Output Tax in Customer Line Items (SAP Library - FI Accounts Receivable and Accounts Payable)

Output Tax in Customer Line Items

Use

Tax on sales/purchases is deducted from amounts in G/L account items and not from amounts in customer items. The tax on sales to customers is output tax and is posted to a tax account. In systems delivered to countries which have no tax on sales/purchases, the Tax code field is suppressed.

Features

You can enter tax on sales/purchases for the invoice in the following ways: You can

Enter the tax manually

Have the system calculate the tax

The system posts one item for every tax code.

Activities

The following scenarios are possible when entering taxes:

The invoice contains only one tax code

Enter this tax code and the system defaults it in every subsequent G/L account item.
Enter the entire tax amount for the invoice in the appropriate field.

The invoice contains several different tax codes/tax rates

Leave the defaulted tax code ** in the field.
Do not enter any tax amounts on this screen - instead, go to the separate tax screen at the end of the document entry procedure.

The amount is not tax-relevant

Leave the defaulted tax code ** in the field.

The document contains tax amounts but they are not explicitly stated

Select the Calculate tax field.
If the tax rate is clearly specified, enter the appropriate tax code. If it is not, leave the defaulted tax code ** in the field.

The following figure shows the options available for entering a tax code in each customer line item.

The figure illustrates how a customer invoice is posted. The system posts the tax on sales and purchases (output tax) to the tax account automatically.

This graphic is explained in the accompanying text

Note

Most countries have more than one tax on sales/purchases rate. The tax return must include a separate line for each rate. You must therefore enter a different tax code for each tax rate.

Note

For more information about tax on sales/purchases, see the documentation created specifically for your country. For details about preparing the tax returns for submission to the authorities, see FI Closing and Reporting.