ProjectManagement for Engineering Companies > Financials > Tax

 

The tax related functions and reports provided by SAP Business One are designed to comply with the legal requirements of each country.

Tax
VAT (Value Added Tax)SAP Component or Feature Available

SAP Business One supports VAT payment, collection and reporting, in each localization according to the legal requirements of every country.

Enables companies to define VAT liability in the business partner and the item level.  

To fully utilize this functionality, the following products should be evaluated

  • SAP Business One

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    VAT CalculationSAP Component or Feature Available

    SAP Business One supports working method, by which the VAT is automatically calculated in manual journal entries (including those that created through recurring postings, postings templates and journal vouchers) and service documents.

    This method is based on linking default VAT groups to G/L accounts, so when a transaction is created SAP Business One automatically calculates the VAT, according to the VAT group linked to the accounts involved in the transaction.

    To fully utilize this functionality, the following products should be evaluated

  • SAP Business One

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    Withholding TaxSAP Component or Feature Available

    SAP Business One supports the withholding tax legal requirements in each localization:

    Withholding Tax - Enables the user to define withholding tax codes and to specify whether a vendor is subject to withholding tax. Calculates automatically the withholding tax amounts in payment documents according pre-defined parameters. SAP Business One provides for each localization pre-defined country specific withholding tax codes, and withholding tax report which supports the country legal requirements.

    To fully utilize this functionality, the following products should be evaluated

  • SAP Business One

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    Acquisition TaxSAP Component or Feature Available
    Supports the procedure used when recording goods purchased from EU countries. In this case, tax is not calculated in the document but an appropriate amount is recorded in the journal entry and affects the tax report. If required, it is possible to create manual journal entries with acquisition related tax groups. This enables companies to generate the required tax declaration for the authorities. 

    To fully utilize this functionality, the following products should be evaluated

  • SAP Business One

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    Tax Declaration BoxesSAP Component or Feature Available
    Enables the user to define tax boxes and generate the tax report in a box format. The selection criteria of the report can be printed together with the report results, on a separate page.

    To fully utilize this functionality, the following products should be evaluated

  • SAP Business One

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    Tax ExemptionsSAP Component or Feature Available

    Supports tax exemptions. For export transactions, companies can be exempted from paying value-added tax (VAT) if there is a declaration made in the form of a tax exemption letter that is sent to their business partners.

    If a company issues a tax exemption letter to its vendors, during the validity period the vendors will invoice the company without VAT. If a company receives a tax exemption letter from its customers the company will invoice these customers without VAT.

    To fully utilize this functionality, the following products should be evaluated

  • SAP Business One

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    Tax Only DocumentsSAP Component or Feature Available

    In some business cases, such as when the company gives/receives free samples, or air lines grant customers free tickets in exchange for traveler miles, the goods/services are given/received free of charge, but the tax amounts derived from such transactions still have to be paid and reported. For this purpose, SAP Business One supports the creation of sales and purchasing documents for tax amounts only.
     
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