New Service Tax code ( FTXP)

Hi All
As you all are aware that service tax rate has changed from 12.36% to 10.3% my client is using TAXINN , i have to creat new service tax code that i will do from copy from one service tax to another , but my concern is that i shoul have to maintain condition record for this tax code or the earlier conditon work for the new tax code
Thanks & Regards
Amit Kumar

Hi Amith
I am new to the TAXINN procedure. I am trying to configure the new service tax code but not getting thru. Can you please share the detailed steps for creation of new service tax code.
However, I am giving below the the steps which I have done :
1) FTXP where new code is created
2) OB40 - GL is assigned
Do i need to work on FV11 ? Or did I miss anything ?
Please guide me the further steps to be configured. My requirment is very critical and needs to be configured immediately.
Thanks
Gemini

Similar Messages

New Service tax code creation

Dear Sir,
I want create a new service tax code with 1021 % & i want to assign the g/l codes.
So advice the t.codes & procedure.
Regards,
Prasanna

Hi,
1) Check what is the claculation procedure assigned to your country -
SPRO>>Financial Accounting (New)>>Financial Accounting Basic Settings (New)>>Tax on Sales/Purchases>>Basic Settings>>Assign Country to Calculation Procedure
2) Check wether condition types and account key for Service tax, Cess and HCess has been maitained for the Procedure -
SPRO>>Financial Accounting (New)>>Financial Accounting Basic Settings (New)>>Tax on Sales/Purchases>>Basic Settings>>Check Calculation Procedure - Define procedures.
3) If the Condition types are not maintained, create them and include them in the procedure (you can take help of a SD or MM consultant who knows how to define a pricing procedure).
4)Define your account keys if not already maintained -
SPRO>>Financial Accounting (New)>>Financial Accounting Basic Settings (New)>>Tax on Sales/Purchases>>Basic Settings>>Check and Change Settings for Tax Processing.
Here, you will give the description, tax type as input or output as per your requirement and posting indicator as 2.
5) Assign accounts -
SPRO>>Financial Accounting (New)>>Financial Accounting Basic Settings (New)>>Tax on Sales/Purchases>>Posting>>Define Tax Accounts
Here you can maintain the GL account by double clicking ont the account key created in the earlier step.
Posting key - 40 and 50, and maintain the GL account by selecting the Accounts tab.
6) Use transaction code FTXP or the path
SPRO>>Financial Accounting (New)>>Financial Accounting Basic Settings (New)>>Tax on Sales/Purchases>>Calculation>>Define Tax Codes for Sales and Purchases
and enter country and the ID for the tax code you want to create , Give the description and mention if it is input or output tax.
In the next screen, enter the rates against the relevant condition types.
Please revert in case of any clarification.
Thanks and Regards,
Anit

Service tax code

Hi All,
I want to create the new service tax code as per below mention calculation.
Material cost = 100
Cost on which service tax need to ba calculated = 33% of 100= 33
So my service tax will be 10.3 on Rs 33 which is Rs. 3.4
VAT should be calculated on material cost + Service tax = 100 + 3.4 + 103.4 which will be 5.16
Please help me to create such kind of tax code.
Regards,
Nandkishore Nachane

Nandkishornachane wrote:
Hi All,
>
> I want to create the new service tax code as per below mention calculation.
>
> Material cost = 100
>
> Cost on which service tax need to ba calculated = 33% of 100= 33
>
> So my service tax will be 10.3 on Rs 33 which is Rs. 3.4
>
> VAT should be calculated on material cost + Service tax = 100 + 3.4 + 103.4 which will be 5.16
>
> Please help me to create such kind of tax code.
>
> Regards,
> Nandkishore Nachane
Hi,
F or this you have to create tax code in ftxp as s1.
in that code you have to given the description as service tax+vat
and use the all conditiontypes which are nneded for your calculation use all condition types in your procedure in ob40
and given the percentages for your condition types in fv11.
after that use this tax code at the time of p.o creation.
Thanking you.

