TFA - Next Gen GST Reform (RPOS7,RPOS6.5&HQ)

TFA - Next Gen GST Reform (RPOS7,RPOS6.5&HQ)

As per Govt. directives, new GST Tax structure We have only three type of Slab i.e.   5% , 18% , 40% . [ Which was previously as like 5% , 12%, 18%,28% ]  

Now lot of products directly shifted from 12% to 5% and lot of products moved from 28%   to 18% . To update these Products directly , please follow the steps mentioned below:

1.) By clicking the more menu you can find the Next Gen GST - Taxes menu as shown   in the below image.


2.) It will open the Next Gen GST - Tax Migration dashboard. Then click the Migrate   Now button.


3.) After clicking the Migrate Now button, A pop-up is flashed with Are you   sure want to trigger the Next Gen GST Tax Migration Process?


4.) Once you click the Yes button, Tax Migration Process done successfully   message will be flashed at the bottom of the screen, this implies that Tax Migration   process is done successfully. 


NOTE:  There are lot of products, which are exceptions of those tax migration. Ex. Some   items moved to 18% to 5% also. For that Please use the Item Master Bulk Update Options as well.  

GST Tax Change – FAQs & Clarifications  

1. If a customer raised a sales order on 21st with the old GST rate (12%) and wants to convert it to a bill on 22nd after the tax change, which GST rate will be applied?

    • It should take the new GST.

    • But in RPOS7 & RPOS6, by default, tax is taken from the Sales Order.

    • A new configuration (from RC417/6592 SP 79 release) will allow tax to be picked from the Item Master.

2. An STO was raised on 21st with the old GST (12%) and the STI is imported on 22nd after the tax change.

    • It will take the tax from STO only.

    • Since it is an “in-transit” document, master tax will not apply.

3. For a backdated GRN, will it apply the old GST rate or the new GST rate?

  • In both RPOS7 and RPOS6, the GST will always be picked from the Item Master.
  • By default, the new GST rate will apply. However, you can still change the tax while making the Purchase, as shown in the Purchase copy. This is controlled by a service user configuration. By default, it is disabled. If enabled, it will restrict users from selecting the tax from the LOV (list of values).

4.  If an old Bill or GRN is modified, will there be any impact due to the GST rate change?

  • If the user deletes items from an old Bill/GRN and adds new items, the application will apply the new GST rate.

  • If the user only edits and saves, no changes will occur.

5. If a sales invoice was raised with the old tax rate (e.g., GST 12%), and later the tax in the item master is updated to a new rate (e.g., GST 5%), which tax rate will be applied when processing the sales return?

    • If the Sales Return is processed after the GST changes, then as per GST Council guidelines, the new GST rate should be applied.

    • Current application takes old Sales transaction GST. To overcome this, the new configuration has been added which will allow GST to be taken from Item Master. (Released in RC418/6592 SP 80)

 6. If a purchase invoice was raised with the old tax rate (e.g., GST 12%) and later the item master is updated with a new tax rate (e.g., GST 5%), which tax rate will be applied when making a Purchase Return against that invoice?

    • As per GST Council, it should take new GST.

    • Current application takes old Purchase GST, but users can manually change tax in the return screen. To overcome this, a new configuration has been added which will allow tax from Item Master. (Released in RC418/6592 SP 80 release)

 7. If a Purchase Order was created on 21st with the old tax rate (12%) and is converted to a GRN on 22nd after the tax change, which tax rate will be applied?

    • As per GST norms, it should take new GST.

    • We have provision in our application to change those purchase order to Purchase entry.

8. How can bulk Sales and MRP items (inclusive of tax) be updated based on the new GST rate?

      Customers can update the MRP from the Change Selling screen by using the available filters.

9. The government requires maintaining the old price and printing the new price on the sticker. How can this process be implemented?

  • Do not change the product price. Instead, apply the required price reduction as a discount, and the difference will be shown in the bill print.

  • You can achieve this using Price Level Discount, Direct Item Discount, or Date-wise Pricing modules.

10. Can we get reports with old MRP, revised MRP, and an updated price list?

We would like to understand how customers require these MRP updates. If you receive any details from the customer, please share them with us for further clarity.

