Setting Up Tax Details for Item Classification

Access the Item Fiscal Classification Rate Setup form.

Fiscal Classification

Enter a fiscal classification code that is specified by the government for every item. The system uses this code to determine the applicable tax rate for a product.

Classification Group

Enter a description to identify the classification group for the specified classification code.

Item Number

Enter a number that the system assigns to an item.

Tax Rate

Enter a number that identifies the percentage of tax that should be assessed or paid to the corresponding tax authority.

Effective Date

Enter the date from when the item fiscal classification rate becomes effective.

Expiration Date

Enter the date till when the item fiscal classification rate remains effective.

G/L Offset

Enter a value to specify the G/L offset account to which the system writes the calculated tax amount. This value should be three characters only, for example, IST. For this, in the UDC 76/GL, you must have completed the Codes field by entering these three characters of the G/L Offset followed by four characters that represent the GL class of the item or service at the branch/plant level.