Example of Evaluating Tax Rules with Event Qualifiers

Tax rule qualifiers help you restrict or apply specific tax rules to an event or geography. The event class qualifiers have a direct affect on the evaluation order of tax rules.

Scenario

The following table considers five tax rules, namely, A, B, C, D, and E with or without event qualifiers and rule order and the resulting evaluation sequence:

Tax Rule	Normal Event Qualified	Tax Event Qualified	Rule Order	Evaluation Sequence
A	Yes	No	100	2
B	Yes	No	50	1
C	No	No	10	5
D	No	Yes	20	3
E	No	Yes	30	4

Rule B is evaluated first because it's the highest priority rule with a normal event rule qualifier. Rule A is identified as second in evaluation sequence it's the only other tax rule with a normal event rule qualifier. Rule D is third in evaluation sequence as it's the highest priority rule with a tax event rule qualifier followed by rule E as the only other tax rule with a tax event rule qualifier. Finally, the application evaluates rule C as it doesn't have any event rule qualifiers.

The use of normal event or tax event rule qualifiers alters the way in which the tax determination process processes the tax rules. For an event class qualified tax rule, normal event or tax event-based, the tax rule is evaluated first in preference to tax rules qualified by tax event qualifiers or a nonevent class qualified tax rule of higher priority.

Consider that you have two rules: rule A and rule C with rule priority 100 and 10 respectively. The rules are associated with condition sets that match against the transaction line details. Rule A has a normal event class qualifier which is satisfied while rule C doesn't have an event class qualifier, rule A is processed and used first regardless of the rule priority order, even though rule A has a lower priority than rule C.