Title
Determining Input Tax Deduction Rates for Public-Owned CommercialOperations

Purpose
With this program you can calculate input tax deduction rates (ITDR) forpublic owned commercial operations (PCO). The program matches thetaxable tax-exempt incomes to the incomes subject to tax and in doingthis determines the appropriate input tax deduction rate.

Integration
The ITDR forms the calculation base for the programs "Annual Input Tax Adjustment for PCOs" and "InputTax Adjustment for PCOs on a Period Basis".

Prerequisites
The documents must be posted. No parked documents are includedwhen the documents are selected.

Features

Selection
You can determine whether the ITDR should be calculated for a specificperiod or for the whole fiscal year.

• If you want to calculate the ITDR for a specific period, enter the
period desired.

• If you want to calculate the ITDR for the whole fiscal year, leave the
posting period field empty.
Note that the ITDRs in the programs for calculating input taxadjustments are only included if you save the ITDR using the functionsave deduction rate.

Output
The input tax deduction rate for the posting period or year entered, foreach PCO is displayed in the list. The tax relevant and tax-exempt salesper FM-account assignmentare also displayed, sorted according to tax code.
You can easily reconstruct the ITDR calculated from the total of allsales per PCO.
The list displayed is based on theABAP List Viewer. You canfind documentation on this tool in the SAP Library under CA - CrossApplication Components -> General Task Function -> ABAP List Viewer.

Example
A PCO has the following gross sales in a period:
non-taxable,, 10.000
tax-exempt,, 10.000
subject to tax 15 % ,, 23.000
subject to tax 7 % ,, 10.700
The PCO made 40.000 in total taxable net sales. Taxed sales amounted to30.000 and non-taxed sales to 10.000. The program calculates a ITDR of75% in this case.