TaxOnTax Calculation

jubeljoy

How to handle the TaxOnTax Calculation? Need setups to do the same...

Also we need to done this in straight line format not by Structure line formulation definition.

ie, If my total purchase/ Sale amount is Rs. 1000

I need to calculate the first tax as 1000*4% and net result of this considered to be next tax base amount. Based upon that we have to calculate the 1%.

chengalasettyvsrao

What about the NAV version & Localization ?

ssingla

If using version >=4.0 SP3 then you can define multiple "tax jurisdiction" and map them to single "Tax Area"

jubeljoy

We have already setups like that only...

But the issue was system not pickup the second line of formula..
Ie, system only calculating first tax based on the base amount. There after the tax on tax is not calculating.. We have already setup in a way like formula says second formula will calculate tax of first.

chengalasettyvsrao

what about the Caluclation order & formula values in the Tax area form ?

jubeljoy

calculation order mensioned as (1) for the first tax calculation ie,4% mensioned.
And the calculation order (2) for the second tax need to be calculate ie, 1% of 4% tax calculated..

After complete all these calculating first tax only..

chengalasettyvsrao

jubeljoy wrote:

calculation order mensioned as (1) for the first tax calculation ie,4% mensioned.
And the calculation order (2) for the second tax need to be calculate ie, 1% of 4% tax calculated..

After complete all these calculating first tax only..

You need to define the Formula =1 for the second tax line in the Tax area form.

jubeljoy

Still it was not working

chengalasettyvsrao

Can you post the screen shot of the form ?