# Discount should calculate on VAT/CST in MM Pricing procedure.? or How to write  routine to calculate discount amount after VAT/CST .?

Hi All,
Client is asking discount should calculate after Base+ED+VAT/CST. How to achieve this by configuration or by creating routine?
I am reading Discount amount from condition tab but not able to deduct it after VAT in Routine.

Hi
P is the price of the product
Y is the MRP
P&F = x1.P (x1 of P)
ST = x2.P (x2 of P)
ED = x3 .P (x3 of P)
x1 x2 x3 are constants. P = Y/(1x1x2+x3)
P&F=x1P, ST = x2.P ED=x3P
You have mentioned that all the pricing is based on MRP. Hence you will entering MRP as input price. Now P will be selling price before taxes and discounts. P&F, ST and ED will be always mentioned as % of Product and not MRP. So considering the equation
P + P(x1x2x3)=Y
Hence P = Y (1x1x2+x3) and hence further calculations.
Now in V/08 you can maintain pricing procedure. Here alternate calcualtion type will be routine which you can create new and add to the step.
Hope now its clear.
Kind regards
sandeep

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2. SAP standard provides MWST and MWS1 as mandatory and none of those MWR* conditions.
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Which of the three pricing procedures is correct?
I had assumed the Russian add-on provides all necessary entries for Russia, but can it be true that a legal VAT tax line is NOT calculated automatically but maintained as manual condition? If so, do I still have to maintain condition records in order to determine the correct tax code for the percentage and the FI posting?
And no MWST at all, although in customer and material master the tax classification is still determined by MWST?
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hi
In pricing procedure MWST is a tax category.this tax categort reflected in both masters. this tax category linked to the tax code. for the tax category , u will maintain the condition records.
for eg. country, region ,cus tax classification ,material tax classification and tax code
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• VAT in Pricing procedure

Dear all
Actually I want to add condition type ZVAT as a vat- tax in my pricing procedure
How can I add  condition record for it ?Because once I  add in VK31 at that time error comes
TAX CODE IN THE PROCEDURE TAXINJ IS INVALID
Can any body guide me!!
jayesh

Dear Jayesh,
I think you are talking about error message FICORE704, aren´t you?
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In the pricing procedure, RVAXUS, the condition records for condition type UTXJ determines the tax code for a given line item. Condition records read indicators on the customer and material master records to determine the tax codes. Condition records are stored in condition
tables and read based on the sequence specified in the access sequence.
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Condition types XR1-XR6 are used with the external tax calculation procedure (TAXUSX) while JR1-JR4 are used with the internal tax calculation procedure (TAXUSJ).
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Other condition types for taxes in SD are XR1-XR6 for TAXUSX and JR1-JR4 for TAXUSJ.
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procedure.
When using TAXUSX, the tax code from this condition record could be sent directly to the third party tax package. An option on the tax code determines if the third party tax package will be called.
Please see note 388112 which details how to change a pricing procedure on a production system.  It is not specifically for adding UTXJ, etc but for general changes.
See note 392696 - R/3 Tax Interface Configuration Guide
I hope this information is helpful!!
Regards
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Hi All,
My client wants have the VAT tax  in the pricing procedure. In UK there is 17.5 % VAT on the goods purchased.During GR i do not want to inventorise the VAT amount. I am using the standard pricing procedure RMISRO and TAXGB tax procedure.
I have tried using the non deductble tax codesbut still during GR tax is added on the inventory.
regards,
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hi Murugan,
In  PO i am giving article price  GBP 500 inclusive of VAT(VAT @ 17.5)
Tax amount = 500*17.5/117.5=75
Cost of material = GBP 425.
expected result during Goods receipt
Dr Inventory      425
Cr GR/IR             425
expected result during Invoice
DR GR/IR             425
Dr Input Tax       75
Cr Vendor                           500
what is happening right now during Good recipt
Dr Inventory      500
Cr GR/IR             500
what is happening right now during Invoice
DR GR/IR  500
Dr Input Tax 87.5
vendor 587.5( 500 + VAT)
with regards,
Consult A

• Pricing procedure - vat calculation on freight charge

HI,
Pls tell me, how to activate in pricing procedure, VAT should calculate frm the freight charge  and  how to link pricing procedure and tax procedure?? . give me solution..

