Tax calculation in SRM and passing onto R/3 PO

Hi,
We are on SRM_SERVER 550, SP07 and R/3 4.7 backend.
1. We have a requirement wherein we want the tax determination to happen in SRM. Basically there is no logic for determining the tax codes, but the user himself selects it per line item when creating the cart.
2. We want this to be transferred to the backend PO line item. The tax codes in SRM and R/3 are identical.
Can this be achieved by standard configuration?
I checked that there are 4 choices for tax calculation in SRM
No tax calculation
Tax calculation occurs in backend
Customer specific implementation'
Tax calc occurs via external system
tax calc occurs via TTE
I am not sure which one we should be selecting (currently its no tax calc). I am also not sure if the tax code which is selected in SRM will be passed onto R/3 Or should this be mapped in the BBP_CREATE_BE_PO_NEW Badi?
The option thro development is to provide a custom field where users can enter the tax code/choose from a list and then map it to the tax code(TAX_CODE - MWSKZ) field in badi BBP_CREATE_BE_PO_NEW. But we would prefer to stick to the standard options if they are feasible.
Any pointers to this would be very helpful.
Regards,
Srivatsan

Hi,
If you have a classic scenario where the PO is created in the backend only the standard configurations will work for this.
1) Determine System for Tax Calculation--- R/3 Tax calculation occurs in backend.
Tax calculation occurs in the Backend System
Tax calculation occurs via RFC in the backend system in Financial Accounting. If an external system is connected to the backend system (Vertex or Taxware, for example), this is automatically called from the backend system.
2) Enter tax code :
As you mentioned use the same key and also the description here. Make the zero tax as No tax and make it as default also ( which is safer for all users).
With these two config steps you will get an F4 help in the for all the tax codes defined whereas the system will suggest the zero tax as the default.
The other config steps are optional where you can have tax codes for you product category. Please do configurations in these steps only if required.
This SC tax code will be there in the PO created from SRM provided if you have entry for this in FTXP in the R3 system.
As far as we have configured you dont need BADI for this standard Tax calculations.
If the invoice is made in R3 with reference to this PO then this tax code can be changed.
Best regards,
Sridhar.

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Tax calculation in SRM from ECC

Hello All
Our requirement is to validate the ship to address entered by an user in SRM shopping cart.
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For each address ECC returns two Tax jurisdictions ( One for Out of City & One for in City).
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Is there any other means of checking that the SHip to address is correct ??
Thanks
Kedar

Thanks Ramki !
Our Users should enter the correct combination of City , Zip code, Region and Country when entering
their own ad-hoc addresses in shopping carts.
If Tax calculation is enabled then this is taken care of ,as any wrong combination returns the error " Tax Jurisdiction not found".
However as I mentioned earlier our FICO is set up peculiarly in ECC.
For most Zip code, city and county combinations , there are two tax jurisdictions ( one for in city and one for out of city).
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I am little bit confused in Tax Calculation in MM and SD . Please see the scenario below
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In mm we use Pricing Procedure and Tax procedure both.
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The Tax procedure could be used for excise duties , CST, VAT, service tax.
3- In MM if we use calculation scheme and tax procedure , then how tax base is determined for tax calculation ?
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Where as in Sd you could use it in one.
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Hello,
I have an issue regarding calculation of tax. 2 scenarios are used in common: classic and standalone. One node of Organizational structure is using classic scenario, another node is using standalone. So I have 2 Accounting Systems defined (one for each node).
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Problem is that I can not customize the system this way. I do not know any mean to set 2 ways for tax calculation. Would you have any idea to do this?
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Patrick

Hi
<b>Please go through this -></b>
http://help.sap.com/saphelp_srm50/helpdata/en/f4/8b1d40bb37e569e10000000a155106/frameset.htm
Note 848164 SUS3.0: FAQ: Logic of Tax calculation within SUS
958273 FAQ: Taxes in SRM-SUS
999896 EBP tax codes not correctly mapped to back-end tax codes.
908659 Follow-up note for Note 509594
931198 Missing Tax Code in Limit Shopping Cart
430202 Delivery address in shopping cart in BAPIEKPOC
931198 Missing Tax Code in Limit Shopping Cart
881086 Country-specific tax calculation
703292 TAX. Input/Output tax in SAP Supplier Self-Services with TTE
513250 ERS. Tax calculation with the new 3.0 function
390861 Transferring tax table for ERS from backend system
Note 657146 Enhancement for US tax calulation: Functions
510142 EDI-Customizing: Tax code tax-exempted transactions
317040 MR08: Message M8267
49436 MR44: No message if the tax amount is different
Note 84127 Tax Jurisdiction Code for EDI/ALE and Intercompany
Also Try BBP_DET_TAX_BADI.
Regards
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Witholding Tax calculation while payment and advance

