Records