Freight Tax Code 1

The tax code for Tax System 1 displays if the original customer order is known. If the material being returned is not associated with an original customer order, leave the field blank.

In an area-based tax system, the tax code entered for freight is an exempt type tax code. If the tax code is blank, freight will be taxed at the order header rate. The order header tax code must have the Include Freight field selected in order to tax freight.

In an item-based tax system, the tax code entered for freight must be a rate type tax code. Freight will be taxed at the rate of the entered tax code. The system validates the code you enter against the tax code file.

The system prompts you to enter this field only when the Prompt For [Tax System] field is selected on the Tax Parameters form and the Prompt on Line Item field is selected on the Tax Systems form. The default value for this field is from the Freight Tax Code field on the Tax Systems form.

Note:  Freight will always be calculated with the CO header tax rate and not with the Drop Ship Tax Code.
Note:  FRT TAX CODE 1 is a user-defined label.