Tax Configuration
These settings relate to tax extraction as well as automatic tax code determination for invoice creation.
The list of settings here can differ depending on what options are selected. If selecting an option displays additional settings, that information is included below.
- Primary Rates
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A comma-separated list of expected tax rates.
This list is optional, but does assist Invoice Processing Agility to find the correct tax value on the document. Values matching the primary rate are prioritized over values entered as secondary rates.
- Secondary Rates
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A comma-separated list of expected tax rates.
This list is optional, but does assist Invoice Processing Agility to find the correct tax value on the document.
- Activate VAT Compliance Check
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If selected, the system activates the VAT registration number compliance check. This means that if value added tax is charged on an invoice, the vendor and bill-to company VAT registration numbers are mandatory.
If VAT is charged in a currency that differs from the local currency of the addressed company code, then the exchange rate and/or local VAT amount fields are also mandatory.
- VAT Check Company Code Exceptions
- A comma-separated list of company codes that are excepted from the VAT registration number compliance rule.
- Vendor VAT Check Only
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If selected, the system requires the VAT registration number of the vendor, and not the registration numbers of the vendor and the bill-to party.
- Vendor VAT Check Company Code Exceptions
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A comma-separated list of vendor company codes that are excepted from the VAT registration number compliance rule. The behavior of this field depends on whether the Activate VAT Compliance Check option is selected above.
If Activate VAT Compliance Check is cleared, then any company codes listed here are excluded from the VAT check. If Activate VAT Compliance Check is not selected, then only company codes specified here are checked.
- Check VAT Cross Border
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If Vendor VAT Check Only is selected, then for the company codes listed, both the vendor and bill-to VAT registration numbers are mandatory.
Alternatively, if Vendor VAT Check Only is cleared, then only the vendor VAT registration number is mandatory for invoices belonging to the company codes listed here.
The cross-border VAT registration number check operates independently of the vendor-only VAT check.
- Cross Border Company Code Exceptions
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A comma-separated list of company codes that are excepted from the EU cross border VAT registration number check.
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If Check VAT Cross Border is selected, then, for the company codes listed against this parameter, the cross-border VAT registration number check is not carried out. If Check VAT Cross Border is cleared, then the cross-border VAT registration number check is only carried out for invoices belonging to company code specified in this list.
- Activate Tax Determination
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If selected, the system activates the tax determination and validation feature. Otherwise, no tax code allocations or validations are carried out.
- Validate Tax Amount
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This applies to SAP implementations only.
If selected, the system validates the calculated tax amount using the tax codes found in the total tax amount from the invoice. If this amount is outside the Tax Tolerance set in the Tolerance Settings, the document is parked in SAP.
This option is available only when Activate Tax Determination is selected above.
- Always Use PO Tax Code
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If selected, the system uses the tax code extracted from the purchase order.
This option is available only when Activate Tax Determination is selected above.
- Always Use Calculate Tax Flag
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If selected, the system requires the ERP system to calculate the tax amount rather than using the tax amount extracted from the invoice.
This option is available only when Activate Tax Determination is selected above.
- Tax Flag Exception Company Codes
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A comma-separated list of company codes that are excepted from the calculate tax flag rule.
This option is available only when Activate Tax Determination is selected above.
- Validate From DB
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If selected, tax codes are derived and/or validated against a database table. Do not use this table for countries where tax jurisdictions apply. For example, the US, Brazil, and Canada.
This option is available only when Activate Tax Determination is selected above.
Important This option and all of its dependent settings are not available in the Azure cloud environment. - SQL Connection Group
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The SQL connection group specifying the tax code database connection string as set in the Database Connection Settings. If no connection group is specified, the system uses group 1.
This option is available only when Activate Tax Determination and Validate From DB are selected above.
- DB Table Name
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The name of the tax code database table.
This option is available only when Activate Tax Determination and Validate From DB are selected above.
- Use Tax Partition
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If selected, the tax partition ID is used when searching for the tax code in the database table. This value is specified in the DB Table Name option above.
Tax partitions allow tax code data relating to all clients to co-exist in the same database table. This alleviates administrative burden of maintaining multiple tax code tables if multiple clients are used.
