Tax Procedures are empty

Dear Experts
We have to implement SAP ECC 6.0 for a German client.
I've run the Country installation program to start with organisational set up but when I check the tax procedures including TAXD for Germany they dont have any default tax conditions updated under it. Transaction OBQ3
Also no default tax codes have been delivered in the client.
I read the SAP library on Country installation and it says that the basic tax procedure and some default tax codes are delievered which has not happened in our case.
Pls suggest.
Regards
Kapil

Hi Vivek
Its TAXD but the tax procedure has no values delivered by SAP. And no delivered tax codes
Regards
Kapil

Similar Messages

MM pricing Tax procedure

Dear All,
There is no tax on purchase. Whatever tax mentioned in the invoice are capitalized/booked under expenses. Should i use FI Tax procedure for it. The illustrative pricing is as follows:
Please suggest an approach for it
Price of item          1000
Sub Total          1000
P & F @2 %          20
Sub Total          1020
Excise Duty @8%          81.6
E Cess@2%          1.63
HE Cess @1%          0.82
Sub Total          1104.05
VAT/Sales Tax /CST as applicable (Say 12.50%)          138.01
Surcharge on VAT @5%          6.90
Sub-Total          1248.95
Freight          Nil
Octroi          Nil
Insurance          Nil
Sub-Total          1248.95
Discount if any          Nil
Total          1248.95

Hi,
MM Pricing Procedure and Tax Procedure are entirely different concepts. In your example you have mentioned about excise duty, education cess and higher education cess, VAT etc. is nothing but tax. Material price, packaging and forwarding charges and discount are nothing but pricing conditions.
MM Pricing Procedure
The Basic thing is Condition Technique. In which there are
1. Access Sequence (M/07) 2. Condition Record (MEK1) 3. Condition Type (M/06) 4. Condition Table.
Tax Procedure
1. Access Sequence (OBQ2) 2. Condition Types (OBQ1) 3. Procedure (OBQ3) 4. Condition Records (FV11)
- Saleel

CIN Tax Procedures

HI CIN GURU'S,
Can anyone please explain me why different tax procedures are used,
These below procedures are used for factory sales...
J1INFAC (condition-based excise determination) and JFACT (formula-based excise determination).
Then why TAXINN & TAXINJ....
getting confused, please help ASAP.
Please explain me how, where, why these procedures to be used and how does it would impact !!!
Thank you,
DAVID

Difference between TAXINJ and TAXINN
TAXINJ:
1. It is Formula Based Tax procedure.
2. It was most commonly used upto intial phase of R/3 4.7, but the latter implementations were with TAXINN.
3. Tax Code plays a vital role, as the Tax Rate are maintained in Tax Code.
4. It is complex compared to TAXINN
TAXINN:
1. It is Condition Based Tax procedure.
2. Tax Code is required to be maintained in Condition Record, & if Tax Code is not found in Condition Record, Sales Cycle will go upto billing, but not release to accounting. Hence even a single Tax code may suffice the requirement for different Tax rate.
Regards,
Rajesh Banka
Reward points if helpful.

Taxes in pricing procedure are not picked up in the simulation for invoice

Hello all
we want to post taxes in pricing procedure in purchase order. but in MIRO Enter Incoming Invoice the system is not picking the taxes as line items in simulation. please let me know any setting missed in this regard.
Thanks in advance
Ramaraju

Hi,
Did you selected the Tax code in MIRO, unless you select how the system will show in the simulation.
Check whether you have assigned the Tax procedure to your Country, did you created the Tax code for your country which you defined. If all the settings are ok then only you will get the Taxes in Simulation of MIRO.
One more thing r u getting any error while doing MIRO related to Taxes. Check & Confirm.
rgds
Chidanand

Are tax procedures TAXIN and TAXINN same?

Guys, in OBYZ transaction I don't find TAXINN, I find only TAXIN. Are these one and the same? If not, how do I activate TAXINN in the system?
Regards,

