3680293 - Tax Country and/or Tax Code is different in Project Invoice Request and Customer Project Invoice Request

The Tax Country/Region and/or Tax Code is different in Project Invoice Request and the corresponding Customer Project Invoice Request.

You expect that they are both the same since the Customer Project Invoice Request is based on that Project Invoice Request.

SAP Business ByDesign

1. Go to the Customer Invoicing work center.
2. Select the Project Invoicing view and the Project Invoice Requests sub view.
3. Open Project Invoice Request XYZ (XYZ represents the Project Invoice Request ID).
4. Navigate to the Items tab
5. Select the Line Item XX (XX represents the Line Item number).
6. Navigate to the Taxes sub tab.
7. The Tax Country/Region is AA (AA represents the Tax Country), the Tax Code is 123 (123 Represents the Tax Code) and the Automatic Tax Determination check box is checked.

1. Go to the Customer Invoicing work center.
2. Select the Invoice Requests view.
3. Select Customer Project Invoice Request XYZ
4. Click on the Edit button.
5. Navigate to the Items tab
6. Select the Line Item XX (XX represents the Line Item number).
7. Navigate to the Taxes sub tab.
8. The Tax Country/Region is BB (BB represents the Tax Country), the Tax Code is 456 (456 Represents the Tax Code) and the Automatic Tax Determination check box is checked.

A rule was created in the fine tuning activity External Tax Determination for Goods and Services that is using the parameter Service Location.

As per our example:

1. Go to the Business Configuration work center.
2. Select the Overview view.
3. Open the fine tuning activity External Tax Determination for Goods and Services
4. Select the rule Z001 (Z001 represents the Configuration Item ID for the Rule
5. In the Valid for Country Region AA is maintained
6. The Enforce Country/Region as Tax Country/Region check box is active
7. The Tax Category is 1 - Product Tax and the Tax Event Direction is 1 – Outgoing
8. The Tax Date in the Customer Project Invoice Request and the Project Invoice Request for the item is within the valid from and valid to date of the rule.   
9. The Tax Event 789 (789 represents the tax event for tax code 123)
10.  In the Location Details amongst other parameters, the Service Location is maintained
11.  In the Tax Code Details the Use dedicated Tax Code check box is active and the Tax Code 123 is maintained.

The rule Z001 does not apply in the Customer Project Invoice Request, because the Service Location (SL) is not a parameter for the Tax Determination in a Customer Project Invoice Request, but it does in the Sales Order and Project Invoice Request created from that Sales Order.

This is the reason why the External Tax Determination rule Z001 is determined in the Sales Order and Project Invoice Request, but is not determined in the Customer Project Invoice Request, but it is determined in the Project Invoice Request.

To solve the issue and ensure that the External Tax Determination rule Z001 is also determined in the Customer Project Invoice Request you need to remove the Service Location (SL) parameter in the External Tax Determination rule Z001

1. Go to the Business Configuration work center.
2. Select the Implementation Projects view.
3. Select the implementation project.
4. Click on the Open Activity List button.
5. Go to the Fine – Tune step.
6. Show All Activities.
7. Open the fine tuning activity External Tax Determination for Goods and Services 
8. Select configuration Item ID Z001
9. Remove the value in the Service Location field.
10. Save your changes.

The Tax Country and/or Tax Code will now be also determined according to the External Tax Determination rule Z001 for any newly created Customer Project Invoice Request.

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