Example of Using Tax Zones in Tax Rules
For the European Community (EC) or the European Union (EU), it's important to know whether goods and services are being delivered within the EC.
Use the tax zone functionality to create a tax zone that defines the membership of the EC and the dates on which a country became a member.
The following scenario describes the use of a partial condition set that you can use within tax rules to define when a delivery is being made to an EC from the United Kingdom.
Scenario
Use geography as the determining factor class, ship-to as the class qualifier, and all economic communities and country as the determining factors of the tax zone type as shown in the following table:
Determining Factor Class |
Class Qualifier |
Determining Factor Name |
---|---|---|
User-defined geography |
Ship-to |
Economic Regions |
Geography |
Ship-to |
Country |
Geography |
Ship-from |
Country |
Create the condition set as follows:
Determining Factor Class |
Class Qualifier |
Determining Factor Name |
Operator |
Value |
---|---|---|---|---|
User-defined geography |
Ship-to |
Economic Regions |
Equal to |
European Economic Community |
Geography |
Ship-to |
Country |
Not equal to |
United Kingdom |
Geography |
Ship-from |
Country |
Equal to |
United Kingdom |
You can use this combination of determining factors in any situation where you need to identify the deliveries that are made from the UK to other EU countries.