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Output Tax for Australia

Former Member
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Hi Guys ,

Need some help here . I am going live with Australia implementation Nov 1st.

I have some issues here.

I have maintained output tax MWST for pricing and I have MWST maintained in VK11 all the way .

However in OVk1 - Australia 's tax categoy is = ATX1 and the material master tax is also poping up with ATX1.

Fine .. I have maintained the material master tax as ATX1 = 0,1, . but my pricing is still MWST.

The surprising things is when I create the Sales order MWST PICKS UP the 10% tax !!

How is this possible if the Tax for material is maintained as ATX1 and not MWST ...

How is pricing picking up as 0 or 1. ????

Please help explain , If I delete ATX1 from OVK1 and replace it with MWST. It doenst work. Pricing does not pick up

SO somehow ATX1 is linked to MWST but where and how ?????

<< Moderator message - Everyone's problem is important >>



Edited by: Rob Burbank on Oct 29, 2010 4:31 PM

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Answers (4)

Answers (4)

Former Member
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Thanks for the replies . Are you guys saying that its ok and its normal for australia to be set with the standard ATX1

in the material master tax category but we price them in the pricing procedure as MWST ?

We have always used MWST as the output tax for all countries , except the US, They have their own output tax UTXJ.

This is however different with Australia. ATX1 is not in TAXAU procedure. Its just another output tax condition.

So somehow its worked if we price MWST in pricing ... question is how , why and is it save to leave it as it is.



Former Member
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Let me add to this ...

- For MWST maintained in VK11 pricing.

Country = AU

Destination country = Denmark

Customer Tax : = 1

Material Tax = 1

- For ATX1 maintained in VK11 pricing


- In customer master :

Tax is maintined as ATX1

- In material master :

Tax is maintained as ATX1 .

Sales order created : MWST is picking up fine in pricing. although the master datas is maintained as ATX1.

How come and is this normal ..


Moonriver .

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As of my understanding, you need to include your CONDITION type AXT1 into your pricing procedure.

Please check that , if you have maintianed / included the same condition type in ur pricing procedure or not.

You can also try and use ANALYSE pricing at item level to find out why the value is not pickin gup.



Active Contributor
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Deaer Moonriver,

Unlike other tax procedures ( eg: INDIA) Australian tax procedure is quite easy to map. They have GST as 10%.

first ly, Why tax cond type is ATX1 for country :AU

We have configured the same in our current project & its working fne without any issues?

Some manual interventioni has done with the standard it seems.

Country :AU should be assigned to MWST. ( they dont have anything called ATX1) jsut GST.

Pricing procedure should have MWST assigned to it & Vk11 should be maintained which is std practise.


Reazuddin MD

Former Member
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Tax is based on 4 fields : for export condition MWST.

1. Country

2. Destination COuntry

3. Tax class for customer

4. Tax class for material

No 1 to no 3 is OK because i I have set the country AU , destination country Norway / Customer tax = 1 as per the customer master

BUT material master = 1 for condition ATX1 ( and Not MWST ) .

Combination = 10 %

When run pricing in sales order 10 % is picked up !!!! although the material master carries ATX1 and not mwst

how is this possible ?



Former Member
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Hello Moonriver

Don't panic!

1) Firstly what is the condition type for which you maintained the condition record with 10%? Is it ATX1?

2) What is the tax country and category showing up in the customer master?

3) Are you using any tax packages?

4) How is the tax procedure ( TAXAU) maintained, in the US the condition types in SD Pricing and FI Tax procedures must be the same. If same is the case with Australia, check if the condition types in both the procedures match?

5) And why did you MWST in the SD pricing procedure? Should it not be ATX1 in the standard?

6) I don't think you might have tampered with std delivered condition types? But by any chance did you mention MWST as the reference condition type for ATX1 in v/06?

Hope this helps.

Former Member
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this is because; teh thumb rule of SAP is to pick the taxes from customer master SH that is ship to party.

not from the material master.

and there is importance for both but basing on customer master SH taxes will get determined.

please check that and get back to me if any errors.