Create Calendar – A summary of the activity

This activity allows you to create a financial calendar and attach it to other companies defined in the installation. A financial calendar is usually defined at the company level. It is a necessity to publish financial statements periodically for monitoring the financial status of the company. It is also a statutory requirement to publish the annual report of the company, which comprises both the balance sheet and the profit and loss statement. These financial statements are published for a period of time. This period of time is defined in the financial calendar.

A financial calendar is termed as a combination of a financial year and its associated financial periods. A financial calendar plays a very important role in any accounting system. All accounting transactions are identified by the dates that are subsequently identified by the financial year and its dependent financial periods.

A financial year can differ from the (12 months) calendar year. A financial period is a subset of a financial year. A financial year can be divided into many financial periods. A start date and end date is defined for every financial period. All the defined financial periods must fall within the start date and the end date of the defined financial year. Once a financial calendar is defined for a company, it can be referred by all the other business components that are required to make financial postings. If the company is a child company then its financial periods must be the same as that of the parent company even if the financial years are different.  This is required for the consolidation of child and parent companies.

This activity also allows you to define a tax calendar for the company. A tax calendar could be similar to the financial calendar. A tax calendar is created for statutory purpose for publishing tax reports. A tax calendar is also a combination of a tax year and its associated tax periods. A tax year could be the same as the financial year still a tax year must be defined separately. Once tax calendar is defined for a company, it can be referred by all the other business components that are required to make tax postings.

Getting familiar with the pages inside

What you can do in this activity

Create financial calendar

Create financial periods

Attach financial calendar to a company

Create tax calendar

Create tax periods

Attach tax calendar to a company

Create financial calendar

Financial calendars are defined at the company level. The duration of the financial calendar is defined as per the business requirements of the company. This financial calendar can be referred by all the other business components that are required to make financial postings.

•  Go to “Create Financial Calendar” page.

•  Define the financial calendar.

Create financial periods

Financial periods are the subsets of a financial year. A financial year can be divided into a number of financial periods. All the financial periods must fall within the date range specified for the financial year.

•  Go to “Create Financial Calendar” page.

•  Define the financial period.

Attach financial calendar to a company

Financial calendars are usually defined at the company level. This financial calendar can be attached to other companies defined in the installation.

•  Go to “Attach Financial Calendar” page.

•  Attach the selected financial calendar to the selected company.

Create tax calendar

Tax calendars are defined at the company level. The duration of the tax calendar is defined as per the business requirements of the company. This tax calendar is referred by the “Tax Book Processing” business component for making financial entries pertaining to taxation.

•  Go to “Create Tax Calendar” page.

•  Define the tax calendar.

Create tax periods

Tax periods are the subsets of a tax year. A tax year can be divided into a number of tax periods. All the tax periods must fall within the date range specified for the tax year.

•  Go to “Create Tax Calendar” page.

•  Define the tax period.

Attach tax calendar to a company

Tax calendars are usually defined at the company level. This tax calendar can be attached to other companies defined in the installation.

•  Go to “Attach Tax Calendar” page.

•  Attach tax calendar to the selected child company.