5.7 Statistical Condition Types and Tax Determination

Statistical Condition Types and Tax Determination

Not every line in a pricing procedure changes what the customer pays. Statistical conditions calculate values for information, profitability, or checks, and tax conditions follow rules set largely by accounting and law. The S46200 unit covers both, and both appear in exam scenarios: "Why is the margin wrong?", "Why is no cash discount shown?", "Why is this order incomplete although all fields are filled?", or "Why does this export order have no VAT?"

Statistical Condition Types

A condition marked statistical in the pricing procedure is calculated and displayed but does not change the net value of the document.

VPRS: Cost

The standard system uses VPRS to retrieve the cost of the material. It is marked statistical in the pricing procedure and works through its condition category, not condition records:

The profit margin is calculated with formula 11 in the pricing procedure, which subtracts the cost from the net value.

SKTO: Cash Discount

SKTO retrieves the cash discount rate and is also statistical. Using condition category E, the system reads table T052 (terms of payment) and calculates the amount from the first percentage rate of the item's payment terms. The invoice is issued for the full amount; the cash discount is shown only so that, for example, the expected net revenue is visible.

EDI1 and EDI2: Customer Expected Price

In some industries, such as consumer packaged goods, disputed invoices cost a lot of time and money: customers deduct the disputed amount from their payment, and staff must investigate. To catch differences early, you can enter the price the customer expects during order processing and compare it with your own price:

• EDI1 = customer expected price
• EDI2 = customer expected value

You enter the expected data in the double-line overview of the sales order or directly on the pricing screen. You include EDI1 and EDI2 in the pricing procedure and specify a formula for each; standard formula 8 lets you define the criteria for comparing expected and actual prices. If the expected price and the actual price differ beyond the tolerance, the system gives the order an incompletion status, so it cannot be delivered or billed until the discrepancy is resolved.

The app Manage Sales Documents with Customer-Expected Price lists the locked items. For each item you can:

• Accept the customer-expected price, and if necessary adjust the net price in the app.
• Decline it, which releases the item for further processing with your net price.
• Reject the item, so it is not processed any further, for example if no agreement is reached and the customer no longer wants it.

Statistical and Relevant for Account Determination

A statistical price condition can still be useful in profitability analysis, for example warranties, delivery costs, surcharges, discounts, or commissions. The option statistical and relevant for account determination posts such a condition to account-based Profitability Analysis (CO-PA) as a journal entry in an extension ledger of Financial Accounting. In sales the field has no effect beyond showing the condition as statistical; the information appears only in CO-PA.

Tax Determination

Tax Liability and Tax Classification

Taxes are calculated with the normal condition technique: a tax condition type (such as MWST) is in the pricing procedure, and its access sequence finds a condition record for the current key combination. What makes taxes special are the tax liability fields (tax classifications) in the customer and material master records. If both the customer and the material are liable for tax, the tax calculation proceeds as usual.

According to the course, the system determines the tax rate based on:

• The business transaction: domestic, export, or import.
• The tax liability of the ship-to party.
• The tax liability of the material.

In export transactions, the tax depends on the country of the ship-to party. Percentage rates are maintained from the accounting perspective, and the G/L account for output tax is assigned in Financial Accounting (section 8.6).

Which Partner Supplies the VAT Registration Number?

At sales organization level you assign a rule (blank, A, or B) that determines where the sales tax identification number (VAT registration number) and the tax classification come from:

Tax Condition Types and Tax Procedures

A standard SAP S/4HANA system contains condition types MWST and TTX1 for taxes; the course system uses MWST. The tax procedure is assigned to the country in Financial Accounting. For the United States, the course lists three procedures:

Sales departments usually do not maintain the many tax rates themselves: accounting or an external provider does, and the SD pricing procedure interfaces with SAP S/4HANA Finance or the external system to retrieve them.

Worked Example

A German company sells to a French customer. The sold-to party is the customer's purchasing office in Paris, the payer is its headquarters in Lyon (with a French VAT number, different from the sold-to party), and the goods go to a plant in Belgium. The sales organization uses rule blank.

1. Rule 1 applies: the payer differs from the sold-to party and has a VAT number, so the VAT registration number and tax classification are taken from the payer.
2. The tax condition MWST evaluates the business transaction (an intra-EU delivery from Germany), the tax classification, and the material's tax classification, and finds the condition record with the appropriate tax code.
3. VPRS shows the cost and formula 11 the margin; SKTO shows the 2% cash discount from the payment terms. Neither changes the invoice amount.