Define Tax condition type

Taxes as applicable in a country as per material and customer can be configured using pricing condition types for the relevant taxes. Tax rates can be maintained by integration with FI. Departure and destination can also be used in configuring taxes. Specific requirements of local taxes with tax jurisdiction can be mapped by allowing interface with external tax systems like Vertex.

Instructions Follow Menu Path: IMG → Sales and Distribution → Basic Functions → Pricing → Pricing Control Taxes are defined as condition types in pricing Double click on “Maintain Condition Types” Example – Tax determination for US sales documents with tax jurisdiction Country – United States Tax condition type – UTXJ, XR1 to XR6 UTXJ is statistical tax type to pass jurisdiction data to external system. XR1 to XR6 are defined to receive tax rates for local taxes.

On the screen displayed, search condition type UTXJ.

Select condition type XR1 Let us understand how tax condition types are configured for determination in sales documents.

Define Tax determination rules



Let us understand how tax condition types are configured for determination in sales documents.