2252781 - FAQ on Tax procedure migration from TAXINJ to

TAXINN

1. We are currently using the TAXINJ tax procedure. For GST, are there any prerequisite changes that
need to do?

Ans: TAXINN (condition-based tax procedure) is a prerequisite for GST regime solution adoption, and
migration from TAXINJ (formula based tax procedure) to TAXINN is mandatory for customers
currently using TAXINJ.

2. Will SAP support GST for TAXINJ tax procedure?

Ans: No, SAP will only support GST with TAXINN.

3. Minimum Support Pack Level required for Tax procedure migration?

Ans: There is no Minimum Support Pack level required for Tax migration. This is relevant only for GST
adoption. If your system belongs to a very low Support Package, you may need to implement
multiple SAP Notes similar to how you would for any other corrections in component 'SAP_APPL'.
Note that this activity will consume a significant amount of time and hence, plan accordingly.

4. Two new transaction codes J1IMGPO and J1IMGCN are available in the migration solution but are
missing in my system. Why?

Ans. Refer to SAP Note 2153807 and perform the manual steps in the
Manual_steps_for_Tcode_creation.docx attachment.

5. Can we use the existing TAXINJ condition types and posting keys in the TAXINN tax procedure?

Ans: Yes, refer to 'TAXINJ_TAXINN_Soln.pdf' attachment of SAP Note 2014164.

6. Should we create new tax codes for direct FI transactions (FB01, FB60, FB70 etc.) posting in
TAXINN?
Ans: Yes. Create new tax codes in TAXINN for direct FI transactions. However, you can use the same
names as in TAXINJ.

7. In MM procurement, will the migration program update the new tax code for already closed PO
line items?

Ans: No. Closed PO line items are the ones with delivery completed indicator marked. GR and invoice
is done for the entire order quantity. Migration program updates the new tax code only for open line
items of the open documents.

8. How to display tax details for closed TAXINJ purchase order line items?

Ans: Refer to SAP Note 2161911.

9. How do I reverse vendor invoices which are posted in TAXINJ?

Ans: Refer to SAP Note 2161911.

10. Can we execute reports for multiple plants and multiple tax code selections?

Ans. Yes (However, the execution time differs based on the volume of the open documents and your
system hardware capacity).

11. Can we view the list of documents which are going to be fetched and updated via the report
programs?

Ans. Yes. The system first downloads the purchase order details to the intermediate tables
(J_1ITCPOUPD, J_1ITCSAUPD, and J_1ITCCNUPD) and then updates these purchase orders with tax
codes.

12. Can we get the list of documents which are updated via the report programs?

Ans. Table J_1ITCJCUPDATE gives you the list of updated documents.

13. Few of the documents are not updated while running the report. How do we identify those
documents and the errors causing it?

Ans. You can get the error log by executing the transaction SLG2 for the object J1ITAXUPDLOG.

14. Will tax code digits increase in length in TAXINN?

Ans. No (they continue to remain as 2-digit codes)

15. How do we implement the TAXINJ to TAXINN tax procedure migration?

Ans. It is a consulting solution. You can refer to the solution released by SAP, validate your system
landscape and processes in detail, and decide actions accordingly at your end.

16. I get Error FF713 "Tax Code XX does not exist for TAXINN". How do I proceed?

Ans: A. Ensure that the following steps are carried out -

1. Insert the condition table A003 in your access sequence one above the last step. DO NOT MARK
IT AS EXCLUSIVE.

2. Create new set of TAX codes if you need to use the same for FI transactions only. Then maintain
entries in A003 (Condition access sequence MWST) via FTXP. Pure MM purpose tax codes (Condition
record maintained via FV11 and access sequence without A003) cannot be used in FI, as table A003
is not available.

3. If you use TAXINN and table A003, maintain condition records for these tax codes using the
table A003, through FV11 with the appropriate tax percentage. This can be a zero percentage also.

4. If you use CIN, make sure to assign the tax code to company code in the below path:

SPRO > Logistics General > Tax on Goods Movement > India > Basic Settings > Determination of
Excise Duty > Condition Based Excise Determination > Assign Tax code to company code.
Ensure that the same is maintained for your TAXINN tax procedure under CIN customization for
'"Maintain Excise Defaults". If the problem persists, go to FTXP and create the same tax code. The
issue will be resolved.

5. If you use CIN, in table J_1IEXCDEFN, the conditions must be correctly and uniquely classified.
The condition names must be unique since multiple conditions cannot have the same name.

