Tax Classification based on Currency

[Former Member]

Hi ,

We have a requirement , where in a customer is maintained in different Sales Area . Now the requirement is the user wants to use different sales area to place orders in different currency . For example , In sales area 1 - he will take orders in USD and in Sales Area 2- he will take orders in EUR. Also he wants to maintain different tax classification in each sales area based on the currency .

Request the expert views on this requirement.

Regards

Sathish

[jpfriends079]

Hope you might be aware, your sales data maintained in customer master is specific to one sales area. So, is your information for customer currency (sales tab) and tax classification(billing tab) maintain in sales data. Try yourself, maintain diff, sales data information for a customer by using XD01/VD01.

FYI, sales document currency is based on currency maintain by you in customer sales data in sales tab under "Currency" field.

Thanks, JP

[Former Member]

Hi JP ,

Thanks for your reply . We tried the above process. Now the issue is when we change the Tax classification in one sales area , it is automatically affecting the tax clasification in the other sales area aswell.

Regards

Sathish.

[Former Member]

Hi Sathish,

The tax classification belongs to one particluar Sales Area. It cannot happen that if you change the tax classification in one Sales Area it will affect in another.

If you feel you have better information to justify that it has hapenned please provide with some example.

Regards

[Former Member]

Hi raj ,

Not sure what justication / information u r looking for.

I have a customer based out of china . We have maintained two different sales area for this customer . The currencies maintained are CNY and USD respectively . Now the requirement is to maintain two different Tax classification in each of the sales area depending on the currency viz 0 - for CNY and 1-for USD . In doing so , when we change the Tax classification in one sales area , the Tax classification in the other Sales area also gets changed . 

Regards

Sathish

[jpfriends079]

Sathish

Thanks for your feedback and your observation is absolutely correct. This can be b'coz for Customer Master Tax Indicator table is KNVI, which is maintained based country and customer.

Table	KNVI
Customer	KUNNR
Country	ALAND
Tax category	TATYP
Tax classific	TAXKD

Customer tax liability for country remains same through out the country. And that is prime reason for this logic for this table maintenance. But, that is not the case with currency. As that stores in table KNVV, where customer and sales area is point of differentiation.

Further, tax is proposed in sales doc based on Ship-to Party customer master data. Whereas, currency is proposed based on Sold-to Party.

If you like to differentiate tax classification for same customer and country. It would be better, if create 2 separate/different Ship-to Party for same Sold-to Party.

Or you can have to different condition type to take care of this requirement.

I hope that helped you.

Thanks, JP