Example of Allocation of Payables Summary Tax Lines

After you create summary tax lines, you can allocate your manual summary tax lines to specific transaction lines. To allocate summary tax lines:

• You must select at least one transaction line for allocation.

• You can't allocate a tax only summary tax line.

• You can't update or delete a transaction line that's to be allocated.

Note: The Summary Tax Lines component applies only to Oracle Fusion Payables.

The following scenario illustrates allocating a summary tax line and the resulting line amounts.

Scenario

Enter a manual summary tax line for 100.00 USD. The existing item lines are as follows:

• Line 1: 100.00 USD

• Line 2: 500.00 USD

• Line 3: 1000.00 USD

You choose to allocate the 100.00 USD tax line to line 2 and line 3. The total amount for these lines is 1500.00 USD. The allocated tax amount is prorated to line 2 and line 3 based on their ratio of the total line amount. Allocation results are:

• Line 2: 500/1500 * 100 = 33.33.

  Line 2 now has a detail tax line for 33.33 USD.

• Line 3: 1000/1500 * 100 = 66.67.

  Line 3 now has a detail tax line for 66.67 USD.