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Different tax account determination for billing of First Milestone

balaji_parsewar
Contributor
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358

Hi Team,

We have implemented milestone billing in our project. There is unique requirement from the client that - Different tax account should get determined when we will bill only first milestone. If we want to achieve this, MWST condition type should determine different tax code only when we bill first milestone. How to achieve this functionality? Any standard SAP configuration for this?

Accepted Solutions (0)

Answers (3)

Answers (3)

balaji_parsewar
Contributor
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Hello Lakshmipathi,

Please assess my proposed solution, once on this. I will create new billing document type i.e. YPB1. In sales order - Item Details - Billing Plan Tab - For milestone 0B, I will enter this newly created billing type YPB1.

At the same time, I will maintain MWST condition record for with access sequence - Country/TaxCl1Cust/TaxClMat/Billing Type. Hence we will bill 0B - This new tax code will get determined. On the basis of this new tax code, I can determine, different tax account.

Appreciate any additional pointer from your side.

Regards,

Balaji

Lakshmipathi
Active Contributor
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I am not in front of SAP and need to look into system. You can try with the proposal you have and update here on the outcome.

Lakshmipathi
Active Contributor
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Through standard configuration, this is not possible. You need to go with an enhancement. Also, I am not sure, whether you have discussed with FI consultant as there could be some possibility to achieve via FI settings. In fact, OB40 configuration will be done by FI team.

balaji_parsewar
Contributor

Hello Lakshmipathi Sir,

My proposed solution worked in this case. Client approved it. Thanks.

Regards,

Balaji

Lakshmipathi
Active Contributor
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But you also have to take into consideration how frequent, this process is going to happen. Also, I presume, user has to select manually the billing type for first milestone billing which might lead to other issues.

balaji_parsewar
Contributor
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You are absolutely correct hence we are thinking of enhancement here.

Whenever user will bill 0B milestone, system should default newly created billing document type so that manual intervention can be eliminated. Through standard SAP, this is not possible.

Regards,

Balaji

Lakshmipathi
Active Contributor
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Can you reconfirm that your client raise first milestone billing for partial work done but tax should be recovered fully ?

balaji_parsewar
Contributor
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Thanks Lakshmipathi for your response. Tax will be recovered proportionately.

Ex. Net Value = 10,000

Milestone 0B (10% of Net Value) = 1000

VAT Tax @ 14% - 140

Client Requirement - This 140=00 should go to different tax account. (Not regular one)

My understanding - When we will bill 0B, MWST should trigger with different tax code. So we can have different GL for the 140=00 in OB40.

For 0B, we do not have different billing document type otherwise, I could maintain MWST condition record for access sequence with that billing document type is one of the access. With this, it would be possible for us to have different tax code hence different tax account. Please correct me if my understanding is wrong.

Regards,

Balaji