Posting Tax Payable (SAP Library - Closing and Reporting (FI))

Posting Tax Payable

Normally, you cannot post directly to the output tax account, that is, the balance from this account cannot be transferred directly to the tax payable account. You can transfer these amounts in the following ways:

You generate a batch input session for the transfer posting by using the program for the advance return for tax on sales/purchases.

You post the tax amounts to a tax payable account manually, using the "Post tax payable" function. The amounts transferred are not included in the advance report for the next month, since the document generated does not contain any tax information. To carry out this step, from the General Ledger menu, choose Periodic processing ® Closing ® Report ® Post tax payable.

Before you can use the program to post the tax payable, you must fulfill the following prerequisite:

You must create the tax payable account in the system. The tax payable account itself must not be tax-relevant.

The posting keys for G/L account postings, used to automatically post the tax payable, are already defined in the system. If you have to change them, you can do this from the entry screen for the tax payable account. Select Define accounts for automatic tax payable transfer posting in the General Ledger Accounting Implementation Guide.

You can also specify a different account for the tax payable transfer instead of the account created in the system.