x Want to participate? Join the group to interact
  • Replies 5 replies
  • Subscribers 41 subscribers
  • Views 1928 views
  • Users 0 members are here
Browse Forums
Announcements
234
topics
29
replies
General Discussion
5k
topics
13k
replies
Sage Data & Analytics
56
topics
95
replies
Sage Enterprise Intelligence
209
topics
410
replies
Sage Intelligence Reporting
121
topics
322
replies
Tom H

Tax Determination Rules and Alcohol Volume Tax

Posted By

Ok X3 Tax experts.  This one is for you!  There are now several states that are beginning to charge Alcohol Volume Taxes.  The Tax determination rule function appears to be the perfect solution for the following:  ABV Tax = Volume * Rate.  In addition, the volume tax can have ranges.  Example:  ABV >=14% is one tax, and, ABV <=21% another.  The volume is calculated and is retained in (among others) SINVOICED fields DSPVOU  and DSPLINVOL.  The tax rate is managed in the tax rate function, as designed.  The challenge is when you are attempting to create a formula in the Tax Determination, the only table available is TAXLINK, and, the volume fields are not an option.   What is the table TAXLINK used for?  Other tables are not visibly an option.

I'm open to suggestions, as the volume tax is one with many variables.  The Tax Determination function looks like the perfect solution, however, I can't figure this one out!  Any help would be greatly appreciated.

Thanks!

Tom

  • Tom - couldn't you assign a tax rate to the product base on the ABV instead of trying to calculate it?  Product tax code 14A for >= 14%, 21A for <= 21%, the BP tax rule would be based on the state.  Example PA 14A tax rate is 6%, use PA as the BP tax rule, create a tax rate of 14A as 6%, the tax determination rule BP Tax rule is PA, Product tax code is 14A the tax calculated is 6%.  If TX has a 14A tax rate of 8%, then you have another tax determination rule of BP Tax rule is TX, Product tax Code is 14A and the rate is 7%.

  • in reply to Deborah Raskob

    Hi Deborah.  Thanks for your input.  The tax rate feed is ok.  the challenge is to determine the liters, or volume, associated with the line.  ie volume x rate.  We need the Tax Determination rules to find the total volume of the line, then, find the applicable tax rate.  The calculations are not associated with the gross or net value.  -Tom

  • Hi Tom,

    Have you tried using "Additional or Special Tax types for the rate?

    A tax code can be used to identify several tax types:

    • VAT (Value Added Tax): based on the excl.-tax amount
    • Additional tax: based on the excl.-tax amount on the quantity or any other item of a document line
    • Special tax: based on the excl.-tax amount on the quantity or any other item of a document line

    When you use them the formula field gives you access to other tables so it might be worth a try.

    Taxlink table is used for local taxes for Canada and Argentina, according to the help text :-)

    Brian

  • in reply to Kingy

    Hi Brian,  

    Thank you for the tip.  This can work where the tax rate formula references the SORDERQ table field DSPLINVOL, and the Amount No. filed on the rate is set to Amount 1.  I'm able to get this to work with the additional tax as TAX2.  Is the Additional tax only applicable to TAX2, or is it possible to use as TAX1?  Must TAX1 always be VAT?

    Here are the results:

    This looks promising.  As the tax could be a stand alone tax for a specific customer ship to address, the determination rules could be tricky.  Especially if it only applies to TAX 2.  Food for thought?  

    Thanks once again!

    Tom

  • in reply to Tom H

    Hi Tom,

    Dont forget that there is a BP tax rule field on the ship to address tab that overrides the one on the customer Financials tab.

*Community Hub is the new name for Sage City