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Process documentation Debit Memos and Credit Memos After Tax Transfer Locate the document in its SAP Library structure

Purpose

This process shows you how to enter a credit memo (or debit memo) for input VAT (value-added tax). You can follow this process, for example, if a vendor sends you an invoice with the wrong tax rate and later sends you a credit memo to change the tax rate.

The process described here assumes that you have already paid the original invoice and transferred the tax.

Process Flow

  1. You enter the invoice.

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  2. You enter the payment.

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  3. You transfer the payment.

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  4. You transfer the tax.

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  5. The vendor then notices that it has charged you VAT at 6%, but that it should have charged 23% instead. It sends you a credit memo, which you enter in the system.

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Note that tax debit memos must be posted using the original tax codes. Document must contain cancellation of the original tax and a new posted tax item while the payment account may not be cleared anymore (the tax has already been transfer-posted). In case of tax debit memo posting it is necessary to specify a reference to original invoice in the document (through BSEG-REBZG field) in order to enable the program to find the original invoice and track down payments against both the documents.

Tax credit memos must be posted with the target tax code.

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