Function documentationReverse Charge Mechanism for Credit Card Transactions (CCD Only)

 

You can use this function to settle credit card transactions from credit card files in CCD format according to the reverse charge mechanism.

The reverse charge mechanism is a VAT-based rule that determines, in specific cases, that the customer is liable to pay VAT and not the provider. In the expense report, this rule can apply to domestic services provided by a company located in a foreign country, for example, when a domestic flight is offered by an airline based abroad.

Features

The file format CCD for credit card files contains the following fields for handling credit card transactions that are to be settled according to the reverse charge mechanism:

  • Reverse charge indicator

  • Reverse charge country (the country in which the product was purchased or the service was provided)

For more information about this file format, see SAP Service Marketplace at Start of the navigation path http://service.sap.com/tmInformation published on SAP site Next navigation step Travel Management in Detail Next navigation step Credit Card Clearing Next navigation step Credit Card Clearing Data Structures (>= ERP6.0 as of 01/11) End of the navigation path.

The system evaluates these fields when it adds a credit card transaction from the receipt buffer to the expense report. If the reverse charge indicator and reverse charge country are selected and specified respectively in a credit card transaction, the system sets the tax code that you have set in one of the following Customizing activities, in the resulting receipt:

  • If the service was provided domestically (in the home country of the trip provision variant used), the system uses the tax code that is entered in Customizing for Travel Expenses under Start of the navigation path Master Data Next navigation step Travel Expense Types Next navigation step Create Travel Expense Types for Individual Receipts End of the navigation path for the trip provision variant and expense type, in the VAT Code Reverse Charge field.

  • If the service was provided abroad, the system uses the tax code that is entered in Customizing for Travel Expenses under Start of the navigation path Master Data Next navigation step Advanced Treatment of Value Added Tax Next navigation step Define Country-Dependent Default Values for Expense Types End of the navigation path for the trip provision variant, expense type, and the country, in the VAT Code Reverse Charge field.

You can set the VAT Code Reverse Charge indicator only if, in Customizing for Travel Expenses under Start of the navigation path Master Data Next navigation step Control Parameters for Travel Expenses Next navigation step Define Global Settings End of the navigation path, the property Input Tax per Travel Expense Type is defined for the affected trip provision variants.