Maintain Sales Tax Identification Number Determination (V_TVKO_TAX), Sold-to or Ship-to?

[Former Member]

We are in the process of implementating a new SAP system. In our legacy solution as a mainly UK based company, we based our tax determination on Sold-To party (A). However we have been asked as part of a global implementation if the use of Ship-To party is acceptable instead (which would be C). I have had a look through and different people seem to chose different things. Can anyone please provide guidance on the common rule?

Your thanks in advance is appreciated.

[Shiva_Ram]

You can refer the following OSS Note 21734 - Determining sales tax (VAT) from any partner and Note 872449 - Tax determination in Sales and Distribution  . Again as mentioned before, you need to check the local applicable rules to determine, from which partner the tax needs to be calculated.

Regards,

[Lakshmipathi]

In general, tax should always be determined based on Ship To Party.  However, we need to check what the local statutory rule says.

G. Lakshmipathi