Setting Up Tax Boxes and Groups

QAD 2017 Enterprise Edition > User Guides > Global Tax Management > Implementing GTM > Setting Up Tax Boxes and Groups

Before defining tax rates, you must set up data required to support tax reporting. You do this in three steps:

1 Define tax boxes for each country in Tax Box Create (29.6.1.1.1). Tax boxes represent tax subtotal fields on tax declaration forms required for filing legal reports. Tax boxes generally are defined in pairs: one identifies the transaction amount and the other the transaction tax amount. The tax box type identifies whether it displays the base transaction amount or the tax amount.

2 Define tax groups with Tax Group Create (29.6.1.2.1) to group related tax boxes, generally one of each type.

3 Associate tax groups with tax rates in Tax Rate Maintenance (29.4.1). A different group can be specified for each type of transaction: customer invoice, customer credit note, supplier invoice, supplier credit note, absorbed invoice, absorbed credit note, retained invoice, and retained credit note.

You can then use any of the three tax declaration reports to display the tax detail:

• Tax Declaration by Box (29.6.2.1)

• Tax Declaration by Box and Group (29.6.2.2)

• Tax Declaration by Box, Daybook, Group (29.6.2.3)

Note: These reports are not formal reports that can be submitted for regulatory reporting. Rather, based on your selection criteria, they display tax box totals, which you can then use to fill out required reports.