Setting up tax registration in a foreign country

For transactions taxable in foreign countries, you must create a separate financial company for tax registration in the foreign country.

To set up tax registration in foreign tax countries, take the following steps:

1. In the Steuerparameter (tctax0100m000) session, select the Steuernummern anderer kaufmännischer Firmen verwenden check box.

2. Create a financial company in each country in which you must report tax. The company's home country must be the tax country and the company's local currency must be the currency used for tax reports in the tax country.

   In each financial company, specify the following:

   • In the Allgemeine Firmendaten (tccom0102s000) session, enter your organization's tax number in the tax country in the USt-Nummer der eigenen Firma field.
   • Specify one enterprise unit.
   • Define one accounting office. For details, refer to To use an accounting office.
   • Set up tax registration for the tax country, as described in Setting up tax registration.
   • If required, set up the Intrastat report and the sales listing, as described in EU transaction reporting.

3. In the Buchhaltungsabteilungen (tctax4110m000) session, specify for a financial company the related operational and financial companies, and the accounting office in every foreign tax country. If your organization's legal address for matters related to business in the tax country differs from the financial company's address in the tax country, you can specify the legal address.

4. In the Unternehmensmodellierung module, specify the required goods transfer relationships between the accounting offices and the warehouses, sales offices, and so on, of the multicompany structure.

5. For transactions that are taxable in another country, specify tax code exceptions as described in Defining tax exceptions.