Taxes on Sales/Purchases, Sales Taxes, and Additional Taxes
The Accounts Receivable, Accounts Payable, and General Ledger application components support the calculation and posting of tax as follows:
- The tax amount can be determined upon request
- The tax amount is checked by the system at document level
- The tax amount is posted to the tax accounts automatically
- A tax adjustment can be performed automatically, if required, for cash discount postings and other deductions
These transactions are controlled using Customizing, whereby the following specifications need to be made:
Base Amount and Cash Discount.
- To determine the tax amount, the system calculates a base amount, the composition of which varies from country to country. You determine whether the base amount for tax calculation is to include the specified cash discount amount. This information must be defined for each company code. See also
- To enter and determine taxes automatically, a tax code is required, which will include the tax rate prescribed by law. See also
Automatic Tax Posting.
- The tax amount is generally posted automatically. For posting, specify the tax accounts to which the individual taxes are to be posted. See also
you can specify whether the account is a tax account, and if so, which tax type (input tax or output tax) can be posted to the account. For all other G/L accounts, you can use the master record to specify a tax rate and a tax type, or specify that it is not tax-relevant. See also
Specifications in G/L Accounts.
- In a G/L account master record
Tax on Sales/Purchases for Down Payments
Specifications for the Tax Type
Separate Exchange Rate for Translating Taxes into Foreign Currency
Tax Return to the Tax Authorities