Hi,
When you enter a purchasing document, for example, a purchase order, the R/3 System automatically calculates the applicable excise duties using the condition technique. The standard system comes with two tax calculation procedures:
- TAXINN - IN; India taxes new
- TAXINJ - Sales Tax India
TAXINN:
1. It is Condition Based Tax procedure.
2. Tax Code is required to be maintained in Condition Record, & if Tax Code is not found in Condition Record, Sales Cycle will go upto billing, but not release to accounting. Hence even a single Tax code may suffice the requirement for different Tax rate.
3. Tax condition record is maintain through TCode FV11.
4. It only supports condition-based excise determination.
TAXINJ:
1. It is Formula Based Tax procedure.
2. It was most commonly used upto initial phase of R/3 4.7, but the latter implementations were with TAXINN.
3. Tax Code plays a vital role, as the Tax Rate are maintained in Tax Code in TCode FTXP..
4. It is complex compared to TAXINN
5. It can supports both condition-based excise determination and formula-based excise determination.
6. For Example, code for 362 routine for Condition formula for alternative calculation type
Activation steps are same as above:
>Go to transaction code OBCO to define the tax procedure TAXINN and TAXINJ.
>Then assign country to tax procedure in transaction code OBBG
Regards,
Jyoti

Relation between Tax procedure and Pricing procedure

Dear All,
I would like to get more clarity on Tax procedure, Pricing procedure.
a) Why do we have Tax procedure and assigned to Country?
b) If the tax procedure has been created and assigned to Country-IN (in FI module), then why do we need to create pricing procedure with same condition type for purchasing in MM module? We are even creating lot of pricing procedure for Sales in SD module.
Regards
Manivannan R

Hi
Tax
During SD document transactions, tax calculation procedure TAXUSX is only relevant to determine the tax liability accounts for output sales tax. Notice that in pricing procedure RVAXUS, the condition types XR1 - XR6 carry the tax rates and tax amounts - resulted from the external tax system calculation - which is posted to tax G/L accounts. However, the tax accounts are not specified in the pricing procedure but rather in the tax calculation procedure.
Tax codes are the link between pricing procedure and tax calculation procedure.
Pricing
The primary job of a pricing procedure is to define a group of condition types in a particular sequence. The pricing procedure also determines:
Which sub-totals appear during pricing
To what extent pricing can be processed manually
Which method the system uses to calculate percentage discounts and surcharges
Which requirements for a particular condition type must be fulfilled before the system takes the condition into account
Example
Example of a Pricing Procedure
If a sales department processes sales orders for a variety of foreign customers, the department can group the customers by country or region. A pricing procedure can then be defined for each group of customers. Each procedure can include condition types that determine, for example, country-specific taxes. In sales order processing, you can specify pricing procedures for specific customers and for sales document types. The system automatically determines which procedure to use.
Pricing Procedures in the R/3 System
The standard system contains pre-defined pricing procedures, which contain frequently used condition types along with their corresponding access sequences. You can, of course, modify these procedures or create your own from scratch.
Creating and Maintaining Pricing Procedures
You create or maintain pricing procedures in Customizing for Sales. For more information on creating pricing procedures, see the online Implementation Guide for Sales and Distribution.
To reach the pricing procedure screen from SD Customizing:
1. Choose Basic Functions
2. ® Pricing ® Pricing control ® Define and assign pricing procedures.Select the transaction that you want to execute.

VAT/Excise calculation - map pricing & tax procedures

Dear,
Pls tell me how to map my blw senerio;
In pricing procedure, i have
A- Gross price
B- Handlying charges
C- Excise on A+B,
here i need to calculate my exise on A+B values and it flows (C) frm tax procedure (taxinn). until here i'm ok.
D - A BC
E - Insurance (defined in pricing proce) on D value,
here i'm unbale to map my price, since the sytem taking A+ B price only, its not taking my D values... I need to map pricing & tax procedures, since Gross price, Han. charges and insurance flows frm pricing proce and Excise frm tax procedure.
Anyone has right solution, pls guide me...

Hello sapjj
Here in your issue, u have to maintain a dummy condition type for excise calculation in your pricing procedure. The excise on A+B will be calculated in pricing procedure itself and not it flows from tax procedure.You have to make a condition type in pricing procedure and mark it as statistical in the procedure so that it doesn't get added to material value.
you are ok till gross price and handling charges, right?
Then you include your dummy condition type for excise amount calculation.Then in the next step calculate a subtotal without giving any condition type and maintaining 'S' in the subtotal field in the pricing procedure.
In the next step include the insurance condition type and calculate it on the subtotal.
This will help
Regards
Gregory Mathews

