Common Elements Used in Value Added Tax Entries

Field or Control	Description
VAT Driver	An entity for which VAT defaults can be defined. Examples of VAT drivers include Billing Business Unit, Charge (Sales Identifier) Codes, Charge Code VAT Groups, Customer, Customer Locations, Bill Source, Bill Type, Discount and Surcharge Codes.
Driver Keys	The application-specific key fields that identify a VAT driver instance. For example, the keys that identify the Customer VAT driver are SetID and customer ID. The system obtains driver keys from the transactions during the course of the default process.
Physical Nature	Indicates whether an object is a good or a service. Many countries have a requirement to report the sale and purchase of goods separately from services.
VAT Location	Supplied by PeopleSoft Billing, values that are in these location fields affect VAT defaults, but are never affected by changes to any of the VAT defaults.
VAT Defaults	Fields for which the common VAT default processes supply default values. The system obtains VAT defaults using one of two methods: By algorithm. For example, the system determines the VAT registration country and VAT treatment default values with complex algorithms. From the VAT Defaults table. The system obtains the default value for some fields through a hierarchy of defaults that are from the common VAT Defaults table. The levels that are in the hierarchy represent the default sources and are identified by the VAT driver (for example, the Charge Code, Customer, or VAT Entity). The common VAT default processes can obtain these values from a single, centralized table.