Japan overview

This article includes information and links to resources that can help you set up legal entities with a primary address in Japan.

Cash and bank management

• Bank payment fees covered by vendors FAQ

Fixed assets

• Regular operations and depreciation
  • Fixed asset depreciation for Japan FAQ
  • Enter depreciation rate schedule and associate to depreciation profile
  • Change the depreciation method during the asset life for one asset
  • Change the depreciation method during the asset life for book
  • Equally divided depreciation method
  • Create lump-sum depreciation assets using equally divided method
  • Depreciation allocation rules
  • Define asset idle period and validate depreciation process
  • Use assemble list of a fixed asset
  • Use disassemble list for fixed assets
• Accelerated depreciation
  • Configure accelerated depreciation parameters and posting profiles
  • Create accelerated depreciation profile and assign it to book
  • Create and assign an equipment group
  • Create an accelerated depreciation document and enter usage data
  • Propose and post accelerated depreciation
• Additional and special depreciation
  • Configure depreciation profile and posting profile for additional depreciation
  • Create a fixed asset with additional depreciation
  • Create a fixed asset with special depreciation profile
  • Propose additional depreciation
  • Propose special depreciation
• Reduction entries for government subsidies
  • Set up reduction entries for fixed assets
  • Create and assign a reduction entry document for a government grant subsidy
  • Acquire a fixed asset and claim for the government grant subsidy
  • Depreciation of fixed assets with reduction entry posted
  • Dispose of a fixed asset with reduction entry
• Impairment accounting
  • Fixed asset impairment accounting on cash-generating units
  • Impairment accounting for fixed assets
  • Setup impairment accounting common parameters and posting profile
  • Create CGU group and cash generating units
  • Allocate carrying amount of shared asset and goodwill to cash generating units
  • Maintain impairment indicators on individual assets
  • Create and confirm recognition test
  • Run the recognition test and calculate the impairment amount on individual assets
  • Propose and post the impairment amount by using fixed asset journal
  • Propose and post the impairment amount on a cash generating unit
  • Propose and post the impairment amount by batch
• Asset retirement obligations
  • Set up asset retirement obligation for fixed assets for Japan
  • Configure main accounts for asset retirement obligation posting and market discount rates
  • Set up asset retirement obligation documents and enter ARO amount on a fixed asset
  • Acquire a fixed asset with asset retirement obligations
  • Adjustment of the asset retirement obligation estimate
  • Depreciate and accrue the interest expense for asset retirement obligations
  • Inquiries of the asset retirement obligation related transactions
• Deductible expenses
  • Set up master data for inclusion of deductible expenses for multiple posting layers
  • Maintain fixed-asset master data files for deductible expenses
  • Periodic settlement of over and under depreciation
  • Inquire on deductible expenses
• Fixed asset reporting
  • Form 26 for depreciable tax declaration

General ledger

• Input journal in T account form

Invoicing

• Qualified Invoice System
• Configure consolidated invoice parameters and setup for accounts payable
• Consolidated invoices
• Set up consolidated invoices
• Create and confirm a customer consolidated invoice
• Create and confirm a vendor consolidated invoice
• Reopen and edit a customer consolidated invoice
• Reopen and edit a vendor consolidated invoice
• Settle customer consolidated invoices by using a payment journal
• Settle customer consolidated invoices by using settle transactions
• Settle vendor consolidated invoices by using a payment journal
• Settle vendor consolidated invoices by using settle transactions
• Set up a customer and sales order to be target of consolidated invoice
• Setup vendor master and purchase order to be target of consolidated invoice

Payments

• Enable the JBA payment file format
• Generate and post payment fee
• Generate EFT payment file with JBA format
• Import customer payment with JBA file format
• Inquiries of payment fee on journal
• Pay a vendor by endorsing a bill of exchange
• Pay a vendor transaction by endorsing a customer bill of exchange
• Reverse an endorsed bill of exchange
• Settle an endorsed bill of exchange
• Setup Japan payment by endorsing a customer bill of exchange
• Setup payment fee for Japan

Taxes

• Inquiry on deductible expenses
• Progressive withholding tax
• Set up master data for inclusion of deductible expenses for multiple posting layers
• Qualified Invoice System - Set up sales tax for JCT

Consumption tax report

• Consumption tax report
• Task: Setup Japan consumption tax report
• Generate Japan consumption tax report

System administration

• Import postal codes

Additional resources

• Electronic reporting overview
• Download Electronic reporting configurations from Lifecycle Services