Help in service tax code

Hiii experts... my client faced an issue in service tax code e.g s1( service tax+edu cess+higher edu).. i went to ftxp... in accounting key st1 i assigned 12%,(condtion -jstx) ec-2%(condtion-jec5) and ec3-1(condition-jes3)... all went good and the tax code strt working in testing server... but when i did the same in development server... it shows the error like define tax code at level 120..... i dont know why system showed me error... as the config is same...please help to solve the issue

Hi
PLease find below links for your needful
http://scn.sap.com/thread/1738086
https://scn.sap.com/thread/407763
http://scn.sap.com/thread/1357209
Regards
sudharsana

New Service tax mapping effective from April 2011

HI Experts,
Service tax rule has changed wef from 1st April, 2011 on
foreign exchange related transactions. The Notification No 26/2011
Below given are the slabs for calculating the new service tax
Gross amount of currency exchanged % of
service tax on transaction value
Upto Rs.1,00,000/-
0.1% or Rs.25
whichever is higher
From 1,00,000-10,00,000/-
100 and 0.05% on amount between
1,00,000 & 10,00,000/-
Amount exceeding 10,00,000/-
Rs.550 and 0.01% on amount exceeding
Can any one help for mapping this senario or any body implemented the same
Thanks in Advance
Regards,
Ram

Hi,
Note 1435105 - Master note for Indian Budget 2010 for Logistics (MM & SD) - this was the master note for impementing the service tax.
But now as service tax regulations have changed we need not configure the old service tax postings i.e postings to interim service tax accounts.
As and when the service is invoiced directly it can be booked to Service Tax Payable/Receivable accounts, previously the postings were made to Service Tax Payable/Receivable Interim Accounts. Later the amounts of the interim accounts were transferred when the invoice is paid.
Note 1571186 - Changes to Service Tax from Indian Union Budget 2011-2012 - please find the latest note on this.
In the above note there is zip file attached which expalins about the changes to be done and about the old postings.
thanks & regards,
shashi kanth.

Creation of Service Tax code for Service Tax Payable

Hi
Please advise me to create service tax code for service tax payable
Thanks and Best Regards
Shekhar
Edited by: Shekhar Yecham on Sep 16, 2008 8:28 PM

Hi Randeep,
As they said it is service tax GTA.Right we are doing out of SAP, we want it to be done in SAP
The tax calculation will be like below
service tax of 10.3% has to caluclate on the 25% of the Base amount. Like
25% is taxable and 75% is livied.
Base Amount - 100.00
25% of the base amount(100/25) = 25.00
service tax(10.30%) to be calculate on Rs. 25.00
25*10.30% = 2.57
Base amount --> 100.00
Service Tax --> 2.57
Total: 102.57
Regards,
Siva.

Creation of Service Tax code 10.30% on the 25% of the Base Amount

Dear Team,
We want to create a service tax code of 10.3% on the 25% of the Base amount.
Base Amount - 100.00
25% of the base amount(100/25) = 25.00
service tax(10.30%) to be calculate on Rs. 25.00
25*10.30% = 2.57
Base amount --> 100.00
Service Tax -->      2.57
      Total:                     102.57
Can somebody let me how to create the service tax code for this.
Regards,
Siva.

Hi Randeep,
As they said it is service tax GTA.Right we are doing out of SAP, we want it to be done in SAP
The tax calculation will be like below
service tax of 10.3% has to caluclate on the 25% of the Base amount. Like
25% is taxable and 75% is livied.
Base Amount - 100.00
25% of the base amount(100/25) = 25.00
service tax(10.30%) to be calculate on Rs. 25.00
25*10.30% = 2.57
Base amount --> 100.00
Service Tax -->      2.57
        Total:           102.57
Regards,
Siva.

Service Tax Code Creation?

Hi,
While raising A/R Invoice I have to charge service charges of Rs. 100000/- in which 67% is exempted from Service tax. In this circumstances how i have to create Service tax set up.
Ex. Service Charges -
1,00,000
Less : Abatement 67%----
67000
          Balance 33% -
33000
          Service Tax @ 12.36%on 33000                  4,079
Invoice Total Should be                                      1,04,079
Pl. help me in this regard for setting up the service tax code.
Thank & Regards
Sampath Devuneri

sampath,
Pl follow the below link for defining tax code
use s-user id to login,
https://websmp208.sap-ag.de/~form/sapnet?_SHORTKEY=01100035870000680297&_SCENARIO=01100035870000000183&_ADDINC=011000358700002837782005E&
There is a document in pdf
Localization in 2005B for India
Jeyakanthan

Problem in service tax code...

