Comparing PeopleSoft Tax Tables to Third-Party Tax Suppliers

Third-party tax solutions provide a more complex set of features for sales and use tax calculations than PeopleSoft tax tables. The following table compares PeopleSoft tax tables with third-party solutions:

PeopleSoft Tax Tables	Third-Party Solutions
You must manually maintain tax rates.	The supplier provides monthly tax updates.
You must determine and manually check for exemptions. Exemption status is not determined at the time of calculation. If an order line, bill line, or purchase order line is not marked as tax-exempt, taxes are calculated.	The tax supplier system determines exemption status at the time of tax calculation. The tax supplier system maintains customer exemption certificates and product tax rules.
Tax rates come from the tax authorities of a tax code on the transaction. A tax code loosely represents a taxing jurisdiction. In PeopleSoft Billing, the tax code can be entered manually on a bill line, or it can be populated automatically from the ship to customer onto the bill during bill entry or through the bill interface. In PeopleSoft Order Management, the tax code can be entered manually, or it can be populated automatically from the ship to customer for the order line or schedule. In PeopleSoft Purchasing, the tax code can be entered manually on a purchase order, or it can be populated automatically from the ship to location to the purchase order schedule.	Tax rates and jurisdictions are determined from ship to, ship from, order origin, and order acceptance address information on the transaction.
Tax liability is maintained in separate accounts for each tax authority.	Tax liability is maintained in one account for the business unit.