Tax Determination in TAXINN procedure

[Former Member]

Dear Friends,

In TAXINJ procedure, we were having UTXJ condition for Tax Determination.

We used to maintained UTXJ as Tax Cateogry in Customer Master & Material Master.

Based on the Tax Classifications & Tax Code maintained in the UTXJ condition record , system used to determine the percentage of Excise Duty/Edu Cess & VAT respectivly.

MY Question is that :

1). How the same is happening in the TAXINN procedure ?

2). Is there any UTXJ condition in TAXINN also ?

3). What is the determination process in the New TAXINN procedure ?

4). Which Tax Cateogry I need to maintain in the Material & Customer Master ?

Please advise me accordingly.

Regards,

Harsh

[Former Member]

<b><u>Condition-Based Excise Determination</u></b>

When you enter a purchasing document, for example, a purchase order, the R/3 System automatically calculates the applicable excise duties using the condition technique.

The standard system comes with two tax calculation procedures.

1. TAXINN is only supports condition-based excise determination,

2. TAXINJ supports condition-based excise determination and formula-based excise determination.

Both tax procedures contain condition types that cover all of the excise duties and sales taxes applicable.

Since the exact rates of excise duty can vary on a large number of factors, such as which vendor you purchase a material from, or which chapter ID the vendor stocks the material under, you create condition records for every sort of excise duty.

When you come to enter a purchasing document, the system applies the excise duty at the rates you have entered in the condition records.

<u><i><b>Customizing</b></i></u>

Make the settings in Customizing for Logistics – General, by choosing Taxes on Goods Movements > India > Basic Settings > Excise Duties Using Condition Technique and … > Account Determination.

These activities include one activity where you define a tax code for condition-based excise determination.

Create condition records for all excise duties that apply, and enter the tax code for condition-based excise determination in each.

When you enter a purchase order or other purchasing document, enter the tax code for condition-based excise determination in each line item. The system then calculates the excise duties using the condition records you have created.

When the ordered materials arrive, you post the goods receipt and the excise invoice. The system posts the excise duty to the appropriate accounts for deductible input taxes when you enter the excise invoice.

<u><i><b>Creating Condition Records for Excise Duty</b></i></u>

1. In the command field, enter FV11.

2. Enter the condition type that you want to create a condition record for and choose . The Key Combination dialog box appears.

3. Select the combination of objects that you want to create the condition record for.

On the dialog box, Control Code means "chapter ID."

So, for example, to create a condition record for a tax that applies to a combination of country, plant, and chapter ID, select Country/Plant/Control Code.

4. Enter data as required.

In the Tax Code field, enter the dummy tax code that you have defined.

5. Save the condition record.

Reward points if it helps.

Regards,

Anbu

[Former Member]

Hi,

UTXJ available in pricing procedure only not in TAXINJ.