Taxes on Sales/Purchases Handling: Gross Procedure

Use

In the Public Sector, input tax and taxes on sales/purchases play a subordinate role. However, there are areas in which these taxes must be entered.

You can map accounting transactions (which involve input tax and sales and purchasing tax) in the SAP System according to the net or gross procedure. You use the gross procedure if net and tax amounts are to be posted to a commitment item.

Note Note

If you want to display public-owned commercial operations in the SAP System, you must use the net procedure. You will find information on the net procedure under: Taxes on Sales/Purchases Handling .

End of the note.

Prerequisites

The gross procedure ( VAT gross ) must be set up in the Customizing of Funds Management Government , in step Start of the navigation path Actual and Commitment Update/Integration Next navigation step General Settings Next navigation step Make Other Settings. End of the navigation path

Features

You only need to enter one commitment item when entering a request, because the tax and net amount are posted on the same commitment item.

The availability control is gross, which means checking is done against the budget of the commitment item.

For more information on tax handling in the SAP System, see Taxes (FI-AP/AR)