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Nov 18, 2020 at 08:22 PM

Excise Tax Calculation

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Hello,

I am in the process of completing a project in relation to Excise Tax for my company. We use SAP Business One in the United States. The nature of our company requires us to pay Excise Tax (federal, state, etc) on our product we sell for any given month (paid the following month). We therefore must estimate and accrue this amount at the end of each month. These tax amounts are based off of volume (gal, oz, etc depending on the state). We would like to utilize SAP to set up tax codes for invoicing so that these amounts could be provided viz report pull from SAP instead of manually calculating at month end.

The struggle I am running into is the following:

1. The calculations are based off of liquid volume.

2. When invoicing, these amounts are NOT charged to the customer, so i cannot invoice for these items but i need to SAP to recognize the tax code at the time of invoicing to register the volume.

So far I have been unsuccessful in locating the right direction here. I am only able to see how to use Sales Tax or VAT that would be added on to the invoice. However, in our case, these transactions are tax exempt to the customer.

Any help would be greatly appreciated!