HCOTEG182250 - Computer Systems:
Duty calculation and reporting systems
Introduction
The fundamental feature of any duty calculation and reporting
system will be the use of master files to ensure the correct duty
accounting. The master files will hold information concerning:
- consignors & consignees;
- product;
- types of movement;
- storage vessels;
- excise duty rates and effective dates;
and
- accounting periods.
Transactions and the use of master files
It can be expected that the system will use master files when a
transaction is created, filled and reported. The files can be
expected to be used to:
- identify the product as having an excise
duty liability;
- use consignee /consignor and product
information to establish that the movement is allowable;
- establish the dutiable quantity - density,
temperature, Std./Nat. litres;
- establish the duty liability; and
- establish the entity responsible for duty
payment
The validity of elements of transactions
The decisions made by systems should be established, documented
and evaluated. The prime objective being that for any transaction
the validity of the following elements is known:
- date and time of movement;
- the type of movement;
- the duty status of the movement;
- the dutiable quantity moved;
- the rate of duty applied; and
- the entity paying any excise duty
Master Files - other considerations
Remember that any calculations performed by duty calculation and
reporting systems will only be as good as the quality of the
information they use or capture, and hence the accuracy of any
transactions performed by these systems are dependent on the
quality of the data being held in the master files or captured from
other sources.
It is therefore essential that the contents of the master
files are correct and that any changes to these files can be
identified and checked.
You should consider:
- who has access to the master files
- who has the ability to change the data
contained in the master files
- where the information contained in the
master files or used in the transaction has come from, and
- the accuracy of the information contained
in the master files or transactions
