Service Tax Calculation (For Transporter)

Hi
We have a requirement related with Service Tax Code , related with Transport Vendor where in Clinet wanst the Service Tax as 10.3% on 40% of the Invoice.
For example: say the Invoice Value is Rs. 100. The Client want Service Tax 10.3% on Rs 40 i.e. Rs. 4.12
Pls. guide.
Regards,

Hi Pramod,
you have to create a new condition type which will be the copy of any discount condition type.
then you have to modify the taxinn. here you have to call this condition type before service tax condition type. the base for the new condition is the base value.
now you will have to maintain the condition record for the your new condition as 40%
and your service tax condition record as it is that is 10.3%
regrads,
Adwait Bachuwar

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Service Tax Calculation for Condition Types

Dear Experts,
In an Import Purchase Order for Coal, along with the Basic Price of the Coal, the following Conditions are also entered, in the Condition Types maintained in the Import Pricing Schema
-        Water front royalty
-          Port Dues
-          Berth Hire Charges
-          Port terminal charges
-          Surveyor charges
Each of these conditions may have a separate Vendor, hence the Purchase Order creator will select each condition and assign the required vendor.
Each of these conditions is subject to Service Tax, Educational Cess and Higher Secondary Educational Cess, the User want that separate service tax calculation be made available in the pricing schema for these individual conditions and the relevant vendor be assigned to these condition. the service tax on individual conditions be paid to the relevant vendor along with the basic value for the condition.
Separate Condition Types (15 nos.) for each of the above conditions for Service Tax, Educational Cess and Higher Secondary Educational Cess can be prepared and added in the pricing schema, the user will have to enter the percentages in the relevant conditions.
The user wants that the Service Tax be automatically calculated for these conditions, instead of manually entering the same. Please guide how can this be achieved.
Thanks in advance.
AJ

Hi,
For this you have to maintain the all your charges in your pricing procedure along with each charge you have to maintain 3 condition types for service and chesses.
Ex:
step counter cond.type des.                   from                 to
1 1 P000 Gross Price
1 2 P001 Gross Price
25 0 JM00 Water front royalty                 1
26 0 ser1 service                                  25
27 0 edu1 educationcess                      26
28 0 edu2 se.edu.cess ;                        26
29 0 jm01 Port Dues                                1
30 0 ser1 service                                   29
31 0 edu1 educationcess                       30
32 0 edu2 se.edu.cess                           30
like this you have to built your pricing procedure in a m/08. after that for you want the service tax automatically so for that you have to put the accesses sequence in you service condition types (ser, edu1,edu2).in m/06.
After that you have to maintain info record for that material and import vendor. in me11 in that in condition tab you have to maintain percentage for ser, edu1, edu2 . the system will calculate the service charges automatically.
Thanking you,

Service tax calculation for payments made and posting as noted items in FI

Hi all,
I have requirement to calculate service tax on customer payments made in construction company while booking a flat in building.
here we need to calculate service tax on noted items in FICO.depending on work completed and amount received we have to calculate service tax applicable for those payment made.as,I am new in this construction sector having confusion in calculation of amount.can anyone guide me through this.
Thanks in advance.
Harshada
Edited by: Harshada.up on Dec 9, 2010 6:35 AM
Moderator message: "spec dumping", please work yourself first on your requirement, obtain local help if necessary, e.g. get back to the author of your requirement.
Edited by: Thomas Zloch on Dec 9, 2010 10:53 AM

Hi Srinivas,
Can you please tell me how the service tax will get calculated in rental conditions?
I've made the following configuration settings:
Step1: RE-Fx>> Accounting>> Automatically Generated Accounting Documents>> Summarize Documents:
Under this node>> Set Item Summarization "Active" for the particular co. code.
Step 2: Defined service tax under "Tax Type" for country INDIA
Step3: Under the IMG node:
RE-Fx>> Accounting>> Integration FI-GL, FI-AR, FI-AP>> Assign Tax Code:
I've maintained Service Tax (tax type) to the country IN.
Also in the contract under posting parameters tab; i've maintained the Tax Type as Service Tax.
In conditions tab also, when I'm simulating the condition, I'm getting the correct entries, (as shown in the screen shot):
Condition Amount: 20,0000 INR
Net Cnd Crrncy: 20,000 INR (for the month of July)
Tax Cnd Crrncy: 2472 INR.
However, when I'm doing RERAPP; i'm unable to post the condition. Getting the 2 errors (screen shot attached):
1) Tax code S2 does not exist in company code E500
2) Taxes by item is activated; consequently, transfer by item is mandatory
Kindly pl. assist where I'm going worng or any configuration missing due to which I'm unable to execute RERAPP for a condition (with service tax calcultaion) for a commercial lease in contract.
Thanks
Shantanu Kar

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.

