You have created a PCN VAT Return for ISR - Israel, however the resulting outbound file has the "R" code for some supplier invoices. You expect this code to be available in the outbound file only when the concerned invoice is a customs duty.
SAP Business ByDesign.
Reproducing the Issue
- Go to Tax Management work center.
- Go to VAT Return view.
- Find and open the related tax return.
- Go to the Attachments tab.
- Download the .txt file.
In the file, you notice that for some supplier invoices the concerned row starts with the code "R", even though the invoice is not a customs duty.
The related invoice is not custom duty, however it has a tax event for import (201, 203 or 204). As per the VAT PCN874 design, for import of services scenario, which involves purchase of service from a foreign vendor and contains only base amount, that is zero tax amount should be reported with code 'R' in the file. For tax codes 201, 203 and 204 which are import scenarios, entry type will be filled with value 'R' in the file.
The system works in accordance to VAT PCN874 design, since the "R" code is expected for invoices with tax events 201, 203 or 204.
If this behavior is not the expeted one, please send an incident to support and share the related legal documentation infoming the correct expectation/legal change. Based on that, this can be dicussed and evaluated with product management.
VAT Return, PCN, Israel, Tax Management. , KBA , SRD-FIN-GLO-TAX , GLO - Tax Declaration , How To