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Former Member

service tax base amount for calculation : to be changed

Hi

i have and PO order with basic price say for 100 /- on which it is calcuating service tax 12% , e-cess 2% hcess--1 .This is coming thru tax code from the tax procedure and these taxes service/ecess /Hecess is to be posted to sepearte G/L account.This is working fine.

Now my requirement is that i want to calculate service tax on some % of the base price say 70 % of the base price. The % will always be changing .i want to calculate service tax on the 70/- not on 100.

i want that system should post this 100 /- to cost of service but the tax should be on whatever percentage i make .Here this is 12.36 % on 70 not on 100 at the time of invoice posting.

please guide me

regards

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4 Answers

  • Oct 11, 2007 at 02:18 PM

    Hai,

    It is possible with the help of ABAP consultants. In tax procedure you have to define new alternative formula for condition base value against the particular condition type ( service tax ). Generally it is known as routine which is defined by ABAP peoples. Check with your ABAP ers.

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    • Former Member

      Dear rajaram

      Thanks for the reply.I have created routineby the t.code vofm and my ABAP person has written a code and i attached that routine in my FI tax procedure .

      and i made new condition Base :service tax % -- and insertedin my MM pricing procedure and i created the PO :

      Base price---- 100/-

      Base :Service Taxe calcuation as %------70

      and i selected the tax code as desired and checked the service calculation it is working fine.

      But if i make PO with several line item then this is not working :

      What is does it calculates service tax properly for the last item and upadets that service in all previous line with same figure

      so we are stuck at this point

      Regards

      dharmender

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    Former Member
    Oct 11, 2007 at 04:16 PM

    Hello Sunny,

    discount on services taxes is not in scope of standard SAP CIN.

    I just faced same problem with one of our client, I have interacted with SAP and they give me this reply. They are working on this solution

    However for 1 qty it is working. for that you do following

    create condition called ZSER for example (copy condition from discount condition)

    this is used for change calculated call in purchase order.

    activate taxes at service level.(thru SPRO--- IMP step)

    also check pricing procedure means seq in OMQ3 to have correct calculation

    It will only work for one quantity, if qty in po is more than one then it will not work.in bill passing it will calculate tax for all the quantity.

    This must be a transportation bill.

    Reward points if useful

    Regards

    Kedar Kulkarni

    Message was edited by:

    KEDAR KULKARNI

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  • Oct 15, 2007 at 12:40 PM

    Hai sunny,

    How are you doing?. After a long time, i revert back to you reg this issue. Hope, we have to make this by flag the field <b>Header</b> in the condition type. The path is IMG - Fin accting ( new ) - Fin accting Global settings - Tax on sales & purchase - Basic settings - Check calculation procedure - Define condition type . Then you have to define the steps & counters for the condition type in the Calculation procedure also. Check & reply.

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  • Oct 16, 2007 at 12:12 PM

    Hai,

    First of all tell me the tax procedure that you are following TAXINJ or TAXINN ?.

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    • Former Member Former Member

      Hi Sunny,

      Create a new Tax Code and put Service Tax % as 3.6. Ecess and SHE Cess should be same as 2% and 1%.

      Your problem will be solved.

      regards,

      Mallikarjuna