Configuring customer records for tax interface

Use Customer Setup and Customer Ship To Setup to setup your customers and any tax-specific information. Your exact steps may vary.

When you set up customer records that use foreign currency, ensure you correctly select the currency in General-Settings, and that this setting matches the foreign currency settings in SA Currency Setup.

Select Customer > Setup > Customer .
Select the customer you want to modify.
Click Edit.
In the General view, verify the name, address, and phone numbers. Your Country code must meet the 2-character ISO 3166 standard.

Note:
If you are integrated with Sovos GTD, specify the appropriate Geo Code. If appropriate, select the Out of City option. The Out of City option is only used by the Sovos GTD interface.

If you use Vertex Cloud, the Geo Code field is used to specify Tax Area IDs, which is the term Vertex uses for this type of information. Tax Area IDs can be more than two digits. This ID associates the address with a tax jurisdiction. If you select the lookup button on the field, the entered address information is passed to the Vertex Address Lookup call. The Tax Area ID returned is then loaded in the this field.
In the Taxing view, verify that in Taxing Information the State value is the same as the State or Province value on the General view.
In Taxable Type, select the taxability. Typically, select Taxable. If the customer’s taxability is Non Taxable, you must also specify a Non Taxable Reason.

Note: Consult with your AvaTax representative during setup about how an AvaTax Entity Code, Non Taxable Reason, may be applied to even Taxable customers.
In Certification, if the customer is exempt, specify the Tax Certificate # and Tax Certificate Expire Date. If your company has a Tax Method of Value Added Tax (VAT), specify the customer’s VAT Certificate # or VAT Registration #.

Note: If you are using System Rates, to override the company-level setting for the Settlement Discount Tax, Gross or Net, for select customers, change the Settlement Discount Tax option. This field is available only if your SA Company Setup-Taxes Tax Method is VAT and the Tax Interface is System Rates. This option determines whether a settlement tax discount is applied to the customer’s invoice amount before VAT is calculated.
Click Save.