SAP Knowledge Base Article - Public

1774011 - How to Default Exemption Tax Code in Purchase Order for Free-text Item per Product Category

Symptom

You create a purchase order for free-text items with a product category assigned. You want to make that product category exempt of taxes. However you cannot find a way to configure it in the system and you have to change the tax code manually for all items.

Reproducing the Issue

  1. Go to the Purchase Requests and Orders work center.
  2. Choose the activity New Purchase Order.
  3. Enter a free-text item with desired Product Category ID.
  4. Change the Tax Code field to the desired value manually.

Cause

Only if you order products with a master data (Material ID or Service ID), the tax code is determined based on the definition maintained there.

Resolution

In the case of free-text items, we suggest to maintain a tax exemption per country and product category.

  1. Go to the Purchase Requests and Orders work center.
  2. Choose the activity Set Tax Classifications.
  3. Select the relevant Product Category, Tax Rate Type, Tax Exemption Reason and Country.
  4. Choose Save and Activate.

Keywords

KBA , freetext , non-taxable , exempted , excluded , sales , taxable , resale , standard , LOD-CRM-EMP , Employee , How To

Product

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