tagging of 0% tax code for interest income

[Former Member]

Hi Treasury experts,

I got one question regarding tagging of tax code to the interest income transaction.

Fyi, our company are going to implement 'goods and services tax (GST)' early April 2015.

There is requirement from auditor to tagged the interest income with tax code, eventhough all Treasury transactions does not subjected to tax, but still for exempted one, we still need to tag the interest income.

As u know, the interest income related transaction will be posted into GL upon maturity and accrual/deferral.

I've searched over internet for the solution and a bit confusing on which method should i use.

Fyi, the tax code that need to be tagged is 0% as it is exempted supplies (ES).

Is there any way that the tagging:

1. can be done automatically by the system?

2. user did not have to input tax code which they can remain input transaction as per current practise?

Your expertise and feedback on this is highly appreciated.

Thank you.

[jasmine_li · Accepted solution]

Hello,

you have the following options to create postings with tax:

1) Table AT210

==============

This tables requires an additional flow in your deal (= tax amount).

In table AT210 you can link this tax flow to the base flow and assign

a corresponding tax code.

2) BAdI TPM_ACCIF_TRAC

======================

The purpose of the BAdI-method ACCTX_EXIT it to supply additional

information to a tax posting which are required to handle this tax

posting correctly in FI. In order to use this BAdI-approach, the

following informationhas to be set for tax postings:

- fill mwskz, xmwst, taxit (=X) in method ACCIT_EXIT

- fill additional tax information in method ACCTX_EXIT (fields like

   ktosl, kschl, knumh, kbetr, fwste, fwbas).

Please refer to note 1712139 for more information.

Therefore if you do not want to enter tax amount manually in the deal

or use derived flow,

then you may consider to implemen the BADI TPM_ACCIF_TRAC with method

ACCTX_EXIT.

Best regards,

Jasmine

[Former Member]

Thanks Jasmine. I've thought about using this BAdI earlier, but since im a bit unsure about it, then i think get an opinion from experts is requried.

Thanks again for ur reply. I'll do whatever necessary, and will update u later whether it successful. Thanks again!