3536196 - Incorrect Calculation of Net Value in Service Contract for Monthly Billing Periods - SAP S/4HANA Cloud

- In SAP S/4HANA Cloud, when creating a service contract with multiple items, the Net Value, Gross Value, and Billing Value for monthly billing periods are calculated incorrectly.
- The issue is observed when one item has a 0% tax rate and the other item has a different tax rate.
- The Net Value, Gross Value, and Billing Value displayed on the Service Contract header do not match the expected values.

SAP S/4HANA Cloud Public Edition

1. Create a service contract for any valid sold-to party and assign a valid employee responsible.
2. Create service contract items using product A for the first item and product B for the second item.
3. Save the service contract and review the Net and Gross Value.

The issue arises due to the incorrect calculation of the net value of the item with tax rate X. The system calculates the net value by multiplying the base price by 12, adding the tax rate X, and rounding the result. However, the correct calculation should be done monthly, with the tax added to the base price before multiplying by 12.

The discrepancy in the Net Value, Gross Value and Billing Value will be resolved during the generation of the billing document request as the tax will be redetermined at that stage.

Service Contract Management, Net Value, Gross Value, Billing Value, Monthly Billing Periods, Tax Calculation, Service Contract Items, Incorrect Calculation. , KBA , CRM-S4-SRV-CTR-2CL , S4CRM: Service Contract (Public Cloud) , SD-BF-PR-2CL , Pricing (Public Cloud) , Problem