tax classification

[Former Member]

hi guys,

what is importance of tax classification?

In sales order at header level>>billing tab>> alt tax classification is available how it differs from item level>>billing tab>>tax classification

regards,

Arun Prasad C R

[Former Member · Accepted solution]

Hi,

Alt tax class (Customer) on the header billing and tax class(material) is used for tax determination.

alt tax class is picked up from ship to party and material tax class is picked up from material master record.

Alt tax class in the header billing tab has precedence over the alt tax class picked from C. master

[Former Member]

Hi Arun Prasad,

Pl go thr below links:

http://www.sap-img.com/sap-sd/taxation-explain-with-an-example.htm

http://sap.ittoolbox.com/groups/technical-functional/sap-log-sd/wrong-customer-tax-classification-91...

http://www.sap-basis-abap.com/sapsl002.htm

https://www.sdn.sap.com/irj/servlet/prt/portal/prtroot/docs/library/uuid/047ab790-0201-0010-a9b1-e61...

Reward points if it helps.

regards

Srini

[Former Member]

Tax classification for customers is valid for each sales area.

Tax classification for materials is valid at the level of sales organization/distribution channel/plant.

Both will be useful for taxdetermination

[Former Member]

hi reddy,

Got it

can u please tell me the difference for alt tax classification & tax classification

regards,

Arun prasad C R

[Former Member]

hi reddy,

sorry, u are right i have got what you have answered

thank you

regards,

Arun Prasad C R