To set up tax registration

Complete the following steps to set up tax registration in LN:

1. Define the mandatory data as described in Tax registration prerequisites.

2. Define the tax codes by country for the home country and state of the financial company, as described in Setting up tax codes by country. This includes the posting data for the tax amounts.

3. Define tax rates as described in To set up the tax rates.
4. Link the local tax codes to the transactions in each state, as described in To define a tax exception.
5. Assign default tax codes to items and departments as applicable, as described in To define default tax codes.
6. Enter the tax registration numbers for each business partner, in the Registration Numbers by Business Partner (tctax4100m000) session.
7. You must register and declare all kinds of tax, If necessary. Example set up withholding tax registration as described in Setting up withholding tax and social contributions.
8. Test the tax model as described in To test the tax model.
9. Make the necessary adjustments and repeat the tests.