Questions about CIN tax procedure choice and pricing schemas

Hi all,
I have to implement SAP on a Indian company and I'm verifying all particularity about this country (in particular tax procedures and the great number of differents tax conditions used).
I have two questions about tax procedures and pricing schemas. Every feedback about thse points will be appreciated.
a) To choose tax procedure TAXINN or TAXINJ which are the elements that I have to consider?
I have read lot of documentation about CIN implementation and Iu2019m oriented to choose TAXINN schema, but If possible I would to understand better which are on behalf of one choice or another.
b) To define pricing schemas for India, after check with local users and using examples of documents (in particular tax invoice) actually produced, I have understood that taxes have to be applied on amount defined starting from price list, minus discounts recognized to customer plus surcharges eventually to bill (packing, transport, etc.).
Itu2019s correct for any type of taxes that tax amount is calculated on u201Cnet valueu201D defined at item level or there are exceptions to this rule?
Thanks in advance
Gianpaolo

hi,
this is to inform you that,
a) About point 1 I know the difference between the 2 tax procedures (conditions or formulas). I also have read in others post in the FORUM that TAXINN is preferable. So I would to understand which are the advantages to choose instead TAXINJ. There are particular reasons or it'a only an alternative customizing setting?
a.a. for give for posting the link : plese give me the advantages of TAXINJ and TAXINN
CIN - TAXINN and TAXINJ
b) About point 2, to define which value has to be used as base amount to calculate taxes isn't a choice, but is defined depending by fiscal requirement of the country, in this case India fiscal requirement. I know that, as Lakshmipathi
write as answer on my question, exception could be, but it was important for me to understand if I have understood correctly the sequence of the pricing condition in the schema in "normal" situation.
b.b. you can create your own pricing procedure for this and go ahead.
hope this clears your issue.
balajia

CIN tax procedure TAXINN

hi all,
in
Logistics - General - Tax on Goods Movements - India - Basic Settings - Determination of Excise Duty - Select Tax Calculation Procedure
if i choose to have tax procedure TAXINN,
in
Logistics - General - Tax on Goods Movements - India - Basic Settings - Determination of Excise Duty - Maintain Excise Defaults
i can only define 1 condition type under CVD cond. field..
what if i have a few several more condition type to be defined?
because in J1IEX, the Total BED value is taken from the condition type defined in CVD cond. field.
how is it possible for me to add in a few more condition type into CVD cond. field?
i have tried adding the other condition types under field like A/P BED Cond. and A/P SED Cond. but the value was not being captured in J1IEX.
anyone can advice?
thanks.

Hi all,
my scenario is i need to have the following condition type(customized) to be populated in the excise invoice.
Z001 - Z004 are the customized condition type for their respective tax.
CVD - Z001
Edu CESS - Z002
Higher Edu Cess - Z003
S.A.D - Z004
IN
Tax on Goods Movements - India - Basic Settings - Determination of Excise Duty - Maintain Excise Defaults
since i am using TAXINN, i have managed to tagged Z001 to CVD cond field and the value was able to come out in J1IEX correclty.
what about Z002 to Z004? do i need to switch to TAXINJ so i can populate them into A/P BED cond, A/P SED Cond, A/P AED Cond? what are the alternatives for TAXINN?
i read somewhere that for india implementation, it's best to use TAXINN, as TAXINJ will be obsolete soon. - correct me if i am wrong.
I will need to populate all the values above to in J1IEX so that in my RG23D form can capture and display the value from Z001 to Z004.
thank you.

Pricing Procedure vs Tax Procedure

Dear all,
The scenario is as follows
My company purchase material from a trading company which imports the materials from other countries.
In PO we have maintained import pricing procedure so that we can take the duties paid by trading company during import.
We pay duties to the trading company.
Taxes are also involved in this.
I have created a pricing procedure for this seperate where there is a line with 'condition value' = total of
[ Net price of materialCustoms dutyCVD+ECS on CVD + SEC ECS on CVD + AED]
Now we all know tax should be calculated on this total amount.
In normal case the Net price will come as the base price for tax calculation which is here wrong.
I want this total amount to be the base amount for tax calculation in tax procedure.
What i need to assign in the pricing procedure against this 'total' so that it is taken as base amount for tax calculation
How to do this?
sapmmlearner

