SAP Convergent Charging provides tax computation. You must set up tax information both in the pricing catalog of the service provider and in master data related to the end customers.
Pricing catalog master data: You define the tax information in the customized charges that represent the tax settings for the consumption of a customer service.
In the charge customized of a charge plan, you define if the prices in its price plan are net or gross (the tax is removed from or added to the base amount). You define the invoicing tax system that applies to this customized charge and relevant options:
VAT rule and place of establishment of the service provider
Tax rate level
Flat tax rate
|
EU VAT System |
Base amount (net/gross) |
|
Flat Tax System |
Base amount (net/gross) |
|
EZTax System |
Customer master data: In the subscriber accounts you define the taxation type (VAT, US, or none) and the taxation mode (who pays the tax).
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Notes:
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The table below shows you the main settings regarding the computation of taxes. This table does not describe all the possible combinations that you can set up. If you choose a combination which is not authorized by SAP Convergent Charging, the charging process is not performed. For example, if you choose the VAT taxation type in the subscriber account and the US EZTax system in the charge of a charge plan, the charging process is not performed for the service consumption relating to this subscriber account.
|
Charge in a charge plan/ |
Subscriber Account |
Postpaid Charged Item/Prepaid Charged Item |
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|
Tax system |
Base amount |
VAT rule |
Tax rate level |
Taxation type |
Taxation mode |
Taxation zone |
Amount |
Tax amount |
Total amount |
|
None |
Net or Gross |
|
From -1 to 5 |
None |
None |
NO_TAX |
Base amount |
0 |
Base amount |
|
EU VAT |
Net or Gross |
|
From -1 to 5 |
VAT |
None |
NO_TAX |
Base amount |
0 |
Base amount |
|
EU VAT |
Net or Gross |
|
From -1 to 5 |
VAT |
SPSP (*) |
BY_RULE |
Base amount |
0 |
Base amount |
|
EU VAT |
Net or Gross |
|
From -1 to 5 |
VAT |
SPSP (*) |
Any country |
Base amount |
Tax |
Base amount + tax |
|
EU VAT |
Net or Gross |
|
From -1 to 5 |
VAT |
SPSP (*) |
Any country |
Base amount - tax |
Tax |
Base amount |
|
Flat Tax |
Net or Gross |
N/A |
N/A |
VAT |
SPSP (*) |
Any country (Information not used) |
|
|
|
|
US (EZTax) |
N/A |
N/A |
N/A |
US |
SPSP (*) |
EZTax-AREA |
Base amount |
Tax |
Base amount + tax |
|
Subscriber Account |
Charge in a charge plan/ |
Postpaid Charged Item/Prepaid Charged Item |
||||||
|
Taxation type |
Taxation mode |
Taxation zone |
Taxation type |
Base amount |
Tax rate level |
Amount |
Tax amount |
Total amount |
|
None |
None |
NO_TAX |
None |
Net or Gross |
From -1 to 5 |
Base amount |
0 |
Base amount |
|
VAT |
None |
NO_TAX |
VAT |
Net or Gross |
From -1 to 5 |
Base amount |
0 |
Base amount |
|
VAT |
SPSP (*) |
BY_RULE |
VAT |
Net or Gross |
From -1 to 5 |
Base amount |
0 |
Base amount |
|
VAT |
SPSP (*) |
Any country |
VAT |
Net |
From -1 to 5 |
Base amount |
Tax |
Base amount + tax |
|
VAT |
SPSP (*) |
Any country |
VAT |
Gross |
From -1 to 5 |
Base amount - tax |
Tax |
Base amount |
|
US |
SPSP (*) |
EZTax-AREA |
US |
n/a |
n/a |
Base amount |
Tax |
Base amount + tax |
(*) Service Provider Subject to Pay
Example
Your company offers a service called 'Bilingual Dictionaries Online' which allows customers to purchase a subscription to an online dictionary. When purchasing a subscription, the customers receive an email to confirm that their subscription is ready for use. They are then be able to login to their subscription by going to the 'Bilingual Dictionaries Online'.
Each bilingual dictionary in 'Bilingual Dictionaries Online' is available separately by annual subscription. A 3-month subscription to one language costs £15 + VAT and a 12-month subscription to one language costs £45 + VAT.
In a price plan called "Bilingual Dictionaries Online", you use a Flat Function component to charge any customer £45 for each 12-month subscription to a bilingual dictionary. According to the table above, if you choose a VAT taxation type of 19,6% (Normal rate) and 'GB' as the country, the results for a 12-month subscription are the following:
|
Subscriber Account |
Charge in a charge plan/ |
Price Plan |
Postpaid Charged Item/Prepaid Charged Item |
||||||
|
Taxation type |
Taxation mode |
Taxation zone |
Taxation type |
Base amount |
Tax rate level |
Base amount (*) |
Amount |
Tax amount |
Total amount |
|
None |
None |
NO_TAX |
None |
Net or Gross |
0 |
£45 |
£45 |
0 |
£45 |
|
VAT |
None |
NO_TAX |
VAT |
Net or Gross |
0 |
£45 |
£45 |
0 |
£45 |
|
VAT |
SPSP |
BY_RULE |
VAT |
Net or Gross |
0 |
£45 |
£45 |
0 |
£45 |
|
VAT |
SPSP |
GB |
VAT |
Net |
0 |
£45 |
£45 |
£8,82 |
$53,82 |
|
VAT |
SPSP |
GB |
VAT |
Gross |
0 |
£45 |
£37,63 |
£7,37 |
$45 |
|
US |
SPSP |
EZTax-AREA |
US |
n/a |
n/a |
£45 |
£45 |
Tax |
$45 + tax |
(*) In this example, Base Amount is the price for a 12-month subscription that you type in the Fixed Amount field of the Flat Function component.
Consult the SAP CC Library for more information about the tax calculation feature and process.
Consult the SAP CC Implementation and Configuration Guide for more information about the Customizing activities relevant for the tax management services.