6. Read through the below SAP Notes as well.

952289- CIN: General clarifications for Tax Procedure TAXINN

822347- Taxes Configuration for VAT Solution (TAXINN)

832439- Assigning Condition name to new VAT Condition types

17. How do we carry out mass update of tax codes (EINE-MWSKZ) in Vendor Purchase Info Record?

Ans: Execute the transaction ‘MASS’ for the Object Type ‘BUS3003’ and choose the field ‘EINE-
MWSKZ’ from ‘Fields’ tab. If you need to update/replace multiple existing TAXINJ tax codes for
multiple Info Rec, based on the mapping table ‘J_1ITCJCMAP’, you need to build a custom program
or batch program at your end(consulting).

18. You execute the transaction J1IMGPO and select extraction. The system displays the following
error: "Item category does not exist (Please correct) Message no. ME719". How do I proceed?

Ans: Maintain the item category of the relevant Purchase Document line item. This error prevents
inconsistent extraction of the Purchase Document line item.

19. Are there any sanity checks required before performing the tax migration?

Ans: Yes, this should be taken care as consulting activity based on your business model. You may
carry out clean-up of documents and data which are not in frequent use. For e.g., You may check
and close the Order Document line items (PO/SO/SA..) which are not in use/rarely used, also find
unused tax codes and take actions on the order lines and subsequence documents where these tax
codes are used. These sanity checks will reduce the volume of line item needs to be migrated.
20. I am using jurisdiction codes in TAXINJ and after carrying out the tax migration procedure, I am
unable to view item level taxes in the Invoice tab for closed PO line items in TAXINJ. What should I
do to view the item level taxes?

Ans. After the introduction of VAT (April 2005), jurisdiction codes are no longer supported in India
taxes. You need to take care of the same with the help of consulting. You may refer to SAP Note
2161911 for details on certain jurisdiction code cases.

21. I am currently using a limited number of tax codes and would like to do the TAXINN configuration
in TAXINJ procedure itself. Is this possible?

Ans. You can achieve the migration by changing the access sequence of existing condition types in
TAXINJ. You need to carry out other India related settings (e.g., Classify Condition Types) related to
TAXINN. You need to test the same at your end thoroughly. SAP is not suggesting this methodology
as we are addressing the core concern that TAXINJ has fewer tax codes left out.

22. How do I decide and configure the condition record for all condition types based on my business
need?

Ans. This is pure consulting and should be taken care at your end.

23. I get a performance issue while running the PO/Contract update program. How do I manage this?

Ans. This is consulting, and you have to parallelize this activity without causing any inconsistency in
the update activity. Customers (enough volume of open lines) have successfully migrated with the
help from consulting.

24. How do I plan my cut over strategy for tax migration?

Ans: This is a consulting activity, and you have to plan the same based on your
business/organizational structure.

25. Is rate determination from transaction J1ID is supported in GST solution?

Ans: J1ID rate determination is not supported in GST as TAXINJ is not supported in GST.
26. After carrying out the migration, when I display the PO lines which are closed in TAXINJ, the
access sequence which gets displayed are the new ones (e.g., JST1, JTAX..) which I have assigned to
the condition type(s) as part of migration. Why is it so?

Ans: Yes, this is the behaviour for TAXINJ PO lines(Access sequence name is just technical and
internal to SAP). The calculation based on the old access sequence (e.g., MWST) is taken care by the
exit logic you have implemented which is legally required for you.

27. I get the FICORE704 error while executing the MRNB transaction as well as other Mrxx
transactions (Package ‘MRM’). How do I proceed?

Ans: This error is received as system is unable to find the TAXINJ tax codes. You have to refer sample
codes provided for transactions like MR8M/PO display (refer SAP Note 2161911) and take care of
the same in MRNB also with the help of consulting.

28. I have executed the F.12 (report S_ALR_87012357) transaction for documents posted in the
TAXINJ procedure. The system displays the following error:

Combination of calculation procedure XXXXXX/ tax code XX missing. How do I proceed?

Ans: Refer the attachment ‘Advance Return for Tax on Sales or Purchases’ provided in SAP Note
2161911.

29. I have executed other tax reports for India (Transaction code: S_ALR_87xxx....) for documents
posted in "TAXINJ' procedure and received the error 'Combination of calculation procedure XXXXX/
tax code XX missing. How do I proceed?

Ans: Refer the attachment ‘Advance Return for Tax on Sales or Purchases’ provided in SAP Note
2161911 and take the help of consulting to carry out the changes for all standard Tax Reports.

30. When I execute the transaction J1IMGPO for SA having time independent conditions, system
does not update the SA with new tax code. Also, in case tax codes are different in TAXINJ and
TAXINN, in error log you receive an error message “Scheduling agreements with time-independent
conditions are not supported”. How do I proceed?

