IFS Cloud is built to handle B2B collaborations. In most countries taxes are levied on the price charged to the end consumer. This means that prices before tax are used in trade between companies. However, some countries do not follow this concept but trade B2B with prices including tax.
IFS Cloud supports both price and price including tax. The Use Price Incl Tax setting specifies the basis of the tax calculation and is available in the company, site, customer, supplier, sales part etc. This setting provides the possibility to enter either the price or the price including tax. Based on the setting on Use Price Incl Tax, you can enter a value on either the Price field or the Price Including Tax field. Both the price and the price including tax are saved in the database.
The setting of Use Price Incl Tax in the company is defaulted to the site, supplier and customer. The setting in the supplier and customer is defaulted to the purchase order, supplier agreement, customer order, sales quotation, customer agreement, return material authorization and shipment. The setting in the site is defaulted to the sales part, non-inventory sales part, package part, sales charge types, supplier for purchase part and purchase charge types.
If the Use Price Incl Tax option is enabled: Only the Price Including Tax field is editable and the price is non editable. The basis for tax calculation is the price including tax. The price is calculated based on the entered price including tax value and the tax code.
If the Use Price Incl Tax option is disabled: Only the Price field is editable and the price including tax is non editable. The basis for tax calculation is the price. The price including tax is calculated based on the entered price and the tax code.
The general formula for the Price Including Tax is Price * ((sum tax % / 100) +1). This will affect the customer order and sales quotation lines when you know the customer.
Example:
Currency: SEK
Tax % : 25% and 5%
Price excl. Tax : 100 SEK
Price
incl. Tax : 130 SEK = 100 * (( 25 / 100+5 / 100) +1)
The general formula for the Price is Price Including Tax - Tax. This will affect the customer order and sales quotation lines when you know the customer.
Example:
Currency: SEK
Tax: 25% and 5%
Price Including Tax : 260 SEK
First
calculate the Tax
Total Tax Amount (un-rounded) = Price Incl Tax / (1+Total
Tax%) * (Total Tax%)
Total Tax Amount (un-rounded) = 260 / ((1+(25/100+5/100))
* (25/100 + 5/100) = 60 SEK
Tax amount for 25% (rounded) = 60 / 30*25 = 50 SEK
Tax amount for 5% (rounded)
= 60 / 30*5 = 10SEK
Total Tax Amount (rounded) = 50+10 = 60 SEK
Price = Price Incl Tax - Tax = 260 -60
Price = 260 SEK
Sales Part
Price Lists
Customer
Customer Order Line
Site
Supplier
Purchase Part
Supplier for Purchase Part
Purchase Order Line
Supplier Agreement/Part Step Pricing
Consolidated Shipments
Customer Agreement
Customer Invoice
Customer Order
Customer Order Charges
Customer Price Group
Non-Inventory Sales Part
Package Part
Purchase Order
Return Material Authorization
Return Material Authorization Lines
Sales Charge Type
Sales Part
Sales Part Base Prices
Sales Part Rental Base Prices
Sales Price List
Sales Price List Lines
Sales Quotation
Sales Quotation Lines
Update Base Prices
Update Sales Price Lists from Base Prices
Create and Maintain Package Part
Create and Maintain Purchase Part
Create and Maintain Sales Part
Create and Maintain Sales Part, CTO
Create and Maintain Supplier for Purchase Part
Customer Order Settings
Enter Customer Order
Enter Purchase Order
Enter Price Lists
Enter Price Lists, CTO
Supplier Purchase Settings