How to make the freight amount as the base for calculating service tax

[Former Member]

Hi All,

Am selling a material which has a price condition type pr00,the price is picked from the record say 20000 rs.and i also have a header condition type for freight which is manual,am giving 1000rs.now the total amy is 21000 rs.

as per the current setting VAT 4% is calculated for the net 21000 rs,but i want the output like 4% vat shld be calculated on 20000 and service tax of 12.36% shld be calculated on freight amt 1000.

Is there any possiblity of getting my desired output without changing the configuration.

I have a suggestion that creating a material in the name of freight and then create a condition record for service tax with 12.26% for that material will this work.

THANKS IN ADVANCE

[former_member204513 · Accepted solution]

Hi Venugopal,

Please do the settings in pricing control data then try

For example:-

Step condition type from to

10 PR00

20 Freight

30 VAT 10

30 Service tax 20

Total value xxxx

I hope it will help you,

Regards,

Murali.

[Former Member]

Hi Venugopal,

U can make use of the From and To fields which are present in the pricing proc , Controle screen.(v/08) Trnx.

GO thru this explanation n u would be clear.

If you specify a to reference step at the same time, the condition values of the two steps specified and the conditions values of the steps in between are totalled. In this case, percentage surcharges are calculated on the basis of the total.

Example:

Level CType Description FromSt ToSt ActKy

10 A-B1 Wages

20 A-B2 Salaries

30 A-B3 Overtime/Wages

40 A-Z1 Vacation bonus 10 30 E11

The surcharge for step 40 is added to the total of steps 10 to 30.

Do get back in case of clarification.Reward accordingly

Cheerzz..

Subbzz.

[Former Member]

Hi subz,

My ? is it possible to do with out changing the confi.

And can you further explain what you have answered,in my case service tax base for calculation is from subtotal step which is 490.if i change that to 240 which is freight condition type will it work.

and ? again is freight amt shld not be include for the base for vat also

[Former Member]

Hi Venugopal,

As per my knowledge ure requirnment cannot be achived without editing the pricing proc.

I guess U r referring the step no as 490,240.

What I understand from ure explanation is that

Probably The fright Condition is at step 240.

Whereas the subtotal fiels is at Step 490.

Probably u should re arrange ure condition types in ure pricing procedure like move the Fright condition out of sub total range .

ie assign Fright condition type any step no Greater than 490.ie 500 or any such no.

Hope I am clear.In case of any doubts plz do let me know with a clear explanation of ure problem.

Rgds,

Subbzz..

[Former Member]

Hi Subzz,

Am Clear now i have to test.

I got one idea you have to tell me wheather am right r not.

Creating a material with the item category grup with out delivery LEIS,AND name of freight and giving the manual price in the condition tab and again creating a servive tax record for this material for 12.36 %

WILL IT WORK

[Former Member]

Hi Venugopal,

I dont think what u have mentioned below is a correct process.

Taxes , fright,cost,etc should be maintained using condition records. We should not adopt alternative approach.....

Cheerz..

Subbzz.

[jpfriends079]

In a simple way it can be:

Steps Condition Type Desc. From To Value for calculation

10 PR00 Material Condition record price 00 00 20000.00

20 Material Accessible value 10 00 20000.00

30 ZFR0 Freight 00 00 1000.00

40 ZVAT VAT 4% 20 00 800.00

50 Material Accessible value 20 00 20000.00

60 Material price with VAT 40 50 20800.00

70 Accessible Freight Value 30 00 1000.00

80 ZSER Service Tax 12.36% 70 00 123.60

100 Freight after Service tax 70 80 1123.60

110 Effective material accessible value 60 00 20800.00

120 Net Price 100 110 21923.60

Any suggestion. Kindly let me know. JP