Use this activity to create user-defined tax liability types.
A user-defined tax liability must be linked to one of the two system-defined tax liability types, which are Taxable
and
Exempt. These two types determine the nature of tax liability when they are
linked to a customer, supplier, or company. Taxable indicates that the entity is
liable for tax. Exempt indicates that the entity is not liable to pay tax.
There are no prerequisites.
As a result of this activity, reports and invoice documents will be affected by the country-specific tax liabilities.