Purpose
This program posts the required tax adjustments for each accountassignment and tax code. The tax information is first determined forthis (transaction FMPEBTTL) and then compared with the deduction ratedefined in Customizing or the current settings. If there is adifference, a posting is generated that writes off the old tax amountfor the corresponding account assignments and posts the new tax amount(with a different tax code if necessary).
The adjustment postings can occur monthly and/or yearly. It is alsopossible to perform adjustments for postings in special periods. Theadjustment must always be posted in the period in which the documents tobe adjusted were posted so that the program can be resumed.

Integration
This program can also post adjustments to asset objects and real estateobjects.

Prerequisites
In Customizing for Financial Accounting (New) you have definedbasic settings for partially tax-exempt institutions under GeneralLedger Accounting (New) -> Periodic Processing -> Report
-> Partially Tax-Exempt Institutions. You have also assignedtax codes to the partially tax-exempt institutions underAssign Tax Codes and have defined a deductionrate under Maintain Input Tax Deduction Ratesfor each tax code and institution.
Note that this type of tax adjustment can be problematic due to certaintax laws. The tax amounts do not correspond with the percentagesdefined in the tax codes in accordance with the deduction rate.
The same fiscal year variant and local currency must be defined for allcompany codes selected.

Selection
First enter the company code and an tax-exempt institution. It ispossible to enter document numbers and define selections freely, howeverthis is mainly meant for control purposes and is not recommended.
Define whether you want to perform a monthly or yearly adjustment andspecify the fiscal year, posting period, and posting date. The systemdetermines the documents to be adjusted from the fiscal year and period.The following conditions must be fulfilled:

• Monthly adjustment

The posting date must match the posting period.
When you post in a special period, the posting date must be the last dayof the fiscal year

• Yearly adjustment:

The posting date must match the posting period.
The posting period must be the last period or one of the special periodsof the fiscal year
When you post in a special period, the posting date must be the last dayof the fiscal year
You can specify whether long lived complex fixed assets, such as assetsor real estate objects, should be adjusted. There are special rules forsuch assets in many countries, for example the distribution of theadjustment across the useful life of the asset that cannot be mappedwith this solution. You can use the option from Real Estate Managementin this case.
Note that choosing the option for the adjustment of real estate objectsfor the company codes is ineffective in those where the option of RealEstate Management was activated. Input tax adjustments to real estateobjects cannot be included in the service charge settlement.
When you choose the test run option, no documents are posted. Thesystem generates only a list of adjustment values.

Output
A list of the generated tax adjustments is displayed. The list containsdeduction rates, tax base amount, and deductible as well asnon-deductible parts (old, new, and difference) for each accountassignment, tax code and institution in each relevant company codecurrency. The column document number contains the documentnumber of the adjustment document.
When you choose the test run option, the column documentnumber is empty.