Ans: BAPI_SAG_CHANGE (and BAPI_SAG_CREATE) used in the report J_1I_TAXUPDATE_PO can only
treat scheduling agreements with time-dependent conditions. Document conditions are not
supported and therefore this kind of scheduling agreements cannot be processed. This is a missing
functionality in standard as per SAP Note 1046794. You need to take care of this either with same
tax codes (based on usage) or with the help of a custom development to change tax codes.

31. When I display Purchase orders after migrating to TAXINN, wrong conditions are getting
activated when TAXINJ tax codes nomenclature (e.g., V1:V1) is used in TAXINN also. How do I
proceed?

Ans: This issue happens as the condition types’ access sequence are getting successful from A003
table (TAXINJ ones), as you still use Tax Classification access for the condition types. Choose right tax
codes in case of using the same nomenclature, so that A003 access is not triggered. Do not delete
A003 record as it will impact display of Tax value for TAXINJ closed lines. If you need to delete the
A003 record as a must due to limited number of tax codes left out in TAXINJ, make sure at your end
that A003 condition records are not required for PO display or historical auditing purposes. These
activities should be taken care with the help of consulting or at your end carefully.

32. Can I club tax migration as well as Support Package upgrade activities at the same time?

Ans: This decision needs to be taken at your end based on your business and system landscape.

33. What is the difference between TAXINJ and TAXINN?

Ans: TAXINJ is formula based and calculations are driven mostly with tax codes. TAXINN is condition
based and multilevel access sequences are used. So, tax codes are not the unique driver to calculate
taxes in TAXINN.

34. If TAXINN has been copied and implemented in customer name space (E.g., ZTAXIN), will the GST
solution support this?

Ans: Yes, name of the tax procedure is not hardcoded anywhere in standard product solutions in
India taxes. The new tax procedure should be condition based like TAXINN. You need to test this at
your end for other conflicts.

35. After migrating to TAXINN, if I reverse an IV and GRN based on TAXINJ, what happens?
Ans: Purchase Order (PO) will get re-opened. Now, you need to treat these PO lines in TAXINN and
relevant tax codes need to be updated manually or by using the migration program (run for specific
PO lines).

36. In the J1IMGPO and J1IMGCN migration reports, how does the 'Test Run', 'Extract Documents',
and the 'Update Document' options work? What is the purpose of each of these options?

Ans: Find points regarding these options below.

1. Test Run:

a) Test Run option available in the selection screen displays the documents getting impacted.

b) Test run with extract document option- Displays all open documents which will be extracted.

c) Test run with Update Documents- Displays all documents which will be updated with new tax
codes.

2. Extract Documents:

a) Fetches the open Purchase Orders/Scheduling Agreement and Contracts and interim tables
(Contracts- J_1ITCCNUPD;; PO- J_1ITCPOUPD ;; SA- J_1ITCSAUPD) are updated.

b) Study the program J_1I_RM06EW00(Copy of standard report RM06EW00) for open PO/SA
selection logic;; Study the program J_1I_RM06EM00(Copy of standard report RM06EM00) for
open contract selection logic. Closed PO line items are the ones with delivery completed indicator
marked. GR and invoice are done for the entire order quantity.

3. Update Documents:

a) This option updates Purchase Order/Scheduling Agreement/Contracts based on option

selected from the selection screen. Documents are selected from respective interim tables
(Contracts- J_1ITCCNUPD ;; PO- J_1ITCPOUPD SA- J_1ITCSAUPD)
 b) Update history is available in table ‘J_1ITCJCUPDATE’

c) Standard application error log is available (SLGO/SLG1)

37. I am facing ABAP Runtime error (Error Description : LOAD_COMMON_PART ABAP Program :
J_1I_RM06EW00) from T code J1IME2W after applying SAP Note 2153807. How do I proceed?

Ans. Refer to SAP Note 2200639 - Errors in report J_1I_TAXUPDATE_PO - J1IMGPO

38. I get many issues related to order documents while updating PO/SA/Contracts via SAP
transactions J1IMGPO and J1IMGCN. How do I get some hints?

Ans: Refer to FAQ SAP Notes given below and related SAP Notes in MM-PUR-* component. These
Notes explain about BAPI (as J1IMGPO, J1IMGCN use BAPi for update Order docs) and Tax handling
in Purchasing.

501054 - FAQ: Taxes in purchasing

582221- FAQ: BAPIs for purchase order

39. When I update order documents (PO/SA/contracts) via transaction J1IMGPO and J1IMGCN, I
notice that some more fields are getting changed other than tax code (E.g., MM Pricing
determination, master data fields, quantity, values...)

Ans: You need to check that these parameters are not changed at your end during migration period.
Standard Purchasing BAPis 'BAPI_PO_CHANGE’ and ‘BAPI_SAG_CHANGE’(used by J1IMGPO and
J1IMGCN), work similar to front end transaction(e., g ME22*), and most of the validations and
changes happen according to your system configuration.