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.
Thanks
Ashish

Similar Messages

  • 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.

  • 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.
    We thought about activating tax calculation in SRM ( by making a call to ECC) , so that the address will be automatically checked & return an error if Tax jurisdiction is not found.
    However it turns out that in ECC , the tax jurisdiction is not unique for a given address.
    For each address ECC returns two Tax jurisdictions ( One for Out of City & One for in City).
    Is there a way to influence ECC and make it always select one of the found Tax jurisdictions.
    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).
    So when SRM calls , ECC can't decide which Tax Jurisdiction to return and hence always returns the error.
    I researched on this and no SRM BADI seems relevant. Is there any ECC user exit or any other way??
    Thanks
    Kedar

  • BIW with SRM&TAX calculation

    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
    2. Tax calculation in 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
    3. Customer specific implementation - you create your own development for tax calculation
    4. Tax calculation via external Tax system connected to SRM..e.g. Vertex for US and Canada
    5. Tax callculation via SAP TTE  - The Tax Transaction Engine is called via RFC here.
    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
    Regards,
    Virender Singh

  • Tax calculation in backend and in SRM (classic and standalone scenario)

    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).
    Requirement is:
    - For classic scenario, setting the tax calculation in backend
    - For standalone scenario, setting the tax calculation to no tax calculation
    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?
    Thanks,
    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
    - Atul

  • Config for Tax calculation

    Hi All,
       I am  SRM functional guy but trying to analyze a issue we are having - Via SRM when we create Shopping Cart and send to backend for PO creation(Classic Scenario), Shopping cart item says 'Error in Transmission' and when I look at RZ20 it says 'For ERS Tax calculation has to be setup'.
    Please advise
    Thanks a lot.
    Rao

    Hi,
    For the ERS vendor the tax code is mandetory and the tax code which u are entering in SC,Please check in FTXP the tax code settings.
    Or if you want to avoide this error, use non ERS vendor in SC.
    Regards,
    Manish

  • Tax override in SRM

    Dear Team,
    I have an issue in SRM purchase order where user says that Tax determined by external Tax system for particular case is not correct and tax needs to be manually overwritten,
    The requirement is for US region and the Tax is calculated by external system - Taxware based on Ship to address Tax jurisdiction code. Based on Tax jurisdiction code the Tax calculated by Taxware is 6% but for the specific PO as per user the tax applicable is 1.875%. So business is asking for new custom field in SC/PO to enter manually the Tax rate and this tax rate should override the value proposed by external system.
    So If any one has faced the same scenario and have proposed solution for it. please let me know your pointer on this
    Thanks
    Rajesh Rajagopal

    Hi Rajesh,
    have you tried BBP_DET_TAXCODE_BADI and BBP_TAX_MAP_BADI BADIs?
    Regards
    Konstantin

  • Extended classic purchase order tax calculation

    We are running extended classic on SRM 4.0.  We are connecting to our R/3 backend version 4.7.  The backend is utilizing Vertex for it's tax calculation.  We have confirgured SRM to use the backend for tax calculation. 
    We have a 5% state sales tax and a 1% local option sales tax at this location.  If we procure an item from a vendor residing in the same state then the local option sales tax applies (i.e. 6%).  If we procure an item from a vendor outside of the state then the local option tax does not apply (i.e. 5%).  I've tested this by creating PO's on the backend for both scenrios and the tax is calculated correctly.
    The issue we have is that the shopping cart is calculating the tax amount correctly, the replicated purchase order in R/3 also has the correct tax amount, however the purchase order residing in SRM does not have the correct amount, it is always calculating 6%, which is incorrect.
    My question is does anyone know the function module being called to calculate tax when the SRM PO is being created?  For the shopping cart I have verified that BBP_CALCULATE_TAX_ITEM46B is being used, is it not the same for the SRM PO?
    Best regards,
    Shawn O'Connor

    Hi Shawn,
    I do not know your SRM release... but did you already see OSS note 656398 and 888896 ?
    Hope this helps,
    Regards,
    Yann

