Tax configuration enhancements

The configuration to retrieve tax defaults for various taxable transactions has been improved. In the Tax Exceptions by Country and Tax Exceptions by Country Set sessions, tax defaulting has been improved and these functions have been added:

  • Jurisdiction to Use (Own and Business Partner): Instead of specifying the tax country through exception modeling, you can now specify the address, such as buy-from, sold-to, and department, from which the tax country can be derived.
  • Tax Code to Use: Instead of specifying a tax code on exceptions, you can now specify the tax code to use. For example, Domestic, ICT, Import, Export, which is specified in the standard tax handling library.

Extended tax configuration can be activated in the Concept Activation workbench. With extended tax configuration, these additional features are supported:

  • Tax defaulting for interstate and intrastate transactions (India).
  • Optimization of tax defaulting based on goods and service categories.
  • Standard tax defaulting improvements.
    • Default setup of a goods and service category and state.
    • Advance invoice defaulting based on a standard tax library.
  • Improvements for Tax Exceptions by Country and Tax Exceptions by Country Set.
    • Default setup of a goods and service category and state.

The new Goods and Service Category has these functions:

  • Categorize the goods and service for tax purposes
  • Map to these attributes:
    • Item
    • Item Group
    • HS Code
    • Service / Contract Type
    • Coverage Type
  • Retrieve tax defaults in:
    • Tax Handling
    • Tax Exceptions by Country
    • Tax Exceptions by Country Set