Implement Tax

Oracle Fusion Tax provides a single-point solution for managing your transaction and withholding tax requirements.

Oracle Fusion Tax:

• Uniformly delivers tax services to all core Oracle Fusion application business flows through one application interface.

• Provides features for uploading third-party tax partner content.

• Is configurable and scalable for adding and maintaining country-specific tax content.

Setting Up Oracle Fusion Tax

The Define Taxes for Rapid Implementation task list provides the required and most frequently used setup tasks for implementation scenarios. Using spreadsheets, you can upload your tax setups to create tax regimes, taxes, tax rates, and tax rules.

You can use the standard Define Tax Configuration task list for:

• The ongoing maintenance of your tax setup.

• Limited tax configurations that can't be set up or updated using the rapid implementation approach.

To set up Oracle Fusion Tax, the Application Implementation Consultant or Tax Manager must perform the following tasks:

1. Manage tax regimes.

   • Perform the Manage Tax Regimes task to create and maintain tax regimes for the taxes in each country and geographic region where a separate tax or collection of taxes apply.

     You can use the Tax Configuration Workbook to upload all common tax regime setups as well as your organization specific setups, such as tax regime subscriptions.

     You can also use the individual Tax Regimes and Tax Regime Subscriptions spreadsheets to exclusively create tax regimes and tax regime subscriptions.

   • See the following topics::

     • Tax Configuration Workbook: Explained

     • Creating Tax Setup Using the Tax Configuration Workbook: Worked Example

     • Creating Tax Setup Using Tax Partner Content in the Tax Configuration Workbook: Worked Example

     • Tax Implementation Workbook: Explained

     • Creating Tax Setup Using the Tax Implementation Workbook: Worked Example

     • Creating a Tax Regime Using the Manage Tax Regimes Spreadsheet: Worked Example

2. Run the jurisdiction and rates upload program.

   • For SaaS (Oracle Cloud) implementations, run the Import Tax Configuration Content job.

   • Refer to the Tax Configuration Content Upload Program: How It Is Processed topic.

3. Manage taxes.

   • Perform the Manage Taxes task to create and maintain details for the taxes of tax regimes.

     You can use the Tax Configuration Workbook to upload all common tax setups.

     You can also use the individual Taxes spreadsheet to create taxes for a tax regime or a collection of tax regimes. Additionally, you can use the individual Tax Accounts spreadsheet to create tax account assignments.

   • See the following topics:

     • Tax Configuration Workbook: Explained

     • Creating Tax Setup Using the Tax Configuration Workbook: Worked Example

     • Creating Tax Setup Using Tax Partner Content in the Tax Configuration Workbook: Worked Example

     • Creating Tax Setup Using the Tax Implementation Workbook: Worked Example

4. Manage tax rates and tax recovery rates.

   • Perform the Manage Tax Rates and Tax Recovery Rates task to create and maintain details for tax rates and tax recovery rates.

     You can use the Tax Configuration Workbook to upload all common tax rate and tax recovery rate setups.

     You can also use the individual Tax Rates, Tax Rate Accounts, Tax Recovery Rates, and Tax Recovery Rate Accounts spreadsheets to create:

     • Tax statuses

     • Tax jurisdictions

     • Tax rates

     • Tax recovery rates

     • Tax accounts

   • See the following topics:

     • Tax Configuration Workbook: Explained

     • Creating Tax Setup Using the Tax Configuration Workbook: Worked Example

     • Creating Tax Setup Using Tax Partner Content in the Tax Configuration Workbook: Worked Example

5. Manage tax rules.

   • Perform the Manage Tax Rules task to create and maintain tax rules that define the conditions under which the exceptions to the default taxability apply.

     You can use the Tax Implementation Workbook to upload organization-specific tax rule setups.

     You can also use the individual Tax Rules spreadsheet to create tax rules details.

   • See the following topics:

     • Tax Implementation Workbook: Explained

     • Creating Tax Setup Using the Tax Implementation Workbook: Worked Example

6. Manage tax registrations.

   • Perform the Manage Tax Registrations task to create and maintain tax registration information related to a party's transaction tax obligation with a tax authority for a tax jurisdiction where it conducts business.

     You can use the Tax Implementation Workbook to upload your organization-specific tax registrations.

   • Refer to the Tax Registrations: Explained topic.

7. Manage tax exemptions.

   • Perform the Manage Tax Exemptions task to create and maintain tax exemptions to reduce or increase the tax rate applied to a transaction.

   • Refer to the Tax Exemptions: Explained topic.

8. Manage simulator transactions.

   • Perform the Manage Simulator Transactions task to verify tax configuration for taxes that are enabled for simulation or for both simulation and transactions by processing real-time transactions without affecting active data.

   • Refer to the Tax Simulator: Explained topic.