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How to have 2 VAT Rates in an Invoice

Former Member
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I have a billing period from 1st Aug to 30th Nov 2012 and the VAT rate changed from 1st Oct 2012. The rate until 30th Sep was 19% and from 1st Oct 2012 it changed to 21%. The requirement is to have both these VAT rates in one billing document. How can this be achieved?

Any inputs on this would be great help. <text removed>.

Message was edited by Space Moderator: Jyoti Prakash

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Answers (3)

Answers (3)

Lakshmipathi
Active Contributor
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First you have to segregate sale orders which falls 19% and 21% separately.  Next you can execute in VF04 by maintaining the service rendered date as 01-10-12 under Default Data tab, for those sale orders where you need the system to consider 19% tax.  This is assuming that your copy control for the field Pricing Type is assigned with "G".  By doing so, irrespective of billing date in sale orders, system will consider the old tax.  Similarly, for 21%, you can execute either VF01 or VF04 without maintaining the service rendered date so that system will consider the latest 21% VAT.

G. Lakshmipathi

jpfriends079
Active Contributor
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Sam SAPSD

Are those VAT rate applicable for different line items?

If that is the case,

1. Maintain condition record as with relevant validity period

From DateTo DateVAT %
1st Oct 201130th Sep 201219%
1st Oct 2012

30th Sep 2012

or

30th Sep 9999

21%

2. Generally, Tax condition type determination in billing take place based on service render date, which is same as your Actual GI date.

Thus, for one line item, there would one service date and corresponding it will have one VAT rate applicable.

If still have concerns, do revert back.

Regards, JP

Former Member
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Hi JP,

Many Thanks for you reply.

We are creating Invoices directly from Contracts. So there is no Sales Order, nor Delivery documents and hence no GI date.

I have already maintained the Tax Condition Records for the period starting from 1st Oct 2012 until 31.12.9999 for 21% and for the period prior to 1st Oct 2012 i.e. until 30th Sep 2012 a rate of 19% is maintained.

However,we are using a Billing Plan and that period is say from 1st July until 31st Dec then for the period of 1st July until 30th Sep a VAT of 19% should be applied and from 1st Oct 2012 until 31st Dec a VAT of 21% should be applied.

The system calculates the VAT in the Billing Document using the Billing date(again why it uses a Billing date I don't know, even if I manually enter in VF01 a Service rendered date which is different than the Billing date it still applies the VAT based on the Billing date which is another issue, any pointers on this are also welcome)  and so if the Billing date is entered prior to 30th Sep, a VAT of 19% is displayed but then that is incorrect because the Billing Plan period is from 1st July until 31st Dec and so only until 30th Sep a VAT of 19% should be displayed whereas for the remaining period a VAT of 21% should be displayed in the  billing document.

Similarly if I enter a Billing date after 30th Sep, say 15th Oct then a VAT of 21% is applied but then we want both rates because there were 2 VAT rates in this period and both these VAT rates should appear in the Invoice.

I hope I am clear about what my requirement is.

Thanks.

jpfriends079
Active Contributor
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Sam,

Generally, in case of order related billing, system uses billing dates as service render date.

For billing plan, it depends which kind of billing plan you are referring.

The system uses the to date of the settlement as services rendered date for periodical billing.

Otherwise, for milestone billing, the system transfers the billing date of the relevant milestone to the billing document as services rendered date.

VAT rate changes for billing plan is bit tricky, unlike your normal scenario.

Still you can refer following SAP Note, which might be help to you:

- Note 938856 - Tax increase with billing plan

- Note 106006 - Tax increase with billing plan

Regards, JP

Former Member
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For the new VAT rate rate, create new condition type and configure your pricing procedures to allow 2.

Former Member
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Many Thanks for your reply Alan.

I have already maintained the Tax Condition Records for the period starting from 1st Oct 2012 until 31.12.9999 for 21% and for the period prior to 1st Oct 2012 i.e. until 30th Sep 2012 a rate of 19% is maintained.

However,we are using a Billing Plan and that period is say from 1st July until 31st Dec then for the period of 1st July until 30th Sep a VAT of 19% should be applied and from 1st Oct 2012 until 31st Dec a VAT of 21% should be applied.

The system calculates the VAT in the Billing Document using the Billing date(again why it uses a Billing date I don't know, even if I manually enter in VF01 a Service rendered date which is different than the Billing date it still applies the VAT based on the Billing date which is another issue, any pointers on this are also welcome)  and so if the Billing date is entered prior to 30th Sep, a VAT of 19% is displayed but then that is incorrect because the Billing Plan period is from 1st July until 31st Dec and so only until 30th Sep a VAT of 19% should be displayed whereas for the remaining period a VAT of 21% should be displayed in the  billing document.

Similarly if I enter a Billing date after 30th Sep, say 15th Oct then a VAT of 21% is applied but then we want both rates because there were 2 VAT rates in this period and both these VAT rates should appear in the Invoice.

I hope I am clear about what my requirement is.

Thanks.

Former Member
0 Kudos

Similarly if I enter a Billing date after 30th Sep, say 15th Oct then a VAT of 21% is applied but then we want both rates because there were 2 VAT rates in this period and both these VAT rates should appear in the Invoice.

For above requirements, two condition types should work out for you. MWS1 MWS2.