Dynamics AX 2009

According to Microsoft, Convergence attendees will get a sneak peek into Microsoft Dynamics AX 2009 (codenamed AX 5.0), scheduled for release no later than 2009.


If not mistaken, everyone of AX people are eagerly want to see this new version of product. The user interfaces (UI) have changed a lot; they called it as “M3” features. It consists of menu bar, navigation pane and content pane. To me, all this newly designed DAX 2009 UI has improved in both user friendliness and flexibilities. The interface diced into more clearer and straightforward instead of putting all the itemized into a subfolder. From the previous version 4.0 some people complaint about the messy dices, at this time improved become a tidier layout. Microsoft is really putting a lot of effort to tailored user experiences.


Besides the interface changes, Finance and distribution are also have a lots of enhancement. The finance has enhanced into a more comprehensive way, it would added selling points to this product as well. In additional, there is one new module “Expense Management” installed in DAX 2009. I believe that most of the HR will be excited to implement this new module, it is simple and lots of the reimbursement rules and policy can be comply into the system as well as credit card import and export features. Thereafter, we will get suffered due to the strict rules and claims policies.


By the way, check out the new forthcoming book on Dynamics AX 2009 at Amazon. Well, just keep on exploring at DAX 2009 before it is going to release.

Frequently asked questions when implementing GST in Dynamics AX

Before going to implement GST in Dynamics AX, we have to make clear of the GST procedures and the process behind them. Here are my findings on the procedures of implementing GST in Dynamics AX, this is a helpful guideline for those new to GST.

Procedures of GST
1. Submission
a. Usually most businesses will submit the form F5 either every month or quarterly. Dynamics AX provides a comprehensive sales tax report F5 to automatic calculate the tax to be paid to IRAS or refunds claimed.
The formula as below:
Total Input Taxes – Total Output Taxes

b. At this point, you may run sales tax payment periodic job to let system calculate the tax payable and transfer to vendor account.

2. Refunds Claimed
a. If Total Input Taxes > Total Output Taxes, it mean GST we paid exceeds GST collected. The differences can be claimed from IRAS as a GST refund.

3. Payment
a. If Total Input Taxes <> Journals > Payments > Payment journal. Choose the IRAS and credit to
business’s cash or bank account.
ii. If not, then you should go to GL > Journals > General journal to post the double
entries, debit to Account Payable, credit to cash or bank.

4. Interest Charges – 5%
a. Using GL > Journals > General journal to debit GST interest, credit Accrual Account

5. Late Payment
a. Using AP > Journals > Payments > Payment journal to post the following entries:
i. Debit GST Accrual Account
ii. Debit GST (Account Payable) or Vendor account
iii. Credit Bank/Cash

Know more on Goods and Services (GST) in Dynamics AX or

Simple steps to set up GST in Dynamics Ax

Goods and Services (GST) in Dynamics AX

What is GST?
Goods and Services Tax (GST) is a tax charged on the supply of goods and services made in Singapore and on the importation of goods into Singapore. Here is a quick overview of GST and how to handle the GST by using Dynamics AX (formerly named Axapta).

Types of taxes
There are two types of taxes one is input tax, another is output tax.
Input tax is the provision from buying goods or services from GST-registered business or import goods into Singapore whereas output tax is that tax collected from customer.
After we have known the basic terms of GST and we could start to setting up the sales tax in Dynamics AX. There are a few things we need to configure such as sales tax calculation, settlement periods, sales tax authorities, item sales tax groups, ledger posting groups.

1. Sales Tax Calculation
The current tax rate in Singapore is 7%. Remember to define the rate in Sales tax code and associate to sales tax group and item sales tax groups. Of course you may need to maintain the rate according to the latest rate manually.

2. Settlement Periods
The GST legislation allows for two alternative tax periods, one is for three month another one for one month. If a non-profit has an annual turnover of $20 million or more they must elect to have a one-month tax period. Those below $20 million can elect either monthly or quarterly.

3. Sales Tax Authority
All the tax payment need to report to Inland Revenue Authority of Singapore (IRAS)

4. Ledger Posting Groups
You may set up the posting profile for GST transaction such as ledger account for Account Payable and Settlement Account.


a. Account Payable
- Outgoing sales tax that we collect on behalf of tax authority when we sell the goods to customers.
- For example, we sold item to customer with the subtotal $95, tax amount is $5. The ledger posting transaction as below:

- Ledger account DR ($) CR($)
=================================================
Customer account (Account Receivable) 100 (DR)
Account Payable 5 (CR)
Sales Revenue 95 (CR)

b. Settlement Account
- At the end of the sales tax settlement period for the sales tax authority, you can run the Sales tax payment periodic job. During this job, the amount that the company owes the sales tax authority for the period is transferred from this account to the sales tax authority's vendor account.

