non recoverable tax

[Former Member]

we have one transaction

Dr: expense-medical 105

Cr: bank 105

105 including 100+5%*100=105, 5% is VAT input tax, but not recoverable, since expense-medical is GL account with mandatory tax code field.

so when user using FB50, he need to select tax code P5(5%), input 100 into expense account, so how to configure tax code and let system auto calculate tax

but no tax payable line generated, 5% is not recoverable?

[former_member188063]

Hi Rajendra, FTXP/OBQ3/OB40 AND FV11 are the transaction codes you can use for this purpose. Also, go through the below links which will give you a wonderful understanding of Taxes.

http://scn.sap.com/thread/1758549

http://wiki.sdn.sap.com/wiki/pages/viewpage.action?pageId=257757612&bc=true

http://wiki.sdn.sap.com/wiki/pages/viewpage.action?pageId=53057&bc=true

Regards,

Sudhakar

[former_member1009083]

Hi,

    If you are using Formula-Based Tax procedure, the tax code will work for mm & fi also. For condition-based tax procedure, create condition record using Tax classification in FV11 inrespect of Tax Code

   It will work in f-02 or fb50

Regards

Diptadhi

[former_member1009083]

Hi,

   In Transaction Code OBYZ you have to define an Condition Type for Vat Non-Deductible with account key NVV.

  Then in FTXP create a Tax code based on 5% non-deductible vat. Put 5 % in Non-Deductible Condition type for VAT

  Then at the time booking it will add to expense-medical account

Regards

Diptadhi

[Former Member]

in my case, I post through FB50 or F-02, no MM transaction is involved, if using FB50, input tax code, system generate tax line item, which is not I want. how can I solve the problem?