Customer tax classification

[Former Member]

Hi All:

         I have one customer extended to several sales areas.

         I'd like to maintain different tax classification for various sales areas,

         for example tax classification '1' for sales area 1000, '0' for sales area 2000.

         It seems SAP does not expect to maintain like this, tax calssificaion will be changed automaticlly once you update in other sales area.

         Could you share some advice for this?

          Thanks.

Stephen

[jpfriends079 · Accepted solution]

This is standard behaviour. As Customer Sales Area data relevant data is stored in Table KNVV and Customer Tax Indicator relevant data is stored in Table KNVI. And in Table KNVI is maintained based on country, not Sales Area.

Refer my response in following post:

- Tax Classification based on Currency

Which clearly states the reason for such behaviour and solution to control this.

Thanks, JP

[siva_vasireddy2]

Hi,

Tax Classification is based on the Region of the customer master and based on the region Tax % are Maintained

Hope Region wont be changing Frequently

plz can you specify the Exact Requirement.

[Former Member]

Hi:

    Thank you for your reply.

    The requirement is that some goods is sold to this customer for tax in one sales area,

     some goods is aold to this customer for non-tax in another sales area.

     So I'd like to maintain different tax classification indicator.

Stephen

[siva_vasireddy2]

Hi,

For this requirement you can maintain the Tax Records in VK11 with both values and also Zero.

System Automatically picks the Tax classification in the sale order from the master but the user can change the Alt Tax classification at the Header which the system Picks Excat record Maintained in VK11

[Former Member]

Hi:

   This is an optional solution.

    Is there any control in SAP that one customer can maintain multiple tax classification value?

    Thanks.

Stephen

[srinu_s1]

If the tax is varied based on Sales area better to define new condition table with sales area with tax classification of customer and material and assign this table to existing access seq and assign this acc seq to tax condition type.

And maintain the records for the new table combination so that you need not to change/ maintain new tax classification for the customer.

thanks,

Srinu

[Former Member]

Hi Stephen,

Is it the same material which is taxable / non taxable when sold through different distribution channels ?

If not,

Option 1

I think you can maintain 0 in material masters  for non taxable materials. The condition table should have both, customer and materials tax classification fields as input  parameters (other the client specific required fields).

In the VK11 against the condition table you can maintain record as:

    Customer Tax Class.   Mate. Tax Clas.   Tax Rate

               1                               1                        10%

Option 2

You can also change the tax classification manually in sales order, in billing document tab. Altenately, with the help of ABAP you can do some enhancement to get the desired tax classification automatically in sales order while sales order creation

Hope it helps

Regards

Ankit