cancel
Showing results for 
Search instead for 
Did you mean: 

Quiz about tax classification

Former Member
0 Kudos

Hi, experts,

There is a problem about tax classification that need ur help..

In billing document, there are 2 tax classification, one is <u>TaxClass1-Cust</u> at header , another one is <u>Tax class. mat.</u> at item level, normally, there will only have 1 number on these two tax classification.

But I found in one of our billing document, there are 2 numbers in <u>Tax class. mat.</u>, is anyone know why and what's the impact regarding this?

Thanks for ur kindly help in advance!

Accepted Solutions (1)

Accepted Solutions (1)

Lakshmipathi
Active Contributor
0 Kudos

Hi Ygwendolyn

If I understood your question correctly, you are asking in sale order, under the item level billing tab, a field "Tax classific" will be there and here why two numbers are flowing.

Do you mean to say that our of 4 fields, for one particular item, two numerics are flowing in these 4 fields, say for example, instead of 1, 1, 1, 1 it is flowing 1, 2, 2, 1.

If so, you need to check in material master Sales: sales org.1 view what tax codes you have maintained for the said material.

Thanks

G. Lakshmipathi

Former Member
0 Kudos

Hi, Lakshmipathi,

Thanks for your reply, ur undersanding is correct, however, it's a little bit speicial in this case, this billing doc is not linked to a sales order, as it's a monthly service charge, so we use the contract function in SAP, and set up a service contract to trigger this monthly service charge. And there is only 1 tax classification number in item level..

So I have no idea of what's wrong with it...:(

Answers (2)

Answers (2)

Former Member
0 Kudos

hi,

Tax is determined based on

1) organizational structure, country, region, or city of delivering plants and

2) country or receiving customer

3) combination with tax relevancy indicators on the customer and material master records.

check this

Customer Taxes Material Taxes Rate Taxes

0 0 0 %

0 1 0 %

1 0 0 %

1 1 9 %

In this example, if both the Customer Master and Material Master Tax code is 1, Tax will be included when you create the Sales Order.

CHAN

Message was edited by:

CHAN HARI

Former Member
0 Kudos

no one knows??

Former Member
0 Kudos

Can someone help me?