Enter Tax Code Data

Explanation

This activity is to be used only in companies using Sales Tax or Mixed as its tax regime. 

Sales and use tax information can be specified for site delivery addresses within companies to be used as defaults when entering purchase order lines for that delivery address. Using  values defined in Tax Codes, you can specify the particular taxes and percentages, to be calculated for purchase orders received at the specified delivery address. You can also enter tax exempt information for sites that qualify for tax exempt status.

Use this activity to enter valid default tax rates for supplier companies.

Prerequisites

• The site's company must be not use Value Added Tax. Use tax regime Mixed or Sales Tax in the Company/Invoice/Tax Information tab.
• Tax codes must be defined in the Tax Code Details window.

System Effects

• As a result of this activity, default sales and use tax rates are established, which can be used for the delivery receipt address. These default rates can be used, or can be modified, when electing to calculate taxes based on the ship-to address of the delivery recipient.
• When you enter a supplier invoice not connected to a purchase order, tax amounts will automatically be generated and connected to each entered invoice line.
• The value of the Delivery Address Taxable check box will be defaulted to the Ship-to Tax check box on the purchase order. 

Window

Company

Related Window Descriptions

Company, Company/Address/Tax Code, Company/Address/Tax Code/Taxes, Company Address/Tax Code/Tax Exempt Info

Procedure

1. Open the Company window.
2. Query for the company ID.
3. Select an address ID for your company in the Address ID field.    
4. Click the Tax Code tab.
5. Select the Delivery Address Taxable check box if the delivery address is subject to taxes.
6. Click the Taxes tab.
7. Enter a tax code in the Tax Code field manually or by using the List of Values.    
8. The Description and Percentage fields will automatically fill in, based on the tax code selected.
9. Enter the dates between which the tax code is valid.
10. Save the record.
11. If you want to enter tax-exempt information for the delivery address, click the Tax Exempt Info tab.
12. Create a new record.
13. Enter the tax exemption certificate number.
14. In the Certificate Type field, select either Agreement, to indicate tax exempt status for all purchases, or Single, for tax exemption for purchases of a specific product.
15. Enter the certificate jurisdiction, issue, and expiration dates.
16. Save the record.