#CEO Singapore GST Tax rate changes on 1/1/2023 and 1/1/2024

[karen_e]

We are live with S4 Hana public cloud in Singapore.

There is a statutory tax change taking place on1/1/2023 from 7%to 8%

and then in 1/1/2024 from 8% to 9%

The tax rate is in the description of the SAP standard tax codes and in the rate.

Will SAP be changing these tax codes on the public cloud as its a country statutory change.

We need to test the changes starting from now as we have interfaces coming into the S4Hana Cloud system so want to know when SAP will be implementing this change - at least the one for 1/1/2023

[JulianoRomanato]

Hello karen_e.

How are you? I have included the Tag "SAP S/4HANA Cloud Localization" for this question, as it refers only to Singapore.

Regards.

Juliano Romanato.

[former_member133715]

Hi SAP,

As this is a country change and affect to all Singapore clients. We would like to know if this will be part of the hotfix by SAP or will be residing back to client to do a manual tax rate change?

SAP SG Localization Expert advice is needed here.

Thanks.

[OwenLiu]

We helped you to accept the answer, since there were no updates after 7 days.

You can unaccept it anytime if you have further questions.

[Chanchana · Accepted solution]

Hi

For existing S/4HANA cloud customers, they can change tax rate and tax code description by themselves using SSCUI 101016 - Define Tax codes for Sales and Purchase. Since the SSCUI is available hence the pre-content package of tax rate change, which plan to be released on 22 Dec 2022, will only apply for new customers.

To access this SSCUI -> open tile “Manage your solution” -> Set local version = Singapore -> Open Configure Your Solution

Search 101016 or Set application area = Finance & Sub-application = Statutory Reporting > Tax > Define Tax codes for Sales and Purchase.

Note that to change tax code description, user need to click [Properties].

Regards,

Chanchana

[Yang09]

Hi customers,

For existing Cloud customer, Please refer to the below URL as solution:

https://launchpad.support.sap.com/#/legalchangenotification/NoteInforSet/jira=GSREQAPJ-2471/TwoColum...

Expected Solution

Time-Dependent Taxes (TDT) is enabled to handle the changes to GST rate in Singapore.

In countries/regions where time-dependent tax (TDT) calculation is active, certain tax rates are effective within user-specified timeframes to allow you to adapt to current or planned changes to tax rates.

Refer to

• SAP Knowledge Base Article 2936931 - TDT S/4HANA Cloud
• SAP Help Time-Dependent Tax

Best regards,
Yang

[Chanchana]

Hi Hong Wah Phoon

As informed in previous reply. The hot fix that is planned to be released in Dec 2022 to set 8% effective from 1 Jan 2023 and 9% effective from 1 Jan 2024, will only apply for new customers on board after hot fix released only.

For existing customers, please change tax rate and tax code description with SSCUI 101016.

Regards,

Chanchana