What is external price determination in SAP IS-OIL-DS-TDP - Tariffs, Duties and Permits?

SAP Term: external price determination

• Component: IS-OIL-DS-TDP

• Component Name: Tariffs, Duties and Permits

• Description: A means of establishing excise duty. You can determine this both externally and internally. External price determination means that external table OIH01 is used. In contrast, internal price determination uses the normal, internal pricing with condition records. Note: internal and external determination of excise duty should not be confused with the choice between internal and external excise duty records.

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• Key Concepts: 
  External price determination is a feature of the IS-OIL-DS-TDP (Tariffs, Duties and Permits) component of SAP. It allows users to determine the price of goods and services based on external factors such as taxes, duties, and tariffs. This feature helps companies to accurately calculate the cost of goods and services in different countries or regions. 
  
  How to use it: 
  External price determination can be used in SAP by setting up a pricing procedure. This procedure will define the rules for calculating the price of goods and services based on external factors. The pricing procedure can be set up in the IMG (Implementation Guide) under the IS-OIL-DS-TDP component. 
  
  Tips & Tricks: 
  When setting up a pricing procedure for external price determination, it is important to consider all relevant external factors such as taxes, duties, and tariffs. It is also important to ensure that the pricing procedure is updated regularly to reflect any changes in external factors. 
  
  Related Information: 
  For more information about external price determination in SAP, please refer to the official SAP documentation on the topic. Additionally, there are many online resources available that provide detailed tutorials on how to set up a pricing procedure for external price determination in SAP.