  • Tax Code Determination-SRM

    Hi All,
    I'm having problem determining country/company code specific tax codes in shopping cart. Currently I'm gettig all the defined Tax Codes in the system.
    I tried implementing SAP note 782463, it gave me drop down in browser but as there is no search help attached to it or not even any search help module so it shows message "No Input Help Available".
    I even tried implementing BAdi "BBP_F4_READ_ON_EXIT" and "BBP_F4_READ_ON_ENTRY" but it seems they are not being called. I think, if implemented, this will filter the already available drop down and no F4 help required in this case.
    Now I'm seeking your advice, if implementing SAP note, do I need to modify back-end SAP standard screen and put an Input Help (F4) function module there?
    Other is please let me know BAdi implementation process in both R/3 and SRM system is same. As browser based applications cannot be debugged, I cant see how the program is being executed and why its not calling the said BAdis.
    Your earliest response would be highly appreciated.
    Regards,
    Shabbar

    Hi Deep
    SRM does not have its own tax calculation logic. it can only be done either via
    1. Backend Tax calculation
    2. Tax calculation by an external tax system connected to Backend
    3. Tax calculation by an external tax system connected to SRM
    4. Tax calculation by SAP TTE connected to SRM
    5. Customer specific tax calculations, you need to develop your tax calculation functionality here.....
    Check your other Forum message for more details around these options
    Re: Tax procedure in SRM
    Regards
    Virender Singh

  • Mass changes of TAX code in SRM Enterprise buyer

    Hello experts ,
    The TAX code in our country was change from 15.5% to 16.5%.
    We all ready cerate new tax code in SPRO and we need to know what in the best way  to change the tax to ten new one in POu2019S that all ready in process.
    We want to process it as mass changes.
    Pleas gave some advice
    Regards
    Gil shinar

    Hi,
    I dont think there is any mass update function in SRM. This kind of change is generally managed through Business Process Change Management. The old purchase orders should be picked up and updated manually when you cutover to the new tax code.
    Moreover, as the tax calculation is generally done in an external system(Tax system) or in SAP R/3 , why dont you think of changing the tax percentages under the same tax code and drop the idea of creating a new tax code.
    Regard
    Virender Singh

  • Income tax calculation

    Dear All,
    Presently In payroll system income tax calculation is based on allowance paid basis. but our client is required that is projected bais. for example
    presently if am paying bonus through info type 15 rs 100,000 then system is deducting tax from remaining month in equal installment but client is required that it has to be deducted one time at this month.
    please help me
    BMS

    Dear All,
    I read the attached document in sap note i.e.1024284 in this sap note attached document is Guideline.pdf in this document they have clearly mention that ....
    Introduction
    There may be a need to apply flat tax rate on irregular payments for a particular month. If
    they are required to be taxed separately it is not possible to do in the regular payroll run
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    BMS

  • Income Tax Calculation problem: Urgent Help Needed

    Dear Gurus,
    I am facing a unique problem. Our client has two incentives –
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    2) Sales Incentive
    Every month incentive figures get changed. These two are Monthly Regular Income (Cumulations Class 24) i.e. included in annual tax calculation.
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    Now please let me know is this possible in SAP system and how to calculate this?
    Your help will be highly appreciated
    Waiting for an early reply.
    Thanking You,
    With Best Regards,
    Pratik

    Hi,
    I am not understand your problem give your mb then i talk to you
    mhpo

  • Income Tax Calculations 2008

    Hi Friends,
    I have a Issue in Income Tax  calculation,
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    Agg of Chapter VI              106,008.00
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    Tax on total Income             90,853.00
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    Sekar.

    Hi Sekar,
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    Make sure that in table  V_512W_D cumulation class 1 is ticked for this wagetype.
    Warm Regards,
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  • Income Tax Calculations - Issue

    Client is saying that as per their existing SAP system, the Income tax calculation is made on Gross salary. And they are saying that if any additional taxable payout is made in a month to an employee, then the total tax on this additional payout should be paid by the employee in the same month. So basically his total tax would be the (general regular monthly tax + total tax on the additional payment), which as per them the system is not calculating correctly since October 2010.

    Hi,
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    3. The function I have heard which is used is India for Income tax is INTAX.
    Looking forward to your reply.
    Thanks a lot!!!
    Edited by: SAP ST on Nov 25, 2010 7:24 PM

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