For simple ways to setting up Sales Tax or GST in Dynamics AX please refer to http://novprincess.blogspot.com/2007/12/how-to-handle-gst-in-dynamics-ax.html

AND

Frequently asked questions when implementing GST in Dynamics AX

AOS fails to start for Dynamics Ax 4.0 intallation

I have encountered an error from AOS service last few days as reintall the Dynamics Ax 4.0, the error message as below:

Could not start the Dynamics Server$01-Company1 service on Local Computer.
Error 100: Cannot create another system semaphore.

i intalled at the below environment:
• Windows XP Professional (SP2+)
• SQL Server 2005

At the meantime, i got some enquiries for expertise and tried my best to troubleshoot this error. Finally, i fixed it successfully. During the time of fixing this thing, i have got one solution from Microsoft website was telling me "Please try again later" for this "semaphore error".

What does it means for this "Please try again later"? There is no specific guideline on how to fix the error. It is very funny and inevitable guideline would turn a green line to solve the problem.

From my troubleshooting and research; this "semaphore error" is a general error indicating that the AOS cannot connect to the database for some reason. The following rules must be followed:

1. Check your database connectivity
2. Ensure the user has appropriate permissions to access the database files when running
the AOS service (normally NetworkService).This means that the following roles
should be assigned to the specific database
• db_ddladmin
• db_datareader
• and db_datawriter.
3. Ensure the user has enough rights to access the file server/folder

After you have setting up the permissions , now you may follow suggestion from Microsoft "Please try again later".

How to handle GST in Dynamics Ax

GST (Goods and Services Tax) is a kind of value added tax (消费税)that exists in a number of countries. there are Canada,Australia,Hong Kong, New Zealand, Singapore and so on.

Belive it or not, Malaysia is going to implement GST in which replacement of existing sales tax and services tax. however, the implementation date has to be confirm for annoucement.

Anyhow, have you ever asked yourself whether your system capable to handle this sales taxes? if your system is not designed based on the component-based articheture, you may need to modify the underlying system logic to adapt for the new features.

Good news for the ERP - Microsoft Dynamics Ax users because we do not need to make an changes if government going to implement this rules. As we know that Axapta has already provides the sales tax features in Finance module. It could be used for GST purpose too.

The following are the simple steps to setting up GST in Dynamics Ax :
========================================================
1. Firstly, go to GL -> Setup -> Sales tax -> Sales tax codes
- you need to create a new record namely GST (before that, you are required to setup the settlement period, ledger posting account),and click on "Value" button to define how many percent or amount to pay

2. Associate the debtor to this particular sales tax codes at Setup tab -> sales tax group

3. Create item sales tax group at GL -> Setup -> Sales tax -> Item sales tax group

4. After that, you have to define the sales tax codes which assciate with your item sales tax group to apply for the sale tax calculation at Setup tab.

5. Remember the sales tax calculation is define at sales tax code instead of item sales tax group.

6. Lastly, associate the item sales tax group to particular items.

7. The sales tax calculation will be effectived based on the combination setting by customer and item. No sales tax calculation if system do not meet the rules.


After finishing the sales tax setting, you may start your sales order for this particular customer and items. System will automatic generate the sales tax for your billing. It is simple and easy make your supplier chain process more efficient and reliable.

Please get more details on Goods and Services in Dynamics AX and Frequently asked questions when implementing GST in Dynamics AX

How does Dynamics Ax perform the inventory settlement for closing process

Table 1 show the details of issues and receipts transaction until the inventory closing process.



Table 2.1 & 2.2 depicts how the cost prices being updated into the system after the closing inventory process in which taking the average cost price from the inventory.




Table 3.1 & 3.2 depicts cost price coming from the inventory settlement accordance with the issues and receipts.



How does system perform the inventory settlement?
======================================

Settlement for SO1
---------------------
The below screenshot depicts the SO1 settlements details, there is no adjustment occurred during inventory closing. This is due to no cost variation to settle the issue against receipt. This issue directly gets the receipt from PO1.Please refer to table 3.1 for how the system calculates the inventory closing.




Settlement for SO2
--------------------
Click on Updates tab at item transaction screen to view the physical, financial and settlement details. It will show you the physically, financially inventory updates and adjustment has been made after the inventory closing process. The highlighted value is the invoice updated amount.




Inventory value for financially updated, for example the invoice updating amount. While issue invoice, the cost price is derived from average price from inventory that is:

PO1 remain 99 qty, $5, total: $495
PO2 remain 100 qty, $8, total: $800
Item cost price: ($495 + $800)/(99 + 100) = $6.5075
Issuing amount : ordered qty 105 * $6.5075 = $683.2875

Notice that there is an adjustment RM140.29 for SO2 happened while item consumption that matching issues with receipts after the inventory closing. Please refer to table 2.2 & table 3.2 for further details. (The issues amount RM683.29 – item consumption resulting from inventory closing RM543 = RM140.29)


Know more about GST in Dynamics AX ?