3777226 - INSS Miscalculation When Split Account Assignment Sends Fractional Quantities To External Tax Engine

• In procurement processes where costs are allocated across multiple cost centers, the invoice posting generates one payload per cost center line.
• The external tax engine does not calculate INSS correctly when the quantity in each payload is fractional.
• The tax calculation is incorrect due to fractional quantities in each payload.
• No error message is displayed; the invoice is posted with incorrect tax information.

• Product: SAP S/4HANA Cloud Public Edition
• Tax (Public Cloud)

1. Create P.O with multiple account assignments (split across cost centers).
2. Create Goods Receipt against the relevant Purchase Order.
3. Post Supplier Invoice via the goods receipt posted with NF category set as SE.

• A single service invoice line split across multiple cost centers is internally divided into sub-lines, each carrying a fractional quantity and amount.
• The system sends one external tax-engine request per sub-line, so the tax engine receives multiple requests with fractional quantities.
• The tax engine’s INSS rules expect the full service quantity/value in one call; applying them to fractional requests yields incorrect INSS.
• This “one service line with multiple cost centers” scenario for Brazilian localization is not supported in the standard invoice posting app.
• There is no configuration or standard add-on to aggregate the split sub-lines into a single tax request.

1. Post the service supplier invoice to a single cost center with the full quantity and the full service amount so the external tax engine receives one request and calculates INSS correctly.
2. Reallocate the expense to the intended cost centers afterward using Manual Reposting of Costs in Controlling, and reference the original supplier invoice to maintain the audit trail.
3. Before adopting this approach, verify with a tax adviser specialized in Brazilian taxes that showing one initial cost center on the electronic service invoice complies with local requirements.

• refer to: 3532769 - MIRO posting with multiple account assignment (Brazil localization scope)
• refer to: 3744359 - Amount split functionality and purchase order commitment consumption in SAP S/4HANA Cloud Public Edition
• refer to: 3615502 - ISS calculation behavior with split accounting (reference scenario)

split accounting, multiple cost centers, account assignment split, service supplier invoice, fractional quantity, INSS, Brazil, external tax engine, MIRO, tax calculation, withholding tax, social security withholding, payload per cost center, invoice posting, public cloud , KBA , MM-IV-INT-TAX-2CL , Tax (Public Cloud) , Problem