Tax Information

Tax Expl Code (tax explanation code)

Enter a value from the user-defined code table 00/EX that controls how the system assesses taxes and distributes it to the general ledger revenue and expense accounts. Values are:

AR: Billable Tax

B: Value Added + Self-Assessment

BT: VAT + Self-Assmt tax only

C: Value Added + Sales Tax

CT: VAT + sales Tax, tax only

E: GST Environment

S: Sales or VAT (Output) tax

ST: Sales tax, Tax only

U: Self-Assessment (use) Tax

UT: Self-Assessment Tax, Tax Only

V: GST Applies

V+: Value Added Tax, Tax on Tax

VT: GST Only

You assign this code to customers or suppliers to set up a default code for their transactions. Do not confuse this code with the taxable, non-taxable code. If the user enters a voucher with the tax area, then such a code is referred to as a taxable code. If the tax area is not entered in the voucher, then such a code is referred to as a non taxable code. A voucher can have both taxable and non-taxable items. The entire invoice or voucher, however, must have one tax explanation code.

Tax Rate/Area

Enter a code that identifies a tax or geographical area that has common tax rates and tax distribution. You define the tax rate or area in the Tax Rates/Area program (P4008) to include tax authorities (for example, state, county, city, rapid transit district, or province) and their rates.

Person/Corporation.

Enter a code that designates the type of taxpayer. Values are:

1: Individuals

2: Corporate entity

3: Both an individual and a corporate entity

4: Non-corporate entity

5: Customs authority

Tax ID

Enter an identification code that is required by various tax authorities. This can be a social security number, federal or state corporate tax ID, sales tax number, and so on. The system verifies the number and prints the separators in their correct format, according to the value in the Person/Corporation code field. If the Person/Corporation field does not contain a value, the system uses the corporate entity. Corporate entries are the services provided by the corporate sectors.

Add'l Ind Tax ID (additional individual tax identification)

Enter an identification number that the tax authority assigns to an individual, in addition to the primary tax ID number.

Tax Authority

Enter the address book number of the tax authority to whom you pay the TDS.

Withholding Percent

Enter the amount to withhold from payments to the supplier as a percentage.