Hi Pankaj,
I have gone through your reply. I want to calculate VAT on Frieght. Following is the Scenario which i am using for the caluclation of VAT on Frieght.
In Condition Tab I am Getting the following information
PBXX     Gross Price               949.6
Net value incl. disc          949.6
NAVS     Non-Deductible Tax          0
Net value incl. tax          949.6
ZFCD     Freight/Quantity Ded          575
SKTO     Cash Discount          0
Actual price               1,524.60
In Invoice Tab I am geeting the following information
BASB     Base Amount                               949.6
Calculated Call     0.95     INR     949.6
Sub total     0.95     INR     949.6
JMOP     IN: BED setoff %     8     %     75.97
JMX1     IN: A/P BED setoff     100     %     75.97
Total excise duty     0.08     INR     75.97
JEC1     A/P Ecess for Setoff     2     %       1.52
JSEP     IN:A/P SECess Setoff     1     %         0.76
ZFRI     FREIGHT-TESTING     0     INR            0
Copy Net Price     0.95     INR     949.6
Excise Duty     0.08     INR     75.97
JEX1     A/P Ecess for Invent     100     %     1.52
JHX1     IN: A/P SECess SOTot     100     %     0.76
Copy AED     0     INR     0
Price + Excise + AED     1.03     INR     1,027.85
JVCS     A/P CST Non deductib     0     %     0
JVRD     A/P VAT RM Deductibl     5     %     51.39
JVRN     A/P VAT RM Non-Deduc     0     %     0
JVSD     A/P Surcharge on VAT     10     %     5.14
Net Price + ED +ST     1.08     INR     1,084.38
But i Would Require the Following Calucaltions i.e (JVRD = JVRD + (ZFCD*0.05)) That i have mention in my below screen shot.
BASB     Base Amount                               949.6
Calculated Call     0.95     INR     949.6
Sub total     0.95     INR     949.6
JMOP     IN: BED setoff %     8     %     75.97
JMX1     IN: A/P BED setoff     100     %     75.97
Total excise duty     0.08     INR     75.97
JEC1     A/P Ecess for Setoff     2     %     1.52
JSEP     IN:A/P SECess Setoff     1     %     0.76
ZFRI     FREIGHT-TESTING     0     INR     0
Copy Net Price     0.95     INR     949.6
Excise Duty     0.08     INR     75.97
JEX1     A/P Ecess for Invent     100     %     1.52
JHX1     IN: A/P SECess SOTot     100     %     0.76
Copy AED     0     INR     0
Price + Excise + AED     1.03     INR     1,027.85
JVCS     A/P CST Non deductib     0     %     0
JVRD     A/P VAT RM Deductibl     5     %     80.14
JVRN     A/P VAT RM Non-Deduc     0     %
JVSD     A/P Surcharge on VAT     10     %     8.015
Net Price + ED +ST     1.08     INR     1,116.01
PBXX     Gross Price               949.6
Net value incl. disc               949.6
NAVS     Non-Deductible Tax               0
Net value incl. tax               949.6
ZFCD     Freight/Quantity Ded               575
SKTO     Cash Discount               0
Actual price               1,524.60
Dinesh

• Pricing Procedure for Special case of Excise 0 and CST 2%

Dear Friends,
This is peculiar requirement for my client, we need to create a pricing procedure which is not had excise and cess value and it shout calculate VAT or CST.
The requirement is i need to calculate Excise duty and cess on Basic price but this should not appear in billing document and this excise and cess values should not hit any GL's. VAT and CST will calculate basic value+excise duty and cess.
Example:  Basic Price   Rs. 1000/-
excise duty   Rs.   140/-( this should not hit any GL)
Cess            Rs.     42/-(this should not hit any GL)
CST            Rs.     24/-
total Bill value: 1205/-
Kindly help me to create a pricing procedure to develop this pricing. This is very urgent please help me
Regards
Es

hi,
Manual  Mand  Stat
10    PR00                       -
20     Excise                               -
30       Cess                                -
40     MWSt       -                        -
Sub Total 10-40
Hope it will resolve issue if any isseu pl communicate.
Rajesh

• VAT-MM Pricing Procedure

hI
IUn SAP VAT is calculated on Basic price -discount +ED.
Our requirement is that VAT is to be calculated on Basic price-discount +ED +Freight .
Could any one help me how to achieve this?