hii guys... my client is facing a problem... a po is made and at the time of service tax is not to be calculated... but i made config. in the service tax code assigned percentage to jstx(12),jec5(2) and jes3(1%)... now when they run miro.... service tax has starting coming in miro... which shouldn't calculate.....how i can do that... providing screenshots of both
Screenshot 2- The old process was like this line 2 and line 4 entered in miro then line 5 =18250 i.e 146005*12.5% and then line 6 is calculated on on basis of line 5.. then line 7,8,9 are service tax which is calculated on s3 only. line 10= line 4+7+8+9*12.5% how i can make this config.?? please guide

Hi,
Please delete Service Tax conditions in FV12 for S1.
Regards,
Tejas

Significance of EU Code in Tax Code - FTXP

Hi All,
When we give the Properties of the tax code in FTXP,there is a field EU CODE.I would like to know what is the significance of EU Code in tax code .We can maintain EU Code as 1 ,2 ,3 etc.Suppose, I change the EU Code from 2 to1 ,what will be the effect on the system.
Please guide me.
Thanks and Regards,
Payal Saxena

Hi Payal
The EU Code / EC code is used for classifying the tax codes which are to be taken into consideration in the EC sales list.
This is only possible for output tax.
Furthermore, this code is used for carrying out checks when entering a document.
If G/L account items are displayed in a document as delivery of goods or subcontracting within the EC using this code, you should also specify a VAT registration number (VAT reg.no.) in this document.
This means that the VAT reg.no. of the reporting country is defined in the customer master record when posting. During document entry, you can only enter a VAT reg.no. for manual cash discount expense postings. You cannot enter the VAT reg.no. directly in customer postings. For these postings, the system always fetches the VAT reg.no. by using the reporting country from the master record (document entry and document change).
I believe 1 is for Goods, 2 for Services & 3 for Subcontracting.
So definitely there will be a difference in recording these tax codes.
Rgds
Zub

Creating Tax Codes FTXP

Transaction: FTXP
This area gives you a step by step explanation on u201Chow to create a tax code in SAPu201D. Later on these tax codes must be used in the creation of condition tables such as for MWST.
Go to transaction code FTXP and select the country for which you need to create a tax code. This country is automatically linked to the Tax Procedure which has been set up in the menu path [IMG - Financial accounting - Financial accounting global settings - tax on sales/purchases - basic settings - Assign country to calculation procedure].
Enter in the field tax code. This must be a 2-digit alphanumeric code i.e. A5, 55, BB, etc.. Before SAP 4.5 (I believe) you could use other special characters such as @, ? etcu2026 But this is no longer applicable. See OSS note 212806.SAP will ask you to complete other additional fields such as:
description of the tax code: please give a clear description
define the tax type: define whether the tax code is relevant for input or output tax
Indicator which determines that an error message should be issued if the tax amount is not correct. It it recommended to flag this.
Eu code: One of the most forgotten parameter. If you do not set this parameter at u201C1u2033 then all transactions with this code will be not picked up in the ESL listing of that specific country. This code u201C1u2033 represents all the Sales from one EU country to another EU country.
The target tax code fields are used in case of deferred taxes. This is applicable for example in France. The VAT needs to be paid for example not when the invoice is issued but when the customer pays the VAT. There are here again special programs available in SAP for deferred taxes.
Reporting country: this field needs to be completed when you are using the plants abroad functionality. This means that when you as a German company have a Belgian VAT number and you have sales in Belgium (+ you need to submit a VAT return in Belgium) , then of course these invoices need to be booked in SAP with a Belgian tax code.
Further in the menu you can also allocate the amount where this specific tax code is used to a certain tax account. The tax type fields such as Base Amount, Input tax, Output Tax u2026 can be determined via the calculation procedures. Calculation procedures are defined in the IMG at [Financial accounting - Financial accounting global settings - tax on sales/purchases - basic settings - Assign country to calculation procedure]. Here you will need to define also the calculation levels. For example the Output tax is level 125 and the output tax will be calculated on the basis of the base amount. Therefore you put for the output tax in the field u201Cfrom levelu201D 100. The level of Base amount is 100. You do the same for the others.
Account Keys.
NVV: The non deductible VAT is automatically added to the expenses account
NAV: Indicate for this key a separate account for the non deductible VAT
ESA: Output tax in case of Acquisition of EU goods
ESE: Input tax in case Acquisition of EU goodsLast but not least you also need to complete the tax rate field.
Tax Percentage & GL Account assignment
Tax percentage can be maintained in two ways & that depends upon the Tax procedure that has been followed i.e. if tax procedure is formula based then percentage can be maintained in FTXP only, where as if the procedure is condition based then percentage has to be maintained under the identified condition type.
Once done GL accounts has to be assigned under OB40 for automatic posting of tax amounts.

