Symptom
When running VAT reports, VAT claimed from early settlement discount in the receivables allocation module is not appearing tax reporting.
Environment
SAP Business ByDesign
Reproducing the Issue
- Go to Tax Management work center.
- Go to VAT Returns view.
- Search for VAT Return ID: AAA (AAA represents the VAT Return ID).
- Can see Customer Discounts for Early Payment Clearing items missing in VAT reports.
Cause
Fine Tuning Activity: "Tax Adjustments for Payment Differences" is not specified for the particular country.
Resolution
Follow below steps to Assign the Deduction Category:
- Go to Work Center Business Configuration.
- Choose Overview.
- Open the Activity Tax Adjustments for Payment Differences.
Please kindly set up for the particular country, and there would be a tax correction entry (e.g. Customer Discounts for Early Payment), which would be considered in the VAT Return.
Keywords
VAT, early settlement discount, clearing, Tax Adjustments for Payment Differences , KBA , SRD-FIN-TAX , Tax Management , Problem