How to Set Up a Sub Rate Schedule

Sub rate schedules are set up using the same transactions as primary rate schedules. With the exception of the differences outlined above, the design and construction of sub rate schedules is virtually identical to that of primary rate schedules.

The major difference occurs when a sub rate schedule has rate components that require the value of lines calculated by the primary rate schedule or earlier sub rate schedules. Rate components that levy taxes using the monetary value calculated by earlier rate schedules are good examples. In order to implement these types of rate components on a sub rate schedule, follow these instructions:

• Set up a Rate Component - Calculation Algorithm that references the base-package algorithm type called C1-RC-CLAMT. Algorithms of this type calculate the value of a rate component by summarizing the value of lines calculated by earlier rate components. Please note that you can limit the summarized lines to those calculated by rate components that are marked with a given characteristic type and value.
• Add a rate component to the sub rate schedule:
• Choose a Rate Component Type of Calculation Algorithm.
• Select the Calculation Algorithm defined above.
• Turn on FCPO (for calculation purposes only) to prevent the value of this line from being added to the total charges.
• Set up Apply To rate components as normal for each tax to be calculated. These rate components will reference the rate component described above in their cross-reference.