The tax partition ID is set in the Tax Partition option in the Client Settings for the relevant client. Therefore, when the system reads the tax table to retrieve the tax codes for the invoice company code country, the client tax partition ID is also used to ensure that the correct set of records for the client is selected.
Export fails if no Tax Partition value is specified. Also, the system fails to retrieve any tax codes, and invoice line tax coding is not successful.
This option is available only when Activate Tax Determination and Validate From DB are selected above.
- Check For ICMS Tax
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ICMS is a form of sales tax used on Brazilian Nota fiscal documents.
If selected, the system attempts to identify this tax amount on incoming documents and applies validations to this field.
If cleared, it is assumed that the client is not processing Brazilian Nota fiscal documents.
This option is available only when Activate Tax Determination is selected above.
- Derive Ship To From Company Code
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If selected, the ship-to country is set to the same value as the company code country.
This option is available only when Activate Tax Determination is selected above.
- Read Plant From SAP
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If selected, the system reads plant information from SAP to determine the ship-to location of the goods, for tax calculation purposes.
This option is available only when Activate Tax Determination is selected above.
Important This option is not available in the Azure cloud environment. - Read Plant From DB
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If selected, the system reads plant information from a database to determine the ship-to location of the goods, for tax calculation purposes.
This option is available only when Activate Tax Determination is selected above.
Important This option and all of its dependent settings are not available in the Azure cloud environment. - Use Tax Partition
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If selected, the tax partition ID is used when accessing the plant table. Entries are loaded if they have a tax partition that matches the tax partition for the current client.
The tax partition ID is set in the Tax Partition option in the Client Settings for the relevant client.
This option is available only when Read Plant From DB is selected above.
- DB Tax Partition
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Enter the Tax Partition database column name that holds the Tax Partition ID. The Tax Partition ID is specified in the Tax Partition Settings.
This option is available only when Read Plant From DB and Use Tax Partition are selected above.
- Plant SQL Connection Group
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The SQL connection group that specifies the plant database connection string, as set in the Database Connection Settings. If no connection group is specified, the system uses group 1.
This option is available only when Activate Tax Determination and Read Plant From DB are selected above.
- DB Plant Table
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The name of the database table that contains plant information.
This option is available only when Activate Tax Determination and Read Plant From DB are selected above.
- DB Plant
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The name of the column in the plant database table that contains the plant ID.
This option is available only when Activate Tax Determination and Read Plant From DB are selected above.
- DB Plant Country
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The column name in the plant database table that contains the plant country.
This option is available only when Activate Tax Determination and Read Plant From DB are selected above.
- DB Plant State
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The column name in the plant database table that contains the plant state location.
This option is available only when Activate Tax Determination and Read Plant From DB are selected above.
- DB Plant Tax Jur Code
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The column name in the plant database table that contains the tax jurisdiction code associated with the plant location.
This option is available only when Activate Tax Determination and Read Plant From DB are selected above.
- Activate VAT Based Tax Processing
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If selected, the Provincial Sales Tax,, Harmonised Sales Tax, and ICMS fields are deactivated and fields NetAmounts 0-4, TaxAmounts1-4, and TaxRate 1-4 are used instead.
If you are using this option, ensure that these fields are set to Active in the Field Settings
- Extract HST Separately
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If selected, Harmonised Sales Tax is captured in the Harmonised Sales Tax field as opposed to the TaxAmount1 field.
- CN Password Specials
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A list of special characters that are permitted in the password block for domestic VAT invoices used in mainland China. The password should only consist of the digits 0-9, and the six special characters listed within this field. By default, the "+<>-*/" characters are specified.
This field is configurable so additional special characters can be added if the government standards change in the future.
The system rejects the password field if it contains characters that are not included here.
- CN Password Valid Length
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A comma-separated list of the valid lengths for a password block that appears on a domestic VAT invoice used in mainland China.
By default, the values are "84,108." This means that a captured password must be either 84 or 108 characters in length. This reflects the current government standard, but the field is configurable in case this changes in the future.