Create one condition type for eg ZFR1 and attached this to your taxinn procedure . In calculation pricing schema you can attched one subtotal field against frieght condition type for frieght like D,E,F ...M. Then in taxxin  procedure you can make your own routine eg 601 of CALTYPE and in this routine you can pass value of subtotal  against fright condition. this way you will pass frieght value to taxxinn procedure. and now u can include this value for calculating the base amount for vat.
One thing to keep in mind is u r frieght condition type should be before the NAVS condition type in calculation schema.

• Pricing Procedure for Discount

Our client want  pricing procedure as per given below ,
*The discount is reqd to calculate after taxes .That means discount should not considerd for calculate excise duties like JMOP , JEC1 etc .*
Generally standard pricing procedure having following flow ;
1) Rate per unit * Qnty = Gross Price
2) Gross Price  - Discount = Net price
3) & excise get calculated on Net price
But our client want as per following
1) Rate per unit * Qnty = Gross price
2) Excise get calculate on Gross Price
3) Gross Price - Discount = price reqd to pay to vendor .
Pl check & suggest the solution .
If you want any clarification pl ask ,
Thanks & Regards ,
Ganesh

Dear Sir,
Please create the New Condition Type e.g. ZDQ1 by coping R001 (Standard condition).
Then add this condition in pricing procedure as per given below ,apart from your other conditions,
1              2               3               4                             5               6   7  8  9  10           11    12   13
20             0          Net value incl. disc.     1               X     7
21     1     NAVS     Non-Deductible Tax                         S                60
21     2     NAVM     Non-Deductible Tax                         S                29
22     0     ZDQ1     Discount/Qty     1         M          6
23     0          Net value incl. tax     20     22                        901
Ganesh

• VAT calculation through Pricing Procedure of MM

Hello gurus,
I have a doubt can we calculate and post the vat thru purchase condition type in pricing procedure, for excise and cess we are using Tax code with tax procedure TAXINJ, we are trying hard for it., we have even created new transactiion key and assign GL account to it, but still it is not posting at the time of MIGO.
Anand

Hi Anand
I too develop a new condition type for Vat in mm pricing procedure.
Our business process is as follows
We r transferring material to one depot to another to UK. we are doing STO through SD route. i created a vat condition type which is non inventorised and subsequently  refund will be received.
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• How to create a new Condition for tax as VAT ( 4 % )  in SAP ? .

Dear All ,
Pl guide that " How to create a new Condition for tax as VAT ( 4 % )  in SAP ? . What are all necessary requirements to do so , I need to have all steps so that i should feel very confident . For example what data is to be ticked in Control tab during cond. creation , in the same way how to put this cond. in Pricing procedure ? pl write all necessary thing which are required during this process .
sap11

In tax we can configure taxprocedure two types i.e., taxinn and tainj. If you adopt taxinn procedure if  it is other than VAT condition first you have to create the condition type and then you have to go to FTXP and assign the tax required VAT percentage to the repective % to ded or non ded VAT condion type. In second step you have to assign this tax code to respective company code.
If you adopt taxinj procedure you have to a create tax code with FTXP T-code by assigning the values to the respective and save conditions.
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Bhuvan

• VAT calculation in Import pricing in Africa

Dear Experts,
I'm configuring a Import Pricing procedure for my African client where the Scenario is as mentioned.
1.Cost(Base Price) = 100
2.Insurance = 10
3.Freight =10
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How can this scenario be mapped? As in Import pricing, Tax code is Zero. And there is no Tax procedure defined in SAP for Africa. If I create a Tax code with 14%, it calculates Tax on the Base price & not on the Total of "Step 1 to 5" as per my  requirement.
I have checked a similar scenario for VAT calculation in Import pricing in Thailand. Can it be used? if so with what changes or what are the steps involved to meet the above requirement.
Kindly reply, if any one has worked earlier on this scenario.
Regards
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Edited by: Chitra H P on Jul 29, 2010 3:22 PM

Hi Chitra
You are aware I take it that Africa is continent and not a country?
You won't find anything in SAP for "Africa" in the same way that you won't find anything for Asia.
James

• VAT calculation in Import pricing in Tanzania

Dear Experts,
I'm configuring a Import Pricing procedure for my African client(Country - Tanzania) where the Scenario is as mentioned.
1.Cost(Base Price) = 100
2.Insurance = 10
3.Freight =10
4.Customs duty = 10
5. IDF Value = 10
6. Vat = 14% on (12345 i.e on 140)
How can this scenario be mapped? As in Import pricing, Tax code is Zero. And there is no Tax procedure defined in SAP for Africa. If I create a Tax code with 14%, it calculates Tax on the Base price & not on the Total of "Step 1 to 5" as per my requirement.
I have checked a similar scenario for VAT calculation in Import pricing in Thailand. Can it be used? if so with what changes or what are the steps involved to meet the above requirement.
Kindly reply, if any one has worked earlier on this scenario.
Regards
Chitra

