Report item related tax

You can generate one or more item related tax reports at a time. The reports contain tax amounts and quantities that are based on the applicable definitions and item related stock transactions. You can view or export the results of the report on line or item and warehouse level. Alternatively, you can use a report event trigger to automatically trigger supported events when a proposal is ready.

Depending on the report selections, you can create one or more report proposals in one run since one proposal is equal to one header record in ‘Item Related Tax ID. Open’ (TXS080). The report proposal is a unique combination of an item related tax ID, country, and state. If several proposals are created in the same run, new proposal numbers are automatically retrieved for each proposal when the previous proposal in the same run is ready.

Flowchart

This diagram shows an overview of the process for reporting item related tax transactions:

Reporting item related tax flowchart

To generate item related tax reports, follow these steps:

Open ’Item Related Tax Report. Open Selections’ (TXS174). Alternatively, open ‘Item Related Tax Report. Open’ (TXS170) and select the 1=’Create’ option. Ensure that you defined the number series for item related tax proposals in ‘Number Series. Open’ (CRS165). See Define number series for item related tax proposals section in Define item related tax.
On the (TXS174/E) panel, specify this information:
- 'Tax reporting date range': Select the date range of applicable stock transactions included in the report proposals. The tax reporting date represents the transaction date in the item related stock transaction table.
- 'Country and state': Select the country and, when applicable, state for which proposals are created.
- 'Item related tax ID range': Optionally, select the range of item related tax IDs for which proposals are created.
- 'Periodicity': Optionally, select if only item related tax IDs with a specific periodicity are included in the selection.
- 'Description': Select a description that is updated on all proposals created by the run. You can change the description for a proposal when created in (TXS170).
Click NEXT to start the job and go to (TXS170/B).

When a proposal is in progress, the status is set to 10. When a proposal is ready, it is set to status 20. If an event trigger is defined for a record in (TXS080), the event is automatically triggered at this point.

If the job generating the proposals is terminated by the system, the status is set to 15 on the current proposal. To restart the creation of that proposal, select the 12=’Restart’ related option.

Note: This option is used to only restart the selected proposal. If there are subsequent reports that are not yet generated in the original selection in (TXS174) when the job was terminated, you must manually create these reports again in (TXS174).

To view item related tax reports, follow these steps:

Open (TXS170) and select the 11=’Lines’ option.
On (TXS171/B), you can view or export the results on related tax line ID level. We recommended that you create views that align with the report column definition in ‘Item Related Tax ID. Open Columns’ (TXS082). You can also customize the column headings by utilizing the standard M3 capabilities, such as creating virtual fields to use as replacement fields in the view.
Select the 11=’Details’ related option.
On 'Item Related Tax Report. Open Details' (TXS172/B), you can view or export the results on a more detailed level, that is per item number and warehouse. Similarly to (TXS171), we recommended that you create customized views for this program.

Calculations in item related tax proposals

The quantities and amounts of an item and warehouse combination, accumulated to an item related tax line, are calculated based on several parameters. The purpose of this section is to describe the overall logic for these calculations.

For tax method 1=’Percentage’, these items are the overall logic for each read record in the item related stock transaction table:

A price is retrieved and converted to align the price per unit of measure. The price used differs depending on the transaction type and is converted to the currency of the report, which is the currency in 'Country. Open' (CRS045) for the country on the item related tax ID header in (TXS080).
The price is multiplied by the value of the 'Percentage' field per line in (TXS171).
The calculated amounts are updated to each column according to the definition in (TXS082).

For tax method 2=’Price per UoM’, this is the overall logic for each read record in the item related stock transaction table:

The tax reporting quantity is calculated by multiplying the transaction quantity in basic unit of measure by the value in the 'Item quantity' field per item and warehouse in 'Item Related Tax ID. Connect Items' (TXS085).
The reporting price per unit is calculated by multiplying the value in the 'Price per U/M' field in (TXS081) by the value in the 'Item quantity' field per item and warehouse in (TXS085).
For each amount column with amount type 1=’Gross tax’ and each quantity column defined in (TXS082), a check for limit connections is made. If there is a limit connection, the tax reporting price is compared against the amount limits defined in 'Item Related Tax ID. Connect Limits' (TXS083) and managed according to the description in the Define report column and line limits section in Define item related tax.
The amount columns with amount type 2=’Deduction’ are processed, and any deductions are calculated by multiplying the calculated gross tax amount, after applying limits, by the value in the 'Deduction rate' field per item and warehouse in (TXS085).
Note: This process is only done when the current column number matches the column number in (TXS085).
The amount columns with amount type 3='Totals' are read. If the column is defined with totals type 1='Gross tax', the column is populated with the total calculated gross tax of all amount columns. If the column is defined with totals type 2='Net tax', the column is populated with the total calculated gross tax of all amount columns subtracted by the total of all deductions.
The calculated amounts and quantities are updated to each column according to the definitions in (TXS082) and (TXS083).