SAP Knowledge Base Article - Public

3074971 - Wrong access sequence for tax in ICO billing

Symptom

During Tax Determination, even Destination Country and Departing Country are not the same and Requirement 7 is applied to Access Sequence, system still determine Domestic Taxes instead of Export Taxes.

This symptom occurs in particular if both the country of origin and the destination country are members of the European Union (EU).

Environment

SAP S/4 HANA CLOUD All versions

Reproducing the Issue

  1.  Pick a Business Partner without VAT Reg No registered in the master data.
  2. Follow the steps of 1MX Creation of a Sales Order.
  3. Check TTX1 Access Sequence determined.

Observation: Even requirement 7 not being met, Domestic Taxes are applied to the document.

Cause

This is the standard system behavior.

These conditions that are defined in the standard system were enhanced for the value added tax access:

  • If the country of origin and the destination country are EU countries and if the VAT registration number is not filled, the condition is not fulfilled.
  • If the country of origin and the destination country are EU countries and if the VAT registration number is not filled, the condition is fulfilled even if both countries are different.


This means that a business transaction within the EU is considered to be an inland delivery if the partner has no VAT registration number.

Resolution

In the master data of the corresponding partner function, maintain a valid VAT registration number and redetermine Taxes through Change Billing documents app "Updated" button.

Keywords

VAT Registration number, Tax determination, access sequence  

 
, KBA , SD-BIL-IV , Processing Billing Documents , SD-BF-PR , Pricing , SD-BF-TX , Taxes , Bug Filed

Product

SAP S/4HANA Cloud all versions