Supplier Taxpayer ID Sharing

Suppliers can share the same taxpayer ID if they are part of the same parent child hierarchy. This improves tax reporting and payment capabilities and reduces the need for error-prone manual processes.

Share a Taxpayer ID with a Child Supplier

As a Supplier Administrator or Supplier Manager, you can configure shared taxpayer IDs if the Allow Taxpayer ID Sharing Across Suppliers feature is opted in to and enabled. Define a parent child hierarchy for suppliers before sharing a taxpayer ID between them. Note that suppliers can be in the same parent child hierarchy without sharing the same taxpayer ID.

To configure a shared taxpayer ID between suppliers:

1. If you are creating a new child supplier, do not specify the shared taxpayer ID on the Create Supplier dialog. Leave Taxpayer ID empty. Click Create.

2. On the child supplier's Edit Supplier page, set Parent Supplier to the parent supplier's name.

3. Navigate to the Profile tab > Income Tax subtab.

4. Set Taxpayer Country and Taxpayer ID to match the parent supplier's values.

5. Click Save and Close.

   The Confirm Taxpayer Updates dialog is displayed with a message asking you to confirm that the suppliers share the same taxpayer ID.

6. Click OK on the Confirm Taxpayer Updates dialog.

Share a Taxpayer ID with a Parent Supplier

You can move an existing supplier into a parent child hierarchy as a parent, and share the existing child supplier's taxpayer ID with the parent supplier.

To do this:

1. If you are creating a new supplier, do not specify the existing supplier's shared taxpayer ID on the Create Supplier dialog. Leave Taxpayer ID empty. Click Create.

2. Click Save.

3. Edit the existing supplier.

4. On the existing supplier's Edit Supplier page, set Parent Supplier to the new supplier's name and click Save and Close.

5. On the new supplier's Edit Supplier page, navigate to the Profile tab > Income Tax subtab.

6. Set the Taxpayer ID and Taxpayer Country to match the existing (child) supplier's values.

7. Click Save.

   The Confirm Taxpayer Updates dialog is displayed with a message asking you to confirm that the suppliers share the same taxpayer ID.

8. Click OK on the Confirm Taxpayer Updates dialog.

Taxpayer IDs Shared at Supplier Registration

When you register a new supplier on the Register Supplier page that you have configured to share a taxpayer ID with an existing supplier, no errors are displayed when you submit the new registration. Checks for duplicate taxpayer IDs are made as part of the approval process. As an Approver, resolve taxpayer ID sharing conflicts using the same principles previously discussed in this topic for taxpayer ID sharing with newly created suppliers.

Taxpayer IDs Shared for Imported Suppliers

Using supplier import, you can create a supplier that is intended to share its taxpayer ID with an existing parent supplier. In the import template, specify the existing supplier as the Parent Supplier for the new supplier. Then provide the parent supplier's Taxpayer Country and Taxpayer ID values.

Shared Taxpayer ID Configuration Scenarios

Sharing taxpayer IDs between suppliers that are not in the same parent child hierarchy triggers errors. Suppliers can be in the same parent child hierarchy without sharing the same taxpayer ID.

Scenarios that trigger an error include the following:

• A supplier has the taxpayer ID 123 and Taxpayer Country US. Another supplier's Parent Supplier is empty. You edit this supplier and set the Taxpayer ID to 123, and the Taxpayer Country to US. You click Save. An error occurs.

  Solution: Set the second supplier's Parent Supplier to the first supplier's name and click Save. This makes the second supplier a child supplier. Set the child supplier's taxpayer ID to 123 and Taxpayer Country to US, and click Save. Click OK on the Confirm Taxpayer Updates dialog.

• Two suppliers in the same parent child hierarchy share the taxpayer ID 123. One supplier's Parent Supplier is set to the other supplier's name. On the Edit Supplier page for the child supplier, you clear Parent Supplier and click Save . An error occurs.

  Solution: Change one of the supplier's taxpayer ID so that the two suppliers no longer share an ID before clearing the child supplier's Parent Supplier field.

• A supplier has the taxpayer ID 123 and the taxpayer country US. You create a new child supplier and on the Create Supplier dialog, you specify a taxpayer ID of 123, a taxpayer country of US, and click Save. An error occurs.

  Solution; Leave Taxpayer ID empty on the Create Supplier dialog. Click OK. On the Edit Supplier page, specify the parent supplier's name in Parent Supplier and the parent supplier's taxpayer ID and taxpayer country in Taxpayer ID and Taxpayer Country, respectively. Click Save. Click OK on the Confirm Taxpayer Updates dialog.

This scenario does not trigger an error:

• The parent supplier and the child supplier both share the taxpayer ID 123 and the taxpayer country Canada. The child supplier's Parent Supplier is set to the parent supplier's name. On the Edit Supplier page for the parent supplier, you change the Taxpayer ID and click Save. No error occurs. Suppliers in a parent child hierarchy do not have to share taxpayer IDs.