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Former Member
Dec 26, 2013 at 09:14 AM

Canada tax: Need to change QST calculation logic


Hello experts,

We are working on an scenario where there is new QST change in quebec canada from April 1 2013,Need your suggestion

We use taxware to calculate canadian taxes .I am not sure if we need to change something in our pricing procedure as we are getting results from taxware

currently The tax condition types: XR1 is GST, whereas XR2 is QST.

Calculation Prior to 1/1/13:

GST 5% $605.49 ($12,109.75 x 5%)

QST 9.975% $1,268.35 ($12,109.75 + GST $605.49) x 9.975%

Total $ 13,983.59

Calculation effective 1/1/13:

GST 5% $605.49 ($12,109.75 x 5%)

QST 9.975% $1,207.95 ($12,109.75 x 9.975%)

Total $ 13,923.19

SAP is calculating QST using the old format.

Please suggest the changes i need to do in pricing procedure to not include GST while calculating QST.

Thanks in Advance.