Project tax locations

If using Vertex for taxes, several locations can be created to be used for project invoicing. Seller, buyer, and service locations are used by Vertex. These locations are associated to Vertex tax area ids.

If you are using OneSource for taxes, the tax calculation is based on the tax location address. When creating project contracts, use the Tax Location field instead of the Tax Code field. Seller, buyer, and buyer override tax locations are used by OneSource. Project tax locations are associated with an address that drives the tax calculation. A tax code from the tax system must be assigned. For OneSource, you can create a single tax code or multiple tax codes for the tax location assignment.

For each tax system, the driver can be different. The driver can be the tax location, tax code or address code.

• OneSource: The address is the driver.
• Vertex: The tax code is the driver. The tax code is generated based on the address.
• Tax: The tax code is the driver. The address is not a factor for tax code generation or tax calculation.

Multiple tax systems can be used for a single multi-national organization. Since the tax system choice is linked to the tax entity, the tax system used is specified only when in the context of a customer.