CST TAX - NON DEDUCTIBLE

[Former Member]

Dear Experts,

I need to create a tax code in the name of CST.

The Rate of this tax is 2%.

My client don't want to consider this 2% as CST Input.

It has to be included in Item Cost.

Can anyone please suggest me to solve this issue?

[Former Member]

HI

You can give the Non Deductible % in Tax Attributes of that CST....

In this way you can add it to the item cost...

[Former Member]

Hi,

If we give 100% Non Deductible and by leaving blank in Non Deductible account column,

System will perform this task at the time of AP Invoice. But i want this to be performed while making the GRPO.

Because Once the materials are received, GRPO will be created, then immediately Sales Transaction will happen. So after making sales transaction only AP Invoice will be created. So if we follow this i will not get exact item cost at the time of sales transaction.

[Former Member]

Hi.......

During GRPO, the only Stock Related activities done. And as far as Taxes are concerned that will always happen at Invoice Level.

This is the standard Functionality in SAP and no one can change it.....

You have to raise AP Invoice immediately after Material Receipt.....

Regards,

Rahul

[Former Member]

Hi Rahul,

I am 100% accepting your point. But in a retail industry once the materials are delivered we cannot expect the AP Invoice to be added immediately.

Is there any workaround solution available to achieve this task.

[kvbalakumar]

Hi Manikandan,

While defining the Tax in Tax code setup just give 100% in 'Non-Deductible %' column and leave the Non-Deductible account as blank.

Regards,

Bala