Service Tax Calculation at Milstone Billing Stage Level

[Former Member]

Dear SAP Guru,

I am working in Real Estate Industry. I am having a requirement from client as follows,

The current system is:

The amount of ‘billing stage due’  should be that %  for all the constituents of Total costs,

which we give in that ‘Stage %’, under ‘Billing plan’.

By this all the costs, that is FC, LC,CF and the ST (service tax) will be proportionately divided as per the

Stage % we give under Billing plan. (Refer the formula & workings mentioned under calculation )

Whereas the required system is:

The amount of ‘billing stage due’ should be that % for all the constituents of Total costs, excluding

LC and CF , which we give in that ‘stage %’, under billing plan. For these LC & CF, 100% of the amount should be calculated firstly and then only the ST liability should be calculated on the next ‘Billing stage dues’.

The effect will be :

100% of LC & CF will be cleared in the initial stages itself and on the later stages there will not be any dues against these LC & CF.

Regards,

Saravenakumar.K

[Former Member]

Hi,

Create a new pricing procedure, include CF & LC as header conditions to be collected as down payment.

For service tax at item level, maintain condition records @ 3.09%. It will be calculated on billing plan amounts (10% in your case).

[Former Member]

Hi Karuna,

Thank you for your reply. This is not solving our issue at hand.

Regards,

Saravenakumar.K