Tax rate different in diffrent state for the same material ..

[Former Member]

Dear All ,

In India ,we are using Tax Classification in Material Master and Customer Master and TAXIIN tax procedure .

We create Tax condition type for Local Sales Tax & Central Sales Tax and additional Tax and assign it to Customer Master and Material Master .

Now according to price master (VK 11) the system takes proper percentage of Tax at the pricing .

The access sequence chose for Local Sales Tax or Central Sales Tax is having the table 368 & 367 ( Which is recommended by SAP ).

Now we are maintaining the price master against the 368 table .

The parameter of 368 are :

Country /Plant Region /Region of the customer /Tax classification Customer / Tax classification Material

Now the challenge is ,a same material is having different different tax rate in different region .But the Material master tax classification is not depend on the Plant .So how the same material can be charged with different rate based on material and Plant ,because all other parameter is same and material tax classification is not depend on Plant wise or plant region wise .

For better understanding I am giving one example :

For Example :

Plants 2000, 3000 and 4000 are sharing the same material code and hence, material is sharing the same tax classification in the material master (plants are assigned to the same sales org).

Within the plants, it has different rates.

Plant 2000 has 1%, 4% 8% and 12.5% for different materials groups.

Plant 3000 has 1%, 5% 8% and 12.5% for different materiala groups

Combination Key in VK11:

- Origin Country

- Delivering Plant Region

- Region of Ship to party

- Tax Clas.Customer

- Tax Clas.Material (I have created 4 different tax clas. for same tax category in material master, for differnet tax rates)

The condition record is maintained for the above combination key.

Problem:

For the tax clas. material, for the same material for plant 2000, it is maintained as "4" which is assigned to tax code A4 (to represent 4%).

But the same material, it is 5% for different plant 3000, for the same combination key. But in the tax clas. material, it is maintained as "4" now.

The major problem here is, the same "Tax Clas. Material" cannot be used for different plants because each plant has different rate for the same material.

Thanks ,

Abhijit Dutta

[Former Member]

Hi Abijith,

Is there any particulr pattern where the same material needs to pick up different tax rates, like if it sold in a particulr region, or specific group of customers etc. In which case you can build your condition table accordingly (like add customer group) along with other parameters to pick up the appropriate tax rate.

Or else you can use alternative condition type to pick up tax rate based on your logic.

Regards

Raj

[Lakshmipathi]

The major problem here is, the same "Tax Clas. Material" cannot be used for 
   different plants because each plant has different rate for the same material

.

You can change the tax classification manually in sale order for any material so that the tax will be determined accordingly.

thanks

G. Lakshmipathi

[Former Member]

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