Hi Manoj,
What do you mean by advisable solution? Do you know where in SAP documentation (SAP help or elswhere) it is mentioned that a new tax code should be created in that case?
That's why I opened this question. If there is no harm then it is easier to change the gl accounts (client requested to change the gl accounts for 127 tax codes). However if there might be a negative effect and it is mentioned somewhere by SAP or anyone of you had a bad experience then of course I would prefer creating the new tax codes.
Your answers are welcomed!
Regards,
Vlad

Tax code FTXP Request Number

Dear All,
I have 2 client in my DEV system. Client 400 - Full Configuration Client 500 - Block Configuration
But FI Consultant was unable to get the Tax codes transported from 400 Client as it is not giving any request number while saving.
To Note: these tax codes are maintained at the country level and are not the part of master-data of a Company Code.
To make you aware in absence of Tax codes we will not be able to post the Invoices and will have obvious issues in Tax Calculation.
Please give me advice.
Regards
Suresh

Hi
This is basic from FI Issue not an BASIS I think so.
In FTXP transaction one option is there Tax .then click the Transport and Export it will be generate a New Request Number and Import the Required Client number that Request.
This is the way without create a Another client.
Regards
Thomas.T

Tax Code FTXP

Hi friends,
When i change the value of Tax rate in tax code of FTXP, i am not able to change.
there was a client refresh.
help me in this regard,
txs,
BS

hi,
There are two tables in which u need to check.A003 and KONH.
these tables are condition records stored tables.
As u said there is client refresh entries in A003 are to be deleted relating to condition records,then you will be able to save the entries in tax code thru FTXP.
hope this has clarified you.
bye
bharathi

Exempted vendor Service Tax Issue

Hi ,
One our vendor having exemptions from service tax . The scenario is follows
If total amount of invoice is 100000 Rs then in normal case service tax payable is 10.33 % = 10330 Rs and Total value is 110330 Rs .
Now for this particular vendor if amount is 100000 Rs then he has to charge service tax on 35 % of amount that means 10.33 % on 35000 Rs so Tax = 3615 Rs and total Invoice amount will be 100000 + 3615= 103615 Rs.
Each time calculating it manually and booking the invoice is not possible . How can I configure such scenarios . Is there any standard settings available for the same
Regards
Bhushan

Hai,
create the new service tax code with required percentage and use the same .

New tax code configuration in FTXP

Hi,
Can anyone help me in creation of new sales tax code. We have already existing tax codes like P1, P2 etc., Now we want to create P3. How should we create? Can i copy from P1 to P3 in FTXP? Apart from these, is there anything needs to be configured?
Once, will it be created can i post the invoice and capture the tax based on defined tax rate?
Please help..
Thanks
Deepak
Moderator: Please, search SDN. Yes, you can copy the tax and update the rates, if required

Hi RaviRaj,
1. "User will choose" -
This "choosing" is done by with the help of Tax Classification concept.
E.g.
TClass. Mat , TClass Cust., VAT %
1, 1, 1-12%
1, 2, 2-4%
etc.
The above is done via condition record settings (+ creation of tax codes with respective values).
In essence, first business gives their tax requirements & then that is inputted in the system & then with respective MMR, CMR, SAP automatically gives you the selected value for condition type.
2. Manually choose -
In VA01 / 02, User can change the Tax classification for both CMR (on header level) and MMR (on item level) to get different values for the tax cond type.
But first various tax code (with values) have to be created. In your original post you have mentioned only one tax code with 14%.
In VK12 required information has to be maintained.
3. (NOT recommended, but an option) The users can have a paper with a table consisting of Tax Class MMR, Tax Class CMR & corresponding VAT values; and then go ahead with step 2 and get the required VAT values. Populating all the vat values in Sales order, Tab conditions shall create lot of lines that are not required (e.g. vat 1- 12 %, vat2- 4 %, vat 7- 14 %)
4. My suggestion to you is - read the theory of Tax Classification & calculation of Tax %; things shall get clearer. & think if the business has set rules for example M-1 with VAT 7 is tax exempt then avail SAP for calculation rather than user done calculations;
Edited by: Typewriter on Jul 4, 2011 12:56 PM

New Service Tax code ( FTXP)

Similar Messages

Maybe you are looking for