About the Tax Interface

This topic describes the tax interface and the supported products.

If you require external taxing software to handle the computing of sales tax, you can use the Tax Interface, which supports these products:

Vertex Indirect Tax O Series
Vertex Sales Tax Q Series
Taxware Sales/Use Tax System
Avalara AvaTax

The Tax Interface is configured for the appropriate product with the Tax Interface Parameters form. After the interface is configured, taxes are automatically calculated on orders where the tax code is set to EXTRNL.

After the orders are invoiced, and before posting is performed, you must run the Tax Interface Post Register utility to post the taxes to the external tax software.

If taxes are not being calculated correctly, you can use the Debug fields on the Tax Interface Parameters form to create log files that can help either Infor support or the appropriate tax system support to assist you.

What Information does the Interface Send to the Taxing Software?

Any order, RMA, invoice, credit memo or other information where the first tax code is set to EXTRNL is sent to the interface. (For compatibility with older versions of this interface, a tax code of VERTEX also causes taxes to be processed by the interface.) On the Tax Interface Parameters form, click Set All Customer Tax Code 1 to External to perform a system wide change that substitutes the selected tax interface in place of everything currently set to Tax Code 1.

The Tax System Interface can send this information, based on your selections on the Tax Interface Parameters form:

Customer information: The interface sends this information from the Customer Ship To record: Customer Number, City, State, Zip, County
Warehouse Information: If the warehouse can be determined, the City, State, Zip, and County of the warehouse is sent, as well as the Warehouse Code. This allows for more accurate taxation. If the warehouse is not available, the address information from the General Parameters form is sent.
Item Information: Either Item or Product Code is sent based on the setting of the Send for Product field in the Tax Interface Parameters form.
Freight and Miscellaneous Charges for Items: Freight is passed into your external tax system with the Freight flag set and the Item Number set to FREIGHT. Miscellaneous charges are sent with the Item Number set to MISC CHARGE
Miscellaneous and Labor Charges for Service: Miscellaneous and Labor Service transactions use the Exclude Field Service Misc and Exclude Field Service Labor options on the Tax Interface Parameters form. If an option is selected (set to Exclude), then for all tax providers except the Taxware Sales/Use Tax System, the system sends SVC-MSC-EXEMPT or SVC-LBR-EXEMPT. For the Taxware Sales/Use Tax System, the system sends 89999 for both Labor and Miscellaneous Charges. If the options are not selected, indicating that the charges should be included, then the system sends the Misc/Work codes from the transactions.