What is 'net worth tax' in SAP FI-AA - Asset Accounting?

net worth tax - Overview

• Component: FI-AA

• Component Name: Asset Accounting

• Description: A tax legally required for property that is part of fixed assets.

net worth tax - Details

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  Key Concepts: 
  Net worth tax is a type of tax levied on the net worth of a company. It is calculated by subtracting the company's liabilities from its assets. This type of tax is typically used in countries with a civil law system, such as Germany. 
  
  How to use it: 
  In SAP FI-AA Asset Accounting, net worth tax can be calculated using the Net Worth Tax Calculation (NWTC) program. This program calculates the net worth of a company and then applies the relevant tax rate to determine the amount of net worth tax due. 
  
  Tips & Tricks: 
  When calculating net worth tax in SAP FI-AA Asset Accounting, it is important to ensure that all assets and liabilities are accurately recorded in the system. This will ensure that the correct amount of net worth tax is calculated. 
  
  Related Information: 
  Net worth tax is just one of many taxes that can be calculated in SAP FI-AA Asset Accounting. Other taxes include income tax, value added tax (VAT), and capital gains tax.