ICMS and Item Origin

Note: If you do not work with items with imported content, you do not need to set up your system with the item origin information. The system uses the second hierarchy listed below if item origin information is not set up.

If your company works with items with imported content, your system must be set up with values for the item origin before you can calculate ICMS taxes. Item origin information is set up in the Item Origin (76/IO) UDC table. The Item Origin field appears on the ICMS Tax Revision form in the ICMS Tax Revision program (P7608B).

The system retrieves the ICMS tax rate using this hierarchy:

1. Item Origin, From State, To State, Item, MarkUp Level

2. Item Origin, From State, To State, MarkUp Level

3. Item Origin, From State, Item, MarkUp Level

4. Item Origin, From State, MarkUp

If the system does not locate the ICMS tax rate using the above hierarchy, then the system uses this hierarchy to locate the ICMS tax rate:

1. Item Origin = *, then From State, To State, Item, MarkUp Level

2. Item Origin = *, then From State, To State, MarkUp Level

3. Item Origin = *, then From State, Item, MarkUp Level

4. Item Origin = *, then From State, MarkUp

Note: A pre-installation table conversion program populates the Item Origin field with *. If you do not assign an item origin code in the item master or item branch set up, then the value for the item origin remains *.

See ICMS and Item Setup.