Service tax calculation on unplanned deliver cost

Hi,
While doing MIRO if we are give negative amount in unplanned delivery cost than system calculating service tax on the total value of GRN.
For example MIGO (GRN) has been done for amount 100,000
But while doing MIRO if I put (-20,000) in unplanned delivery cost than system still calculate service tax on 100,000 not (100,000-20,000= 80,000)
We have also implemented two notes 1402621 and 1300860 but problem still the same.
Please advise whether we are missing some configuration or something else.
Regards,
Abhinav Sharma

Hello Vishal,
There is one settings in SPRO - MM - Logistics Invoice verification - Incoming Invoice which asks for the default tax code for unplanned delivery costs.You can put V0 there as zero tax calculation for unplanned delivery costs But am not sure whether it will work if we are posting the unplanned delivery costs in the same line item of material values. Check the same from your side. Now i dont have access to the system and i will check from my end also for the same and get back to u.
Regards
Gregory Mathews

What determines the price and tax calculation for consignment stock?

Hi All,
anyone knows how the price and tax are calculated for consignment stock? in other word, among the info record , contract or material master, what determines the price and the tax calculation for consignment stock?
please advise, your input will be rewarded.
thanks,

First preceeding is taken by contract and then info records of consginment

VAT/CST-Service tax calculation through FI

Dear All,
We have TAXINN procedure with condition based. in this case how to caluclate output VAT/CST and service tax though finance (in t code FB70- f-22).
Is there any steps we need to take care through finance module.
Thanks in Advance,
Regards
Sahil K

You can refer the following for Service Tax configuration
http://wiki.sdn.sap.com/wiki/display/ERPLO/ServiceTaxConfigurationinIndia+(SD)
Service Tax Configuration
For VAT, you'll have to configure Tax procedure, create Tax codes and maintain rates in them.
Ravi.

Service Tax on Goods Transport

Hi
How can we configure the Service Tax on Goods Transport in India
Here the tax has to be posted both as Input Credit and Liability
Thanks
Murali

Hi,
See the note: 921634.
Service tax processing is given in the note.
Award points if useful.
Thanks and regards,
Sri

Tax Calculation for Service Process at service entry level

Hi all ,
We have Service process where the tax calculation is Purchase Item level and the Tax calcaulation is happening from there .
and also during MIRO .
system is not able to determine the tax calculation at service entry level , how can we achieve this ?
can some help me on this .
thanks ,
ksr

Hi,
please check additionally the following OSS notes:
495316     Taxes with services
See consulting Note 498878 for information about the functioning of
taxes for service documents.
For service orders, you can set in Customizing (Transaction ML100 or the
following path: -> Materials Management -> External Services Management
-> Taxes at Individual Service Level) whether the taxes are calculated
at individual service level or at item level.
If you set the 'Taxes at individual service level' indicator for a
country, you can maintain tax data (tax indicator MWSKZ and tax
jurisdiction code TXJCD) in a purchase order at service level AND at
item level in Customizing.
The tax calculation only occurs at service level.
Regards,
Edit

Changing the base price for service tax calculation

Hi
i have and PO order with basic price say for 100 /- on which it is calcuating service tax 12% , e-cess 2% hcess--1 .This is coming thru tax code from the tax procedure and these taxes service/ecess /Hecess is to be posted to sepearte G/L account.This is working fine.
Now my requirement is that i want to calculate service tax on some % of the base price say 70 % of the base price. The % will always be changing .i want to calculate service tax on the 70/- not on 100.
i want that system should post this 100 /- to cost of service but the tax should be on whatever percentage i make .Here this is 12.36 % on 70 not on 100 at the time of invoice posting.
please guide me
regards

Hi,
For this you have to maintain the all your charges in your pricing procedure along with each charge you have to maintain 3 condition types for service and chesses.
Ex:
step counter cond.type des.                   from                 to
1 1 P000 Gross Price
1 2 P001 Gross Price
25 0 JM00 Water front royalty                 1
26 0 ser1 service                                  25
27 0 edu1 educationcess                      26
28 0 edu2 se.edu.cess ;                        26
29 0 jm01 Port Dues                                1
30 0 ser1 service                                   29
31 0 edu1 educationcess                       30
32 0 edu2 se.edu.cess                           30
like this you have to built your pricing procedure in a m/08. after that for you want the service tax automatically so for that you have to put the accesses sequence in you service condition types (ser, edu1,edu2).in m/06.
After that you have to maintain info record for that material and import vendor. in me11 in that in condition tab you have to maintain percentage for ser, edu1, edu2 . the system will calculate the service charges automatically.
Thanking you,

