Manage Tax, Supplier Invoice Line

Explanation

Use this activity to handle taxes in connection to a supplier invoice line. You can enter tax information directly on the supplier invoice line or work with multiple taxes in the tax lines dialog. If you enter a tax calculation structure on the invoice line, you can work with multiple taxes with different tax base amounts. Tax lines can only be entered/modified as long as the invoice is in status Preliminary. Regardless status, it is not possible to remove or enter new tax lines if tax calculation structure is entered on the invoice line. Default tax information can be retrieved by using the Set Default option.

The calculated gross, net and tax amounts are displayed in the fields at the bottom of the window.

If the Transaction Level check box is selected in thebCompany/Tax Control/Generaltab under Tax Code Validations for Supplier Tax, it is mandatory to enter a tax code on the invoice line.

Prerequisites

• A supplier invoice with at least one invoice line must exist. The tax codes to be applied must have been defined for the company used. This is done in the Tax Codes window.
• Tax setup to fetch and calculate single tax or multiple taxes with the common tax base amount:
  • To receive default tax values for the taxable scenario from the Supplier/Invoice/Tax Information tab, the tax liability must be of tax liability type Taxable and there must be a default tax code specified in Tax Code field.
  • To receive default tax values for the exempt scenario from the Supplier/Invoice/Tax Information tab, the tax liability must be of tax liability type Exempt and there must be a default tax free tax code specified in Tax Free Tax Code field.
  • To receive default tax values for the taxable scenario from the supplier address, the tax liability must be of tax liability type Taxable, the Use Supplier Address for Tax check box must be selected on the Supplier/Address/Delivery Tax Information tab and one or more tax codes must be connected to the supplier's delivery address on the Supplier/Address/Delivery Tax Information tab.
  • To receive default tax values for the taxable scenario from the company address, the tax liability must be of tax liability type Taxable, the Use Supplier Address for Tax check box must not be selected on the Supplier/Address/Delivery Tax Information and one or more tax codes must be connected to the company's delivery address on the Company/Address/Tax Information tab. Use Project Address for Tax must not be selected on the invoice.
  • To receive default tax values for the taxable scenario from the project address, the tax liability must be of tax liability type Taxable, the Use Supplier Address for Tax check box must not be selected on the Supplier/Address/Delivery Tax Information and one or more tax codes must be connected to the project delivery address on the Project/Addresses/Tax Information tab. Use Project Address for Tax must be selected on the invoice.
• Tax setup to fetch and calculate multiple taxes with different tax base amounts using tax calculation structure:
  • The tax calculation structure to be applied must have been defined for the company used. This is done in the Tax Calculation Structure window.
  • To receive default tax values for the taxable scenario from the supplier address, the tax liability must be of tax liability type Taxable, the Use Supplier Address for Tax check box must be selected on the Supplier/Address/Delivery Tax Information tab and tax calculation structure must be connected to the supplier's delivery address on the Supplier/Address/Delivery Tax Information tab.
  • To receive default tax values for the taxable scenario from the company address, the tax liability must be of tax liability type Taxable, the Use Supplier Address for Tax check box must not be selected on the Supplier/Address/Delivery Tax Information and tax calculation structure must be connected to the company's delivery address on the Company/Address/Tax Information tab. Use Project Address for Tax must not be selected on the invoice.
  • To receive default tax values for the taxable scenario from the project address, the tax liability must be of tax liability type Taxable, the Use Supplier Address for Tax check box must not be selected on the Supplier/Address/Delivery Tax Information and tax calculation structure must be connected to the project delivery address on the Project/Addresses/Tax Information tab. Use Project Address for Tax must be selected on the invoice.

System Effects

• Based on the tax specification for each invoice line, the tax amount per tax line is calculated. The summarized tax amount is calculated and displayed for each invoice line in the bottom of the dialog. The Tax Lines dialog can be reached in all scenarios with a detailed tax specification for each invoice line.
• If a single tax code is used, the Multiple Tax Lines check box is not selected and single tax code is displayed in the Tax Code column on the invoice line. If multiple taxes are used, the Multiple Tax Lines check box is selected on the invoice line. If multiple taxes with different tax bases are used, the tax calculation structure is displayed in the Tax Calculation Structure column on the invoice line.
• If multiple taxes with different tax bases are calculated, the tax base for each tax line is derived from the tax calculation structure definition and it is displayed in the Tax Base Amount column.
• Manual adjustment of the Tax Amount might be limited if you have entered values for Max Overwriting Level on Tax in Enterprise/Company/Tax Control/General tab.

Window

Manual Supplier Invoice

Manual Supplier Invoice
Preliminary Supplier Invoice
Posting Proposal

Procedure

To add, remove and/or update the tax details manually:

1. Open Manual Supplier Invoice window.
2. Query for an invoice or enter a new one.
3. In the Line Information section, select an invoice line.
4. Right-click and then click Tax Lines. The Manual Supplier Invoice Tax Lines dialog appears.
5. Review any tax lines that were created automatically. Tax lines could be transferred from the purchase order lines if invoice lines are created automatically based on purchase order receipts.
6. Enter tax line information or change or remove existing information.
   Note: If a Tax Calculation Structure is entered on the invoice line, is it only possible to change tax codes on existing tax lines. It is not possible to remove tax lines or enter new tax lines.
7. If you need to retrieve the default tax values, click Set Default.
8. Save the information.