VAT amount not populating where target tax code mentioned in tax code

[former_member221515]

Hello,

We have a scenario where vendor charges 12.36% Service Tax and 14.5% VAT (Non Creditable) on single line item in PO. To meet this requirement, we created one Tax Code "YB - Service tax 12.36%NCR on40% & Vat 14.5%NCR"

We are using deferred tax (in Service Tax) concept where Service Tax amount is transferred from Interim Account to Final account after running deferred tax program. For this purpose, we created one Target Tax Code "Y1" and assigned it to Tax Code "YB" in FTXP --> Properties.

When I removed target tax code from Tax Code "YB" system populated VAT Amount in PO (refer screenshot - 1st half) which is correct.

But when I entered target tax code, system in not populating VAT Amount in PO (refer screenshot - 2nd half).

Please let me know what we can do to populate VAT amount. I require target tax code in tax code because I need to run deferred tax for service tax.

Note: Inspite of changes in service tax rules, our client is following old service tax rules (i.e taking service credit after making payment to vendor). Hence we are using deferred tax program.

I would also like to highlight that its working fine when we use JVCS i.e. CST Condition Type

--

Deepak

[Former Member]

Hi Deepak,

Taking the eg: of J1PC condition,

The issue is because of the following code -

J_1i4a_tax_conditions

WHEN t_taxcond-cst.
  IF XKOMP-MWSKZ NE T001-MWSKV.
   xkomv-kwert = ( xkomv-kawrt + total_diff ) * xkomv-kbetr / 1000.
  ELSE.
   XKOMV-KWERT = 0.
  ENDIF.
   IF tar_tax_code is not initial.  >>> The tax code V0 is a deferred
     XKOMV-KWERT = 0.                  tax code so the value of JIPC is
   ENDIF.                              made zero even though it actually
                                       gets calculated.

So you have two options

1. When using VAT or CST along with a deferred tax in PO please use
a condition that is not classified in table J_1iexcdefn.

2. Else, you may write your own code in the userexit -
J_1I7_USEREXIT_FILL_KOMK_KOMP and modify the KOMV table in such a
way it makes the tar_tax_code as initial.

Hope this helps...

Regards,

Rajasree

[Former Member]

Hi,

Your case is guanine. Why dont you raise OSS message with SAP.

In worst case, you have two options

1. Creating new condition by coping JVRD (ZJVR), maintaining in TAXIIN and classify it in table J_1iexcdefn.Ensure that your tax code contains this condtion as well.

2. Using exit J_1I7_USEREXIT_FILL_KOMK_KOMP.

Choice is yours, do you want SAP to investigate or you and Your APAPER to work?