Tax calculation for Service Entry Sheet

Hi all,
We have the following issue:
In Purchase Orders we have a formula in Conditions in order to calculate the tax amount according to Gross Price. ( It is a legal requeriment of the country )
When we execute ML81N, the value of Gross Price is right, but in the Net Price, the value is the same to Gross Price.
Anybody knows how to take the Net Price in ML81N from Purchase Order ?
Thanks a lot for your answers.
Best regards,

Hi,
In ML81N sceen only net value will be displayed.
If you avail any service, only relevent amount of service tax will be deducted from the total amount.
In Purchase Order you have to select the relevant service tax code.
Regards.
Balu

Service Tax Issue on Transportation

In INDIA when we receive the invoice from transporters we have to calculate the service tax on the 25% of the invoice amount and the TDS as per the rates applicable entry should automatically be like this when we will use the service tax code eg
Invoice amount is 25000
Vendor Cr rs 22167
Transportation charges Dr 25000
TDS payable basic       Cr 2500
Surcharge                    Cr 250
ECS                            Cr 55
HECS                          Cr 28
Service tax                   Dr 643 (p&l a/c)
Service tax`payable       Cr 643(B/Sheet a/c)
Now the issue is when i use the tax code in SAP it posts a different transcation like
Vendor Cr rs 22167
Transportation charges Dr 24357
TDS payable basic       Cr 2500
Surcharge                    Cr 250
ECS                            Cr 55
HECS                          Cr 28
Service tax provision     Dr 643
Please let me know where i am doing wrong
Please revert
Sunil Kumar

Dear ,
this are the steps for calculating Service tax for Transportation (GTA)
Create new entries with GTA as the Official withholding tax key name
Create withholding tax type using the path
Create withholding tax code using the path
Note: when u create tax code u should select '3' for posting indicater under postings
Assign the withholding tax type to the company code using the path
Maintain G/L accounts for the debit entries using the path
if u have any quarry please get back tome......
Regards
radha

Comercial rounding in FI Service Tax Calculation

Dear All,
We are in Implemantation project, we done the configuration for Service Tax From FI, system is calculating the persentage but my issue is ........
My client wants the rounding values in tax line items
Ex ; if my tax line item is having 10.49 in this case this should be 10.00
10.51 in this case this should be 11.00
we check the condition records but there is no option for comercial rounding with nearist rupee.
Regards
radha

Hi ,
In the configuration of Condition type there is a option to maintian the Rounding Rule
The rule that determines how the system rounds off condition values during pricing. The last digit will be rounded.If you leave it blank it will take Commercial Rounding and will round as example shown below
10.454 -> 10.45 DEM
10.455 -> 10.46 DEM
But your requirement is to round off to the whole number instead of decimal.
In that case Check the Pricing procedure you are using.
Against the Service tax Condition type maintain the Cal Type as 17.
This will round the amount according to T001R table.
Go to T code OB90 and maintian the Rounding unit as 100 based on your Company Code and Currency.
Hope it helps
SJ
Edited by: Sumit Jain on Dec 4, 2009 7:30 AM

Service tax calculation on payments

hai sap gurus.
my client has nine company codes and in every company they want to calculate service tax at the time of receiving payment from customer.i think this is not possible with f-28.can any one suggest me the solution for this trouble some problem.
thanks in advance.
R A J I N I

Service Tax is NOT Income Tax. So, you would not calculate Service Tax downpayments. Service tax is applicable only on Service rendered and does not concern whether it is paid. (Though, if you want to avail Service tax credit, you'll have to pay for the service, which is mandatory as per the Indian Tax laws).
So, Service Tax is only calculated from the Invoice. As long as no invoice is raised, no Service tax is payable / deductable.
The above is true for India and most countries. You have not mentioned which country are you working with. If such a scenario is appropriate in your country, you'll have to consult your country version documentation.
Ravi.

Service tax process for EHP4 package

Hi sap gurus,
I need a detail process of service tax for ehp4. On this level in ecc 6.0 Note 921634 is fully aplicable. Also provide the total gl account required.
Warm Regards

Hi,
please check additionally the following OSS notes:
495316     Taxes with services
See consulting Note 498878 for information about the functioning of
taxes for service documents.
For service orders, you can set in Customizing (Transaction ML100 or the
following path: -> Materials Management -> External Services Management
-> Taxes at Individual Service Level) whether the taxes are calculated
at individual service level or at item level.
If you set the 'Taxes at individual service level' indicator for a
country, you can maintain tax data (tax indicator MWSKZ and tax
jurisdiction code TXJCD) in a purchase order at service level AND at
item level in Customizing.
The tax calculation only occurs at service level.
Regards,
Edit

Service Tax Calculation (For Transporter)

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