Hi
1.Cost(Base Price) = 100
2.Insurance = 10
3.Freight =10
4.Customs duty = 10
5. IDF Value = 10
6. Vat = 14% on (12345 i.e on 140)
As per the above this can be done in Tax procedure of Africa check the conditions type which you  are using  in TAX Procedure for all these condition type and go to the subtotal column and enter key 4 then the value of these conditions maintained  there will added to BASB condition type inTax procedure   which is nothing but gross and the you can have your VAT conditio type if you are using TAX INN procedure then maintain the vat % condition in FV11 or if you are using TAXINJ procedure then you ca create tax code in  FTXP & IN that tax code you add VAT conditio as per your requirement. Hope this can helps you.
Regards

• Pricing Procedure- Handling of VAT

Hello All
Need help for designing IMPORT pricing procedure for a specific case (Thailand).
Our client applies VAT - 7% on total value of the Import PO i.e. at the end.
Their Pricing Structure is like:
1 Basic Price
2 Freight
3 Insurance
4 Custom Duty
5 Surcharge
6 Excise
7 Internal Duty
Net value = (1234567)
and then
8 VAT on this Net Value.i.e 7% of (1234567).
They are paying this 7% directly to government and not to the Foregin Supplier.
Now this VAT amount is deductable as they are having a VAT return report submitted to the government each month.
i don't know how to handle this case..so request you all if anybody have idea please help me.
It is vey urgent...
Regards
Yogesh

Hi Yogesh,
In our case the requirement is simple.We have defined a tax procedure for african country which only has input and out put conditions on the base amount.
In PO, we have several conditions (header) for additional costs like freight,demurage,port charges etc and which we have defined as fright conditions.
The accrual indicator has been ticked and so is the Vendor GR checkbox.
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Now,the requirement in this country is that whatever they receive vide PO incurrs certain % of VAT on basic price of an item + all the additional costs(freight,demurage,port charges).
As per the tax procedure, it calculates VAT on the BASE amount which does not consider the net price in PO.It considers gross price entered against the material.
This is the problem.
If I remove the accrual tick in PO pricing procedure for all the conditions for freight,port charges etc, then those conditions will get added on the basic cost of the material and thus the net price will change accordingly.VAT can then be calculated on this.
But the problem in this is that the FREIGHT tab at the time of GR does not appear  which does not allow me to consider all these costs at the time of GR.
I hope you understand our requirement clearly now.
There is some additional requirement but that can be thought of later.The requirement is that the VAT will differ in % depending on the material in a PO.It means a PO can have items with different VAT %
Thanks in advance.I hope someone must have tried out this earlier.
Regards,
manOO

• Discount problem in Pricing procedure

Hi experts,
Vendor offers % discount on Basic price, however tax is calculated on BASIC price (not considering discount).
I am facing following problems
1.    I tried to configure pricing procedure , but discount gets deducted while calculating TAX.
2.      If I make discount condition STASTICAL , TAX calculation is proper, But in MIRO in vendor payment Discount is not considered.
Pricing procedure requirement is as follows
1.  Basic Price    (A)
2.  Tax %           (B)          - calculated on A
3.  Discount%     (C)         -  calculated on A
Vendor payment = A+B-C
How to configure pricing procedure for this requirement?
rgds
Jay

Dear Sir,
Pl let me know if you get the solution as my client also want the same kind of pricing structure.
i.e.Discount should get calculated after Taxes .
Pl revert back .
Thanks & Regards ,
Ganesh

• How to give the seasonal discounts in pricing procedure

Dear SD Gurus,
Can anybody guide me how to map the below scenario
A company wants to give the seasonal discount in a month.The first week it should give 3% discount on the purchase and the 2nd, 3rd,4th week should be 4%, 5%, 6% respectively.One more query  that Do we have any option to give the discounts on hourly basis ? Pls clarify

just maintain a discount condition type in your pricing procedure with the required validity dates as
1 st week -- 3 %
2 nd  -- 4 %
3 rd - 5%
4 th  - 6%
you cannot give disc on hourly basis.
thanks

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