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Logistics Invoice Verification - Configuration

Former Member
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Hello Friends

Please explain the importance of below configuration path related to Logistics Invoice Verification.

SPRO - Materials Management - Logistics Invoice Verification - Incoming Invoice - Tax Treatment in Invoice Reduction

What is the meaning of Tax reduction in complaint document and Tax reduction in original document?

I have gone through the help (F1) but I am not 100% clear on this topic. Hence request for your explanation with an example.

Best regards

Vijayakumar TVN

Accepted Solutions (0)

Answers (3)

Answers (3)

kunal_ingale
Active Contributor
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hi

SPRO - Materials Management - Logistics Invoice Verification - Incoming Invoice - Tax Treatment in Invoice Reduction

now with out executing it just click on help file at left you will get the explanation

Former Member
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Hello,

SPRO - Materials Management - Logistics Invoice Verification - Incoming Invoice - Tax Treatment in Invoice Reduction : Invoice reduction is done to accept the original amount and create credit memo for the extra amount charged by the vendor. This configuration specifies how the tax can be reduced as a result of invoice reduction.

There are two options: (1) Tax reduction in complaint document. Here tax in the original document (original invoice) is kept as it is and the as a result, extra tax is credited in the credit memo (2) Tax reduction in original document. Here the extra tax is adjusted in the original document itself and so no tax posting for the credit memo.

Thanks,

Venu

Former Member
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Hi Venu Cherupillil

I have clarification on point number (2) - How the extra tax is adjusted in the original document itself without going to credit memo?

Could you please explain with an example.

Best Regards

Vijayakumar TVN

Former Member
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Hello,

This is the recommended method when SAP calculates the tax with calculate tax check box is checked. As an example, if the vendor invoices you for $120 in place of $100 at tax tax rate of 10%, the extra tax of $2 will be deducted from the originally calculated tax of $12 while credit memo is generated.

Thanks,

Venu

Former Member
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Hi Venu Cherupillil

You have given an live eample in understandable manner. Now I am clear.

Thanks

Vijayakumar TVN

former_member221541
Contributor