Tax application effects in Billing
You can use the Tax application to calculate tax on customer orders. These concepts explain aspects of Tax setup that affect the Billing application.
Tax codes and tax rates
Tax codes are predefined codes for identifying the tax authorities where your company pays taxes.
Tax rates are the percentage rates of tax that your company must pay. To calculate your taxes automatically, you must define your tax codes and assign tax rates to your tax codes.
Plan your Tax setup for Billing
The Lawson Tax application is a stand-alone application for calculating taxes. If one or more of your sales are taxable, you must set up the Tax application.
This diagram shows an overview of setting up the Tax application:
See Tax User Guide.