Manage Tax, Purchase Order Charge Line
Explanation
Use this function to handle taxes in connection to purchase order charge
and purchase order change order charge. You can enter tax information directly
on the purchase order charge and purchase order change order charge or work
with multiple taxes. If you select tax structure you can work with mutiple taxes
with different tax base amounts. If you work with multiple taxes without selecting
tax structure you can add, modify or remove tax lines. Default tax information
can also be retrieved.
Taxes entered on purchase orders are considered estimated until invoiced
and paid.
Prerequisites
- Purchase order or purchase order change header with at least one charge
line must have been entered in the Purchase Order
page or Purchase Order Change Order page.
- The Taxable option in the purchase order or purchase
order change order charge line must be enabled.
- The tax codes to be applied must have been defined for the company used.
This is done in the Tax Codes page.
- To calculate single tax or multiple taxes with the common tax base amount
- Purchase charge must be taxable. This is done in the
Purchase Charge Type page.
- To receive default tax values for the purchase charge, the tax code
must be connected to the charge. This is done on the
Supplier for Purchase Part/Charges tab,
Supplier/Purchase/Charges tab or in the
Purchase Charge Type page.
- To receive default tax values for the taxable scenario from the
supplier address, the tax liability must be of tax liability type
Taxable, the Use Supplier Address for Tax option
must be enabled and one or more tax codes must be connected to the supplier's
delivery address on the Supplier/Address/Delivery
Tax Information tab.
- To receive default tax values for the taxable scenario from the
company address, the tax liability must be of tax liability type
Taxable, the Use Supplier Address for Tax option
must not be enabled on the Supplier/Address/Delivery
Tax Information tab and one or more tax codes must be connected
to the company's delivery address on the Company/Address/Tax
Information tab.
- To calculate multiple taxes with different tax base amounts
- Purchase charge must be taxable. This is done in the
Purchase Charge Type page.
- The tax calculation structure to be applied must have been defined
for the company used. This is done in the Tax
Calculation Structure page.
- To receive default tax values for the taxable scenario from the
supplier address, the tax liability must be of tax liability type
Taxable, the Use Supplier Address for Tax option
must be enabled and tax structure must be connected to the supplier's
delivery address on the Supplier/Address/Delivery
Tax Information tab.
- To receive default tax values for the taxable scenario from the
company address, the tax liability must be of tax liability type
Taxable, the Use Supplier Address for Tax option
must not be enabled on the Supplier/Address/Delivery
Tax Information tab and tax structure must be connected to the
company's delivery address on the Company/Address/Tax
Information tab.
System Effects
- Tax information is entered and connected to a purchase order or purchase
order change order charge line. If single tax is calculated, the Multiple
Tax Lines option is not enabled and single tax code is displayed in
the Tax Code column on the line. If multiple taxes are calculated,
the Multiple Tax Lines option is enabled on the line. If multiple
taxes with different tax bases are calculated, the tax calculation structure
is displayed in the Tax Calculation Structure column on the line.
- If the Transaction Level option is enabled on the
Company/Tax Control/General tab section
Supplier Tax Code Validation, it is mandatory
to enter a tax code or a tax calculation structure on the purchase order
or purchase order change order charge line.
- If the Use Price Incl Tax option is not enabled on
the Purchase Order/Order Details tab, net
amount from purchase order or purchase order change order charge line is
used as tax base.
- If the Use Price Incl Tax option is enabled on the
Purchase Order/Order Details tab, gross amount
from purchase order or purchase order change order charge line is used as
tax base.
- If multiple taxes with different tax bases are calculated, the tax base
for each tax line is derived from the tax calculation structure definition
and it is displayed in the Tax Base Amount/Curr column.
- Total tax amount, deductible tax amount and non deductible tax amount
are calculated for each tax line.
- Total tax amount, deductible tax amount and non deductible tax amount
are calculated for purchase order or purchase order change order charge
line.
- If the Use Price Incl Tax option is not enabled on
the Purchase Order/Order Details tab, gross
amount on purchase order or purchase order change order charge line is calculated
as a sum of net amount and tax amount.
- If the Use Price Incl Tax option is enabled on the
Purchase Order/Order Details tab, net amount
on purchase order or purchase order change order charge line is calculated
as a difference between gross amount and tax amount.
- If multiple taxes with different tax bases are calculated, gross amount
on purchase order or purchase order change order charge line is calculated
as a sum of net amount and tax amount.