Taxation
NetSuite 2026.2 includes the following enhancements to taxation features:
SuiteTax
Tax on Term Discounts in SuiteTax for Purchase Transactions
As of 2026.2, you can automate tax adjustments when you apply term discounts on purchase transactions. Previously, when you paid vendor bills early and qualified for a term discount, you adjusted only the discount amount. Any related tax adjustment required manual calculation and entry.
Now, the system automatically generates bill credits for the discount and its associated tax amount. Depending on your setup, you can create adjustment transactions that include only the discount amount or both the discount and tax amount.
The feature supports vendor bill transactions and creates adjustment transactions automatically when eligible term discounts are applied during vendor payments. Adjustment transactions are generated as term discount adjustment bill credit transactions.
To use this feature, ensure that you:
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Enable the Create Adjustment Transactions for Term Discounts accounting preference.
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Enable the Include Tax When Calculating Term Discount preference at the nexus level to adjust the tax with the discount amount.
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Grant the edit-level permission for the Tax Details tab and the permission to create bill credits to any role that records vendor payments with term discounts.
System-generated adjustment transactions can't be edited or deleted. This restriction helps maintain accurate transaction records.