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Former Member
Jul 21, 2009 at 01:53 PM

Issue with Posting Indicator 3


Dear friends, we are on ECC 5.0 and we have an issue with the posting of tax for Brazil. Initially we used the Tax Process VS2 with posting indicator "2 - Seperate line item" and assigned a B/S Account. Now we changed this Tax Process VS2 with Posting indicator "3 - distribute to relevant expense/revenue items", as business wants the tax amonut to be posted to the respective expense accounts rather than to particular B/S account.

This setting works well for IR received after GR is posted first and distributes the tax amount to the expense account on the line item of the PO.

However when IR is posted first, it is distributing the tax amount to the GR/IR account as a separate line item instead of to the expense account on the PO line item. We need to find a solution to this issue.

Any help is greatly appreciated.

Joe Teli