3718331 - GST India: SAP S/4HANA Public cloud - 2602 HFC05 - Tax Code Determination in Purchase Orders Based on the Region of the Invoicing Party partner function

Currently, tax code determination follows a priority sequence of partner functions: Goods Supplier (GS) first, followed by Vendor (VN) in Purchaser Order

For India GST calculation, the tax code must be determined based on the Invoicing Party (PI) partner function 

With this change, tax code determination will prioritize the Invoicing Party (PI) partner function. If PI is not available, the system will then determine the tax code based on Goods Supplier (GS), and subsequently Vendor (VN)

Relevant Field Information
1. Region of Delivering Plant (KOMK-WKREG)
This field represents the supplier’s region. The region is determined based on the priority of partner functions in the following order:
Invoicing Party
Goods Supplier
Vendor

2. Region (KOMK-REGIO)
This field represents the plant region.

3. Tax Indicator Region (KOMK-TAXIR)
This indicator is derived by comparing the above two region fields if same or different

Limitations:
 
The tax code will not be automatically re-determined in scenarios where the Invoicing Party (PI) partner function originally derived from the supplier business partner is manually modified by the user during purchase order creation or while changing an existing purchase order

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