Hello,
As per your said scenario:
My company purchase material from a trading company which imports the materials from other countries.
In PO we have maintained import pricing procedure so that we can take the duties paid by trading company during import.
We pay duties to the trading company.
Taxes are also involved in this.
I have created a pricing procedure for this seperate where there is a line with 'condition value' = total of
Net price of materialCustoms dutyCVD+ECS on CVD + SEC ECS on CVD + AED
Now we all know tax should be calculated on this total amount.
In normal case the Net price will come as the base price for tax calculation which is here wrong.
I want this total amount to be the base amount for tax calculation in tax procedure.
What i need to assign in the pricing procedure against this 'total' so that it is taken as base amount for tax calculation
My question is if your company and your vendor /supplier (Is a trading company from where you are procuring the materials) are geographically located at the same place (such is within country in same place or within country at different places, etc)
means, then you should not worry about the Import duty. Because for you, when you procure the goods it should be treated as Inland/Domestic procurement (by the by your vendor, who is trading company procures materials from Abroad, that is his risk or his duty to pay the Customs duty or Importation clearing charges, etc since he is procuring from outside the country through Import procurement process, so don't worry for that).
Hence when you order the material through standard PO to your vendor (that is trading company), then Logically it must be Domestic pricing procedure (there is no involvement of import duties, importation, etc), that means system will pickup the Pricing procedure - Domestic - which consists of Gross price, and all other suitable pricing elements which are in currently used in your company (for the vendor) and part from the tax condition elements such as Basic excise duty (BED), SED, AED, Cess, etc... these are not part of the Pricing proceudre, but relevent to the Tax procedure. So which can be arranged in a sequential order for the Tax procedure - TAXINN - which is currently in use from any industry - for calculating the tax amount for the item that you procure from the supplier or vendor. And thats how you (your company) will pay the Duty or tax amount agains the goods that are procured from external source.
Please note: the tax caluclation is always based on the Base amount, not on anything else, that is based on the total ordered amount through the PO. And the tax amount is always interm calculated by adopting the suitable tax code in the PO (in item details), provided you have to maintain all these tax condition elements in a Condition records through FV11 t.code. then once the tax code (i.e., Input tax - which is tax on purchases) is adopted for the PO, system will pick all the valid condition records and sum the total tax amount in the PO.
Maintainaing of condition records is required, because the tax procedure which is a Condition based tax calculation procedure. hence you have to maintian the condition records as you said. Then it will calculate correctly.
Hope it clarifies,
Regards,
Sapsrin

Error in F-44 tax procedure taxinn tax cd V1 change/ deleted incorrectly

While clearing vendor in F-44
in Tax procedure taxinn taxcode v1 changed incorrectly or deleted error is occuring. paymnet of bill is from one company code and invoices are in different co code.
Please help

Hi,
Check whether the taxcode V1 exists in country IN in FTXP.
Regards
A

Tax Procedures and MM pricing procedures

Currently when creating a PO under the invoice tab you can input the Tax code and jurisdiction code.
The tax code I am using is set up for a Canadian Tax procedure (TAXCAJ).
The procedure is calling two tax condition types JC1E (GST) and JC1I (PST). They are both condition class D and they are the same accross other statistics but they differ in condition category. JC1E is condition category 1 and JC1I is condition category 2.
JCIE uses account determination VST while JC1I uses NVV. JC1E needs to be posted to a seperate account as it is partially recoverable.
The real underlying issue here is that tax condition type JC1I comes accross to teh MM condition tab under NAVS but JC1E does not. I need the value from JC1E to come over to the conditions tab as my PO print is driven by this.
Any ideas how to get tax condition type JC1E (or its value) over to the conditions tab. I can make JC1E come over with JC1I but i need JC1E seperate. If you need clarification or more information just let me know.

Hi,
NAVS condition collects the non-deductible portion of the Tax Code and hence only showing JC1I which is a non-deductible condition type. The logic behind this is non-deductible tax is part of cost, so for updating the stock account at the time of GR with base value + discounts and other pricing conditions + non-deductible tax, NAVS condition type is being used in PO pricing procedure. JC1E is a deductible type tax and as not being a part of cost it is not updated in NAVS and hence the stock account at the time of GR.
If you want all the tax amounts for PO printing purpose, use JEXS condition type and insert this at the last of the pricing procedure with statistical indicator. Modify your print program to print value against JEXS instead of NAVS.
regards,
mallik

Can SAP tax procedure be set up for both internal and external ?

