Tax Credit with Vertex

Question

Hi,
We are using vertex. Can some one explain me how to handle Tax credits (invoive corrections for only tax). I will not like to cancel the invoice and then rebook again, I read something about invoice correction, is that something that is used for the tax corrections..
Tax Credit can be related to a single invoice or multiple invoices.
Any inputs will be appreciated.
thanks in advance

Answer 1

Configuration Steps for Tax Only Adjustments
Document Type
IMG Path:      Sales and Distribution>Sales>Sales Documents>Sales Document Header>Define Sales Document Types
Document Type:     ZG2     Tax Credit
Document Category:     K     Credit Memo Request
Item Category
IMG Path:      Sales and Distribution>Sales>Sales Documents>Sales Document Item>Define Item Categories
Document Type:     Z2N     Request - Tax Adjust
A new item category is needed if a different incompletion procedure will be used.
Copy Rules
IMG Path:      Sales and Distribution>Sales> Maintain Copy Control for Sales Documents> Copying Control: Billing Document to Sales Document
Change Copy Rules for Data Transfer Header.   Copy routine 052 to routine 952
using transaction VOFM.  The new routine should contain logic that will prevent
the reference document pricing procedure from being used. 
Completion Procedure
IMG Path:      Sales and Distribution>Basic Functions>Log of Incomplete Items>Define Incompletion Procedures
Create new incompletion procedure for Group B Sales u2013 Item that does not
contain a field check for pricing.  This is done because a statistical price is used
for tax only adjustments. 
Incompletion Group:     B      Sales- Item
Incompletion Procedure:     ZT      Tax Only Adjustment
Copy incompletion procedure 21 used for debit/credit items.  Remove field
VBAP-PRSOK.     
IMG Path:      Sales and Distribution>Basic Functions>Log of Incomplete Items>Assign Incompletion Procedures>Assign procedures to the item categories
Assign incompletion procedure to item category defined above.
Order Reason
IMG Path:      Sales and Distribution>Sales>Sales Documents>Sales Document Header>Define Order Reasons
Create an order reason for tax adjustments.
Pricing Procedure Definition and Assignment
IMG Path:      Sales and Distribution>Basic Functions>Pricing>Pricing Control>Define and Assign Pricing Procedures
Maintain pricing procedures
Create new pricing procedure, setting all non-tax conditions to statistical value.
Define document pricing procedure
Create a document pricing procedure to link the pricing procedure to the tax only
adjustment document.
Assign document pricing procedures to order types
Assign the document pricing procedure to the sales document type.
Define Pricing Procedure Determination
Define the pricing procedure determination.
We are beginning testing this with the business but hope it helps you get further along the path.