Dear experts,
I have few questions as below. It would be great if you can help me out in this :
In vendor master I have two WTH tax codes for invoice and payment and marked as liable.
Incase of invoice (FB60) posting system is calcu;ating correctly and posting, but while posting no popup for to rectify the WTX code also no base amount is populating in WTH tax tab of invoice posting. Is this correct way??
While making payment for the same invoice through F-53, system is again calculating on same open item and no popup, until I go to WTH tax tab and delete the tax amount. What is lacking in my customising of WTH tax code (payment type), to restrict WTH tax calcutaing twice ??
While making advance payment by F-48, system not calculating WTX tax and showing tax code is mandatory, even though tax code (V0-tax exempt) entered, no WTH tax calculation happening. I have checked all Field status of document type and recon account, nothing is mandatory. I dint know why?? Please help in this regard.
Thanks in advance.
Regards
Abhi

Hi madhu
Thanks for explaining the process it works.
Regarding the error I was facing earlier to enter the tax code in F-48 for the tax category was marked as ' * ' in the advance reconciliation GL. I have removed them and now the error is not coming.
But now for the same or advance payment with F-48, I am not able post the document, though the payment WTX code is showing but not calculating the amount for the same.
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Message no. 7Q320
How to post it. Please help.
Regards
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Tax calculation in SRM

Hi
Can the tax calculation be disabled in SRM. How we do it.
Regards
Pooja

Hi
Yes, Tax calculation can be disabled in SRM.
Use transaction SPRO.
IMG->SRM->SRM SERVER->CROSS APPLICATION BASIC SETTINGS-> TAX CALCULATION-> DETERMINE SYST FOR TAX CAL
Here select the radio button for "No tax Calculation" from drop down.
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Hi friends,
we want to automate MIRO.
we are using BAPI ( BAPI_INCOMINGINVOICE_CREATE ).
while posting that does not propose excise duty ( Modvat ) amount and
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we are using BAPI in calculate tax mode.
( BAPI_INCINV_CREATE_HEADER-CALC_TAX_IND = 'X'. )
In MIRO:
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Excise duty -   16.32
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Sales tax      -     4
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total difference is 16.97.
please give me the solution for this problem.

Hi Experts,!!
Kindly let me know How to use Multiple vendor in BAPI_INCOMINGINVOICE_CREATE.
We have a requirement that in PO multiple vender will be maintained, we have to create individual wise invoice for multiple venders.
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Hi,
As we define the tax code , and mention this tax code in PO for calculation of taxes like BED,SED etc.In invoice tab we can see the calculated taxes and their respective amounts.
Now in MIGO while creating GR, do I have to maintain the tax rates once again iin GR excise tab also??
I wnat to know in GR whther system takes the tax related information from
1. tax code in PO or
2. from J1ID if yes from where in J1ID OR
3. We have mention the tax rates in GR excise item tab. As system should show some excise duty in "EXCISE ITEM " of GR screen.

it depends on tax procedure u use
if TAXInn
then it depende on condition record u maintain in FV11 for material plant vendor.
and in j1id u will have to maintain material chapter id combination and cenvat determation
also vendor excise details
excise indiactor for plant
excise ind for plant and vendor
if taxinj
then
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hi everybody,
i have some doubts in SRM.
1) where & how we calculate the TAX calculation in SRM?
2) how & where we get the BIW reports in SRM?what kind of reports they are.
pls anybody can send me detailed solutions for above.pls put an eye on this issue. ok
bye bye
warmregards
rakhi

1) It depends on how your firm implements tax calculation. Some firms use external software to do the tax calculations. You can configure Tax Calculation under IMG in SRM system path SRM->Cross Application Basic Settings->Tax Calculation->Determine System for tax calculation.

Tax procedure in SRM

Can someone please let me know how to setup Tax procedure in SRM.we are using SRM Extended classic. Has anyone ever connected to Taxware or Vertex to SRM directly and did the PO tax calculation.

