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Tax Jurisdiction Code Determination on

Customer Master
Hello Everyone,
When I maintain customer record in XD01, I fill in the address information (Postal code, City, Region, Country). I am
expecting to see that the Tax Jurisdiction code gets determined automatically based on address, but this is not
happening.
My questions are:

1. Does the Tax Jurisdiction Code determination on Customer Master happen automatically or is it to be maintained
manually?
2. If this happens automatically, what setting am I missing? I have listed below the settings that I have done so far.

3. There are two different fields for Tax Jurisdiction code. How do these two differ from each other?
o First one is on the General Data / Address / Street Address / Field [ADDR1_DATA-TAXJURCODE]

                    

o And the second is on the General Data / Control Data / Tax Information / Field [KNA1-TXJCD]
                    

Scenario: US Sales & Use Tax


System: ECC 6.0 with no external tax software.
I have maintained the following settings:
FI Setting:
1. Assign country to Tax Calculation Procedure (OBBG):
     US - TAXUSJ
   
2. Specify Structure for Tax Jurisdiction Code (OBCO):
     TAXUSJ - 2 3 4 (State/County/City/Area code) [9 digits]
   
3. Define Tax Jurisdiction (OBCP):
     Costing Sheet: TAXUSJ
     Tax Jurisdiction Code: CA0012000 (California, County Code 001, City Code 2000 [San Francisco] )
SD Setting:
4. Define Regional Codes:
     Define County code - Maintained
     Define City code - Maintained
This SAP help article Maintaining Customer Master Jurisdiction Code suggests that the determination should occur
automatically. But, I'm not sure what setting I may be missing here.
<Text removed by Moderator, as it suggest points/rewards>

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