A country-specific update is available to support SEPA credit transfer for Austria and update SEPA Credit Transfer and SEPA Direct Debit for Germany for Microsoft Dynamics AX 2009 SP1, Microsoft Dynamics AX 2012 and Microsoft Dynamics AX 2012 R2

The Single Euro Payments Area (SEPA) is an area that is set up by the European Commission. In the SEPA, all electronic payments are considered domestic, regardless of the country/region in which the individual, business or organization, and bank are located. Within this area, national and cross-border payments have no difference. The SEPA includes the 27 European Union (EU) member states, plus Iceland, Liechtenstein, Norway, Switzerland and Monaco. SEPA helps form a single market for payment transactions within the European Economic Area (EEA). Ultimately, the SEPA is expected to reduce the number of payment formats that banks, businesses, and people must work with.

The European Commission established the legal foundation for SEPA payments through the Payment Services Directive (PSD). The European Payments Council (EPC) supports the SEPA by:

• Setting the standards for SEPA electronic payments by using the ISO 20022 universal financial industry message scheme XML format.
• Setting rules and guidelines for the handling of euro payments.

A SEPA Direct Debit enables a creditor to collect funds from a customer’s bank account, if a signed mandate is granted by the customer to the creditor. The customer signs a mandate authorizing the creditor to collect a payment and instructing the customer’s bank to pay the collection. SEPA Direct Debits create, for the first time, a payment instrument that can be used for both national and cross-border euro direct debits throughout the 32 SEPA countries/regions.

As of February 1, 2014, SEPA Credit Transfer and SEPA Direct Debits will be mandatory for this kind of transaction within the euro area. There are two schemes available for SEPA Direct Debit: the SEPA Core Direct Debit Scheme and the SEPA Business to Business Direct Debit Scheme.

For more information about the current and planned functionality for Microsoft Dynamics AX that supports the SEPA direct debit (ISO 20022 XML) payment format, download the white paper from the following Microsoft website:Microsoft Dynamics AX 2009 users already have their method of payment setup in the following location to use the SEPA Direct Debit export format:

Account Receivable/Setup/Methods of payment/File format tab/Setup buttonFor more information about how to configure the outbound port, go to the following Microsoft website: For Microsoft Dynamics AX 2012 users, the outgoing port is already configured. For more information about how to configure the outgoing port, go to the following Microsoft website:
Walkthrough:If outbound port was already previously configured for Direct Debit, in that case, it needs to reselect "Export service operations" in Service contract customizations part and then enable all Data Policies.

Mandates
Mandates can be entered and maintained at the customer level. Reports can be generated to be sent to the customer for signing.

A method of payment can be marked to indicate that any transactions that use the method of payment have a valid mandate entered by selecting the Mandate required check box. In addition, any method of payment where the user has selected the Mandate required check box will want to have the Period dropdown field set to Invoice, which creates a separate payment for each invoice. This avoids issues in which customers use different mandates for different banks.

Transactions where a method of payment is not specified will use default method of payment and default mandate from the customer. The sales order and free text invoice let the user specify the mandate to be used.

During the payment proposal, users can select invoices to be paid by Mandate scheme and Payment type by adding the Customer direct debit mandate table to the proposal selection query.

Upon printing of invoices that use the method of payment with the Mandate required check box selected, a section will be printed on the invoice to indicate the specifics of the direct debit.

Creditor Scheme Identification ID (the Direct Debit ID field) has to be registered according to the Creditor Scheme Identification Rule. For more information about the Creditor Scheme Identification Rule, click to view the Creditor Identifier Overview document: The dialog box for the file generation for DD contains the following parameters:

• Format, the format of message: Strd or Ustrd. For Germany is always Unstrd.
• Country, the country.
• Issuer, the issuer of the creditor reference. This parameter is not required. In this case, it is defaulted with BBA for Belgium, CUR for the Netherlands and ISO for other countries. It affects the calculation of the creditor reference.

Additional information

New parameter is added for Germany country specific Credit Transfer and Direct Debit to create new file format:

• Variant
  Possible values are 002 and 003, where:
  • 002 - DK Version 2.6 – file pain.001.002.03 for CT or pain.008.002.02 for DD will generate
  • 003 - DK Version 2.7 – file pain.001.003.03 for CT or pain.008.003.02 for DD will generate

This update contains correction in Microsoft Dynamics AX 2009 SP1, Microsoft Dynamics AX 2012 and Microsoft Dynamics AX 2012 R2 for generic and all other country specific Credit Transfer formats:

Checking that the currency for all payments lines is only in EUR.

Following fixes are included:

• SEPA direct debit error "The customer is not fully settled" (DAXSE 805903)
• VendPayments_SEPACreditTransfer_03_xsl displaying incorrect ISO Code for country (DAXSE 821871)
• SEPA direct Debit mandate date is not updated if the signature date is changed (DAXSE 823891)
• SEPA XML message: fields not mandatory and with no data should not be declared on the xml-file (DAXSE 823241)
• Payment advice and Attending note are available for SEPA Credit Transfer DE (DAXSE 783488) – only for AX 2009 SP1
• SEPA DE Covering letter from quantity of invoices (DAXSE 466550) – only for AX 2009 SP1

Hotfix information

A supported hotfix is available from Microsoft. There is a "Hotfix Download Available" section at the top of this Knowledge Base article. If you are encountering an issue downloading, installing this hotfix, or have other technical support questions, contact your partner or, if enrolled in a support plan directly with Microsoft, you can contact technical support for Microsoft Dynamics and create a new support request. To do this, visit the following Microsoft website:

https://mbs.microsoft.com/support/newstart.aspx

You can also contact technical support for Microsoft Dynamics by phone using these links for country specific phone numbers. To do this, visit one of the following Microsoft websites:

Partners

https://mbs.microsoft.com/partnersource/support/

Customers

https://mbs.microsoft.com/customersource/support/information/SupportInformation/global_support_contacts_eng.htm

In special cases, charges that are ordinarily incurred for support calls may be canceled if a Technical Support Professional for Microsoft Dynamics and related products determines that a specific update will resolve your problem. The usual support costs will apply to any additional support questions and issues that do not qualify for the specific update in question.