cancel
Showing results for 
Search instead for 
Did you mean: 

Global pricing procedure vs country specific pricing procedure

Former Member
0 Kudos

Hi all,

We are having a Canada roll out with US already on SAP.Both the companies share the same client with two different company codes. They use the same sales order type .The pricing structure is same and have common base prices surcharges and discounts. The only difference is in the tax calculation with Canada needed its own tax condition types different from US.

Whats the advantage/disadvantage of going by a global pricing procedure ( by adding the second countrys tax condition types into the existing pricing procedure) vs country specific PP. We have two more countries to go live on SAP and they may

or may not share the same kind of pricing structure. Please advise

View Entire Topic
prasanna_kumar4
Active Contributor

HI

As per my knowledge , you Don't required separate pricing procedure for TAX

Tax will calculate based on your ship to party , so if the ship to party is belongs to US , it will pick US tax Calculation otherwise it pick Canada

TAX calculation

It is totally controlled by your customer and material master.

and also try to insert those condition types in PP and check in Sandbox

Regards,

Prasanna

Former Member
0 Kudos

Thanks Prasanna. I understand that part on tax calculation. But my question is , if you look at the standard country specific pricing Procedures, we can see RVAJUS ( for US with jur.code) and RVAJCA (for canada with jur.code) . The main difference I believe between these two is in the tax condition types. Correct me if I am wrong here. So my question is on the pros and cons of going with one global pricing procedure with both the US and Canadian tax condition types in it. So I will have UTXJ , JR1-JR6 as well as CTXJ, JRC1-3 in one pricing procedure

prasanna_kumar4
Active Contributor
0 Kudos

Hi

sorry i am not sure about those PP because i didn't not work

But may be you can go ahead with different pricing procedure

If you talking about only TAX i think not required , because that is controlled by customer master and Material master

May be you can check with other experts opinion

Regards,

Prasanna

jpfriends079
Active Contributor
0 Kudos

Yes, your tax condition values will determine from Tax Procedure, if the value are coming from external system like Sabrix.

This will determine based on relevant routine in sales pricing.

But, mostly,

Condition Type

Desc

Cal Type

bas Type

UTXJ

Tax Jurisdict.Code

300

16

XR1

Tax Jur Code Level 1

301

16

XR2

Tax Jur Code Level 2

302

16

XR3

Tax Jur Code Level 3

303

16

XR4

Tax Jur Code Level 4

304

16

XR5

Tax Jur Code Level 5

305

16

XR6

Tax Jur Code Level 6

306

16

And you will need different priricng procedure based on you tax determination for each country.

TAXCAX

- Tax CAN m Jurisdictions (ext.)

With tax jurisdiction, condition value from external system

TAXUSX

- Tax USA m Jurisdictions (ext.)

With tax jurisdiction, condition value from external system

Regards

JP