Alternate Tax Rate/Area Assignment Functionality in the Freight Update and Report Program
The alternate tax rate/area assignment functionality enables you to assign an alternate tax rate/area when the entities involved in a transaction are in the European Union. For payable freight, the Freight Update and Report program will retrieve the alternate tax rate/area if the company is set up to do so.
The A/P Cost Center processing option in the Freight Update and Report program determines which business unit is used for vouchers. If you set up the company associated with the business unit to use the alternate tax rate/area assignment functionality, the system retrieves the alternate tax rate/area if no tax rate/area is associated with the route for the transaction and no errors in retrieving the alternate tax rate/area occur.
If no tax rate/area is associated with the route, and the system cannot use the alternate tax rate/area because the functionality is not set up for the company or because validation errors occur, then the system retrieves the tax rate/area associated with the carrier.