Tax Calculation 

Use

You can calculate sales tax in SAP Enterprise Buyer. The tax is calculated when you create a shopping cart, enter a purchase order, or enter an invoice or a credit memo.

You can use the tax calculation functions in the following applications:

Creating shopping carts

The system determines a tax indicator. You can change the default tax indicator. You can display the tax amounts per item and as total amount. You can define whether the tax amount is to be taken into account with approval via workflow.

Process Purchase Orders

You can change the default tax indicator. The system calculates the tax on the basis of the current data. You can display the tax amounts per item and as total amount.

Enter Invoice

You can change the default tax indicator. Depending on the legal requirements, the system calculates the taxes either per item or as a total amount. In addition, you can enter the taxes manually for each tax code or as a total tax amount.

Enter credit memo

You can change the default tax indicator. Depending on the legal requirements, the system calculates the taxes either per item or as a total amount. In addition, you can enter the taxes manually for each tax code or as a total tax amount.

Evaluated receipt settlement

Tax is recalculated. You define the tax code in the purchase order.

Integration

Tax calculation can occur in the following systems:

TTE (Tax Transaction Engine)

External tax system. (Vertex or Taxware)

SAP R/3 System: Tax calculation occurs in the financial accounting system

Customer-specific implementation: Calculation occurs in SAP Enterprise Buyer

You can also specify that no tax is calculated.

Prerequisites

Setting	Menu path in the Implementation Guide (IMG)
Define system for tax calculation.	Supplier Relationship Management ® SRM Server ® Cross-Application Basic Settings ® Tax Calculation ® Determine System for Tax Calculation
You define the allowed invoice verification tolerances for the variances between calculated and manually entered tax amounts (optional).	Supplier Relationship Management ® SRM Server ® Cross-Application Basic Settings ® Set Tolerance Checks.
You define whether taxes for the total freight costs (that is, for all company codes) are to be calculated with a separate tax code (optional).	Supplier Relationship Management ® SRM Server ® Cross-Application Basic Settings ® Tax Calculation ® Define Tax Calculation for Freight Costs
You define whether taxes for freight costs for specific company codes are to be calculated with a separate tax code (optional).	Supplier Relationship Management ® SRM Server ® Business Add-Ins for Enterprise Buyer ® Tax Calculation ® Calculate Tax for Freight Costs

Features

Tax Calculation with the Tax Transaction Engine (TTE)

If you wish to carry out the tax calculation with the Tax Transaction Engine (TTE), you must make the following settings:

       1.      Define the destination for the TTE system, for example, TTE_DEST.

Path in the Implementation Guide (IMG): Supplier Relationship Management ® SRM Server ® Technical Basic Settings ® Define RFC Destinations

       2.      Define the backend system.

Path in the Implementation Guide (IMG): Supplier Relationship Management ® SRM Server ® Technical Basic Settings ® Define Backend Systems

Required details:

Logical system, for example TTE

Name, for example TTE

Destination, for example TTE_DEST

System type, TAX_TTE

       3.      Process the business partners.

...

                            a.      Choose Master data ® Business partner (BP) ® Process business partner.

                            b.      Enter the business partner, for example, the company that the goods are to be delivered to.

You must specify a business partner because the location is determined from this. The attribute Company is maintained for the business partner in the organizational model.

                            c.      In the Number for Tax and Reporting frame, make the following entries:

Tax category, for example DE0 for the VAT registration number in Germany

Name

Tax number; this is checked dependent on the tax category selected

                            d.      In the Tax Classifications frame, maintain the following data for countries that you work with:

Country, for example DE

Region

Tax type, for example VAT

Tax group, for example FULL

       2.      Process the products that are to be checked.

...

                            a.      Choose Master data ® Product ® Process products.

                            b.      Enter the ID/short text for your product and choose Start.

                            c.      Choose the General tab. Make the following entries:

Country, for example DE

Tax type, for example VAT

Tax group, for example HALF

For more information on configuring the TTE, see the Solution Manager for CRM 4.0.

Tax Calculation with Vertex and Taxware

This type of tax calculation is only valid for USA and Canada.

...

       1.      Define the destination for the external system, for example, EXT_DEST.

Path in the Implementation Guide (IMG): Supplier Relationship Management ® SRM Server ® Technical Basic Settings ® Define RFC Destinations

       2.      Define the backend system. The external systems are used directly for the tax calculation.

Path in the Implementation Guide (IMG): Supplier Relationship Management ® SRM Server ® Technical Basic Settings ® Define Backend Systems

Required details:

Logical system, for example VERTEX

Name, for example VERTEX

Destination, for example EXT_DEST

System type: BBP_EXT external system

Tax Calculation in the SAP R/3 System

If the purchase order was created in the Enterprise Buyer system, the tax is calculated in the logical financial accounting system. The financial accounting system can be a part of a backend system.

If you elect to calculate tax in the SAP R/3 System, tax calculation occurs in the respective financial accounting system (dependent on the attribute of the user System Alias for Financial Accounting Systems in the organization model). In this case, a SAP R/3 System has to be defined as financial accounting system. 

The tax code is then determined from the entries in the tables and fields, for example, from the product category, country of goods recipient, or the domestic/international indicator.

If the tax indicators in the Enterprise Buyer system do not match the tax indicator in the financial accounting system, these can be mapped to the tax indicators of the financial accounting system.

Setting	Menu path in the Implementation Guide (IMG)
Maintain the tax code default values.	Supplier Relationship Management ® SRM Server ® Cross-Application Basic Settings ® Tax Calculation ® Enter Tax Code
You can assign tax codes that have different names in the FI system and in SAP Enterprise Buyer to each other.	Supplier Relationship Management ® SRM Server ® Cross-Application Basic Settings ® Tax Calculation ® Assign Enterprise Buyer Tax Code to FI System
You want to use individual tax code determination.	Supplier Relationship Management ® SRM Server ® Business Add-Ins for Enterprise Buyer ® Tax Calculation ® Determine Tax Code
You want to change or supplement the data used to calculate tax dependent on the system selected for tax calculation.	Supplier Relationship Management ® SRM Server ® Business Add-Ins for Enterprise Buyer ® Tax Calculation ® Change Tax Data

If an external tax system such as Vertex or Taxware (only for USA and Canada) is connected to the SAP R/3 System, this is called up automatically from the R/3 System.

Customer Implementation

You can carry out customer-specific tax calculation by replacing the function module “NOR3_TAX_CALCULATION” with your own function module in table BBP_FUNCTION_MAP in the row “TAX , Calculate_NOR3, LOCAL, NOR3_TAX_CALCULATION”.

Note that the interfaces have to correspond.