11. Should the profit calculation be updated based on the MRP changes?

No change in profit calculation. Profit is calculated as usual.

12. Do we need to display both the new MRP and the old MRP in the printout?

Govt. has not given such instructions yet.

13. What details need to be verified for the September month filing if there are tax changes?

The Filing process remains the same. No changes in filing.

14. Will there be any changes in the tax filing process?

No changes.

15. After the tax update, which GST rate will apply to our existing stock?

  Existing stock tax will be calculated based on item master GST.

16. In Franchise Mode, how is tax calculated when converting Sales to Purchase and Purchase to Sales? (Single-point scenario)

      The tax applied in Sales will be taken from Purchase. Customers must update the tax after 22nd September before doing these transactions.

17. How are Sales Returns and Purchases affected by the GST changes?      

       No changes.

18. If the GST rate changes for one item in a combo, does the combo price need to be recalculated?

Yes, the combo price can be updated. However, since the combo is fully managed by the customer, they can decide whether to recalculate it or not.

19. How do promotions work after the GST changes?

      No changes.

20. Will there be any changes to Price Levels for Sales and Purchase?

      No changes.

21. If a Sales Order was raised with the old GST and is converted to a Bill on the current date after GST changes, which GST rate will be applied?

      The new GST rate will be applied according to the configuration.

22. If a Purchase Order was created with the old GST and is converted to a GRN on the current date after GST changes, which GST rate will be applied?

      The tax will be loaded from the Purchase Order. You can update the tax in the Purchase screen according to the supplier invoice.

23. If an STO was raised with the old GST, and the customer later updates the item GST % in the Item Master, which GST rate will apply during the import transfer?

      GST from STO will apply.

24. If a sales bill was raised with the old GST % and a return is made one month later, which GST rate will be applied?

      The new GST rate will be applied according to the configuration

25. If a purchase entry was recorded with the old GST, which GST rate will be applied when making a purchase return?

      The new GST rate will be applied according to the configuration

26. Is there an audit report available for items where the GST has been changed from old to new?

      Audit logs are available for both Item Master edits and Item Master bulk updates.

27. The government has suggested maintaining both the old and new rates on product stickers. How can this be implemented?

      If required, a query field can be added to the relevant print profiles.

28. How will reports display values after the GST change?( Previously mapped transactions used the old GST, and now new transactions use the updated GST.) How will this affect Stock Reports, Sales, and Purchase Reports?

      Transactions made before the GST change will reflect the old GST, while transactions after the change will use the new GST. Most reports are transaction-wise, so the tax shown in Sales and Purchase reports corresponds to the tax code at the time of the transaction. Stock reports will remain unchanged unless Selling Price, MRP, or Cost is updated.

29. How will backdated GRN or sales transactions be handled?

      The GST rate from the Item Master will be applied. You can also edit in the Purchase screen if required.

30. If an old GRN or Bill is edited, which GST rate will be applied?

      The old GST rate will be retained. However, if an item is deleted and re-added, the new GST rate will be applied.

31. How should purchase invoices from suppliers outside Kerala, issued on or before 22nd September 2025 but received after that date, be recorded and accounted for?

      The tax is determined by the invoice date. If the supplier issued the invoice before 22nd September, the old GST rate applies. Enter the tax code exactly as mentioned in the supplier’s invoice.

32. What is the process for recording and accounting for Credit and Debit Notes related to sales and purchases dated before 22nd September?

      No changes.

33.  MRP & Selling Rate Update Tool :

Please find the updated MRP Update exe below. Use this version going forward:

RPOS6.5 - https://download.gofrugal.com//UAT/GST2.0/RPOS6/M2/MRPUpdate.exe

RPOS7 - https://download.gofrugal.com/UAT/GST2.0/RPOS7/M2/MRPUpdate.exe


Please find the Formula to deduct MRP & Selling when Tax is reduced:

 

Old GST

New GST

Share of Margin to be Passed On

12%

5%

6.25%

12%

0%

10.71%

28%

18%

7.81%

5%

0%

4.77%

18%

5%

11.72%

 

How to Update MRP & Selling Price in Bulk with above Tool :

RPOS7:

   

 

RPOS6:

 

 

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