Hi Deep
There are few options in SRM for Tax Calculation
1. No Tax calculation in SRM - Nothing will be calculated- neither in SRM nor in ECC
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3. Customer specific implementation - you create your own development for tax calculation
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Refer to these notes for more information
Note 327431 - FF718 Tax code and jurisdiction code
Note 657146 - Enhancement for US tax calulation -Functions
Note 881086 - Country-specific tax calculation
Note 1039435 - FAQ - Trigger of tax update
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Hi,
We are using SRM 7.0 ECS scenario. We have 5 different tax codes in ECC. Now the standard ECC functionality is that these tax codes are maintained in the purchase Info record. When we create ECC PO, the tax code is adopted from the PIR.
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Is there any configuration to achieve this?
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Sumendra

Hello,
Check if an active implementation of BBP_DET_TAXCODE_BADI is changing the selected tax code.
Also, any PO badi could influence this behaviour.
Kind regards
Ricardo

Different Tax codes in SRM PO and replicate ECC PO

Hello Experts,
Problem related to the TaX code in replicated PO .
We are in Extended classic scenario.
In SRM, when creating Shopping cart we enter manual tax code like e1(20%) or e2(25%) etc and when PO gets generated and replicated in the backend the tax code changes from E1 to V4.
Now in SRM PO the tax code is E1 and in backend replicated PO the tax code is v4.
I have checked the condition records in MEK3 t-code in ECC and found that condition record for same region is v4, i think because of this condition record the system is overwriting the tax code which is coming from SRM system.
Irrespective of any tax code which is coming from SRM PO , the ecc PO overwrites the V4 tac code for same region.
How i can overwrite that the SRM and ECC should have the same tax code as chosed in SRM at the time of creating a SC or a PO
Please help to accomplish
Thanks
Smriti
Edited by: Smriti arora on Jan 19, 2011 10:40 AM

Hello Experts,
I have posted a thread 3 days back, any help will be greatly appriciated.
Smriti
Edited by: Smriti arora on Jan 24, 2011 1:03 PM

Tax calculation on sales order and invoice is different

2007A, SP0, PL49
The tax on a sales order does not match the tax on the linked delivery and invoice by 1 cent. We take payment based on the sales order amount as the delivery and invoice are done after the fact. Why is the tax calculated differently on the delivery/invoice? We would want it to always match.
Item price = $111.04. Taxcode rate 13% has combination of 5% GST + 8% ONTAX.
On Sales Order, ONTAX = $8.88
On Delivery/Invoice, ONTAX = $8.89
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Something must be wrong with your Sales Order tax. The actual tax would be 8.8832. Round up to 8.89 is correct. Do you have any SP, FMS or add-on been used?
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Gordon

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

Input Tax and Output Tax calculating wrong figures

Hi,
I have created Input Tax and Output Tax codes in SAP.
Input Tax- 3%
Output Tax- 4%
All the configuration is done as required. But when I am posting the Purchase and Sales Invoice, the tax amount is not calculating correctly.
For example:
Input Tax Calculation should be:
Vendor A/C.............. Cr 30000-
Expense A/C............ Dr 29100
Input Tax A/C............ Dr 900 (@3% on 30000)
Input Tax Calculation in SAP:
Vendor A/C.............. Cr 30000-
Expense A/C............ Dr 29126.21
Input Tax A/C............ Dr 873.79 (@3% on 30000)
The same is happening to Output Tax transactions.
Please advice.

My understanding about the Input Tax and Output Tax was wrong. In the issue reported
Input Tax Calculation should be:
Vendor A/C.............. Cr 30000-
Expense A/C............ Dr 29100
Input Tax A/C............ Dr 900 (@3% on 30000)---my understanding was wrong.
Input Tax 3% should be charged on Expense amount, in this case Rs 30000. But because in the editing option calculate tax on net amount option was not selected, hence SAP was giving the below entry, which is correct as well.
Vendor A/C.............. Cr 30000-
Expense A/C............ Dr 29126.21
Input Tax A/C............ Dr 873.79 (@3% on 29126.21) which is correct.
Hence, the Vendor amount should be Expense + Input Tax= 30000 * 3%=900 + 30000 (expense) = 30900.
Correct Entry should be:
Vendor A/C...............Cr 30900
Expense A/C............Dr 30000
Input Tax A/C............Dr 900
Resolved. Pankaj has given the correct answer.

Tax calculation in SRM and passing onto R/3 PO

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