SAP Knowledge Base Article - Public

3679926 - Clarification on tax code SD of Brazil in SAP S/4HANA Cloud Public Edition

Symptom

In SAP S/4HANA Cloud Public Edition, you see that tax code SD of Brazil has a lot of entries and many of them do not have condition type or account key. You want to know why.

Environment

SAP S/4HANA Cloud Public Edition

Cause

The tax code is no longer maintained.

Resolution

For Brazil, with the implementation of the CBTA solution, the tax code SD is no longer used. 

The implementation of new taxes will be gradual, following the new legislation. Initially, the new Tax Types are statistical - they must be reported on the invoice but there is no need for accounting. Therefore, no accounting key is needed for 2026. For 2027, they will be delivered as content.

Keywords

Brazil tax reform, CBS tax type, IBS tax type, SOVOS engine, SAP S/4HANA Cloud Public Edition, FICO configuration, tax codes, Brazil localization, SAP Signavio process navigator, tax requirements, accounting configuration , KBA , FI-GL-GL-F-2CL , Value Added Tax (VAT) (Public Cloud) , Problem

Product

SAP S/4HANA Cloud Public Edition all versions