SuiteTax
SuiteTax is NetSuite's next-generation tax environment. It is modern, scalable, and designed to meet the growing complexity of the global tax compliance. It provides greater flexibility to support country-specific requirements and evolving tax regulations, helping ensure accurate tax calculation and streamlined reporting.
SuiteTax works by introducing an API layer, the SuiteTax API, that connects with tax engines. The SuiteTax API transfers key information to the tax engine. The tax engine then processes it to determine and calculate the appropriate taxes, and then sends the results back to the transaction through the API.
In a SuiteTax environment, both the SuiteTax API and a tax engine are required, and each serves a distinct purpose:
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The SuiteTax API handles address sourcing, nexus determination, and tax invalidation.
Access to the SuiteTax API requires the SuiteTax feature to be enabled.
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The tax engine manages tax code and rate provisioning, as well as performing tax calculations based on the logic defined by the tax engine provider. The tax engine also determines the entity and item taxability.
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SuiteTax currently supports both native NetSuite tax engines, as well as partner tax engines. For more information about available SuiteTax tax engines, see NetSuite Tax Engines.
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A tax engine is delivered as a bundle or SuiteApp.
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In a SuiteTax account, the SuiteTax feature must be enabled and a tax engine must be in place, except in limited scenarios where a tax engine may not be required. For more information, see Assigning Tax Registrations to a Subsidiary in SuiteTax.
For information about enabling the SuiteTax feature, see Enabling the SuiteTax Feature.
For information about the changes to NetSuite records and pages when SuiteTax is enabled, see Migration of Legacy Records and Transactions to SuiteTax.