Tax Determination 

Use

When determining shipment costs, the system can also determine relevant taxes. Certain rules regarding the tax countries involved apply to this calculation.

Features

The system carries out tax determination within the framework of pricing. The settlement date is used to access the conditions. See also Determining Pricing Date and Settlement Date.

To determine taxes within shipment costing, the system refers to the shipment document in order to determine the departure country and the destination country for tax determination.

The following rules apply to system determination of the tax countries:

Departure tax country

The departure country is determined for all relevant deliveries. If the country is the same for all of them, the system uses it as the departure tax country.

Otherwise:

If the shipment cost item refers to

then the departure country from the first shipment leg is used as the tax country.

then the departure country of the shipment stage is used as the tax country.

Destination tax country

The destination country is determined for all relevant deliveries. If the country is the same for all of them, the system uses it as the destination tax country.

Otherwise:

If the shipment cost item refers to

then the receiving country of the last shipment leg is used as the tax country.

then the receiving country of the shipment leg is used as the tax country.

then the departure country of the shipment stage is used as the tax country.

To carry out your own tax country determination, you can use customer enhancement V54D0001.