Hi all,
Hoping to get some help from you here.
Our current SAP system is set up with internal tax procedure, and we are planning to use Vertex as the external tax system. However, due to phase approach, we are planning to launch Vertex for part of the company codes and the rest of the company codes will stay with internal tax procedure. Is this possible?
Thanks in advance for all your help!
Best,
Cyanna

Hi,
The tax procedure ia activated at country level. So this can cont be setup company code wise.
Regards,
SDNer

Query for MM Pricing Procedure & tax Procedure

Hello,
Can someone advice me on following.
I need one Condition in MM Pricing Procedure : Discount should be reduced after Calculation of Excise duty and Taxes on PO.
Discount should not be calculated for Excise Base amont & or Tax (CST /VAT) base amount.
Calculation
Basic :          100
Freight            20
Subtotal        120 (Excise Base)
Excise duty:   30
Subtotal:       150 ( Tax Base)
Tax   @4%       6
Subtotal        156
Discount         10
Total Price     146
My Requirement is how to add Discount at the Place shown above.
Regards,
Manish

Dear Manish,
                    After subtotal 120 put in subtotal column 7 and after subtotal 156 put 1.
Truly, I was bit surprised to see your first post, now I got the reason what kept you held.
I tell you why this happens.
I believe you are using tax procedure TAXINN. The routine 362 (in tax procedure) has the program which fetches the data from your pricing procedure and on what amount the taxes have to calculated is the value passed into BASB condition type of tax procedure. One should always read the routine 362 in tax procedure with the help of ABAP consultant. This will give you clarity on the concept of calculation. the subtotal field i.e is KZWI plays important role in calculation.
Currently I do not have access to any test system. If you put the subtotal what I have mentioned the result will come.
Another layman tip I am giving you for tax procedure calculation. where ever you are calculating subtotal just give value from 1 to 7 in subtotal column with different combination one by one and see the results, you will have good idea how the system behaves. Say if you put subtotal as 1, the system response will be different from if you give subtotal 4.
Why this is important to understand is when in future if you are going to add any new condition type you will know how the system response is towards the tax calculation.
That is why I suggested you to read the routine 362.
Moreover, if I see your procedure, excise duty, CST and LST should not be calculated on freight charges. Legally this is not correct. Freight charges are in the preview of service tax. In many implementations I came across the similar scenario where the client insisted on the similar procedure. This all happens due to ignorance of client. We have shown the client the official documents as well we also arranged the official meetings with excise commissioners to clear there doubt.
This scenario is usually insisted in the case of freight billed what client says. this is not correct.
Regards
Rajesh

Tax Procedure in India

Hi All,
There is a requirement to changes in taxes for Indian states Kerala & Gujarat. Post India Budget 2008-2009, the state governments have proposed a few changes to the taxes . There has been a requirement from the State Governments of Kerala and Gujarat, for imposing Social Security Cess on VAT( kerala) & Additional tax( Gujarat) on Base amount applicable from 1st April 2008 and . The details of the same are as below:
As per clause 6 the Kerala Finance Bill, 2008, a Social Security Cess has been imposed on
at the rate of 1% on VAT Payable.
In the State of Gujarat, Here are the changes as per the Bill. As per the Bill the total tax including additional tax, in case of goods attracting 4% will be 4% VAT + 1% Additional Tax and therefore total tax will be 5%. In case of goods attracting 12.5% the rate would be 12.5% VAT + 2.5% Additional Tax and therefore total tax would be 15%.
To meet this requirement at FI side following is been carried out:
1.     Two new conditions will be added to the Tax procedure( TAXINJ):
a.     ZSSC u2013 Itu2019s a new condition proposed for Kerala tax changes which represents the Social Security Cess calculating on VAT in Kerala. This will be applied on VAT (JIP5). This new condition needs be added in the Pricing procedure from PUR.
     This ZSSC tax condition which will be created in FI will post to G/L account -1337027.
b.     ZADT u2013 Its new condition proposed for Gujarat Additional tax. This will be applied on the value on which VAT (JIP5) is calculated. This new condition needs be added in the Pricing procedure from PUR.
     This ZADT tax condition which will be created in FI will post to G/L account -1337032.
3.   Tax codes needs to be created for respective states. Respective changes needs to be done in pricing procedure by PUR.
My question is what need to be done at Purchasing level for Input tax. All I understand is we need to do the testing once tax code is changed. There is no Change at Pricing Procedure level at Purchasing. Please advice what all should be covered in testing ? Do I need to cover all purchasing documents and PO processes like consignment, Subcontracting, Contract,SA etc,
Thanks.
Shalini

Hi,
If u modified the TAXINJ procedure as per the requirement means .
on which amount VAT @ kerala state needs to be calculated?
on which amount VAT @ Gujarat state needs to be calculated?
this is importent from TAXINJ procedure point of view.
Secondly ,
In TAXINJ Tax code is important u should have diff tax code (u allready have it)
Testing point of view:
U should run a domestic procurement cycle and check the account enties at the time of MIGO & MIRO (important).
I think this would be enough.
regards,
SNB

Tax Procedures are empty

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