Tax calulation at PO level -PO total value is wrong

[Former Member]

Hi all,

We are on SRM 5.0 ECS.

I have a case where the SC was created with 1 line item and although the tax code in the basic data showed as "No tax",the tax was calulcated for the item and the SC total value was calculated correctly.

Now the Buyer created a PO from this SC thorugh SOURCING but added one more line item for the labor as the second Item.For this added item,it doesnt show link to the SC(which is correct) while for the first one it shows.

But at the Line item level in PO,the tax code is applied but the tax amount has neither been added at the Line item 1 nor for the Line item 2.Also the PO total value doesnt match with the SC total.The missing part is the tax value in the PO total amount on SRM side and the same is replicated on ECC side.

Now the Buyers are asking why the tax is not shown up at the PO in ECC?Is it because the Tax was never calculated at the SRM PO side and hence never got replicated to ECC PO as well?PLease advise.

[Former Member · Accepted solution]

Hi Rads,

What are your tax calculation configurations? Did you configure No Tax Calculation in SRM? Any BADI Implementation for Tax Determination?

Regards

Virender Singh

[Former Member · Accepted solution]

Hi Virendra,

Thanks for the reply.

Regarding the tax configuration,here are the settings:

Supplier Relationship Management>SRM Server>Cross-Application Basic Settings>Tax Calculation>Determine System for Tax Calculation.Here TAX CALCULATION OCCURS IN BACKEND is maintained.

BADI BBP_TAX_MAP_BADI is implemented to specify the TAx jurisidiction key for both SHC and PO.

[Former Member · Accepted solution]

Hi Rads

From the details you ve given,

Line item 1 - Should not show any tax as the item is added from the SC.

Line item 2 - If any tax is added at this line item, the PO Total Tax value will be equal to this value.

If tax code is manually applied at line item 1, then it should appear in the PO. I will first check the behavior in BADI for Tax determination.

Regards

Virender Singh

[Former Member]

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