The tax jurisdiction specifies the different taxing authorities to which you submit payments up to four levels representing State, country, City and other in your tax jurisdiction structure.
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2. Specify Structure for Tax jurisdiction code
The tax jurisdiction specifies the different taxing authorities to
which you submit payments up to four levels representing State,
country, City and other in your tax jurisdiction structure.
SAP IMG Path: – SPRO > SAP Reference IMG (F5) > Financial
Accounting > Financial Accounting global settings > Tax on
sales/Purchase > Basic setting > Specify structure for tax
jurisdiction code
3. Update the following fields
1. Enter the name of the tax jurisdiction code structure
2. Update the description of tax jurisdiction code structure
3. Enter the length of first level, second level, third level and fourth
level of hierarchy within your tax jurisdiction code structure.
4. Set the Tax ln indicator to determine taxes on a line by line.