Can someone please explain what the Tax Bus. Posting Group is and the Tax Prod. Posting Group is. They both seem to be redundent as the customer card uses Tax Liable and Tax Area Code for taxing purposes and the item card has Tax Area Code. Thanks Kathy Bunk Kellyco
Hi, Do not forget that you are living in US. Most of other countries use VAT ivstead Sales Tax. Some countries has both. This groups for VAT setup. Valentin Gvozdev BMI Inc.
Kathy Speaking from a VAT Product and Business Posting Group. The Business Posting Group is assigned to Customers/Vendors, the product to items. There is then a matrix set-up to distinguish between the two with the relevant VAT rates and the Purchase, Sales and Reverse Cahrge GL accounts. Essentially it helps set-up the system so an item that incurrs VAT to a UK customer does not incurr VAT to an EU or US (any Export) customer. However the set-up allows the system to calculate the VAT correctly depending upon the source, destination and item. I hope this helps. Steve
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Originally posted by SBWEAVER: Steve, Thank you for your response to my question. Are these posting groups required to be setup in ver. 2.6 what about companies in the US who never ship outside the US all we need is sales tax. It just seems like an awful lot of work for someone who only deals with US taxes! Thank you, Kathy Bunk Kathy Speaking from a VAT Product and Business Posting Group. The Business Posting Group is assigned to Customers/Vendors, the product to items. There is then a matrix set-up to distinguish between the two with the relevant VAT rates and the Purchase, Sales and Reverse Cahrge GL accounts. Essentially it helps set-up the system so an item that incurrs VAT to a UK customer does not incurr VAT to an EU or US (any Export) customer. However the set-up allows the system to calculate the VAT correctly depending upon the source, destination and item. I hope this helps. Steve
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Are these posting groups required to be setup in ver. 2.6 what about companies in the US who never ship outside the US all we need is sales tax.
Kathy As far as the UK is concerned the Posting Groups are mandatory (although you can have one and push everything to the same account). As for the US version I would assume they are not mandatory and that just sales tax fields can be utilised, and this is a change to that localize version, the answer is I simply do not know, as it is the US version I suppose you could set up one set of posting groups and then utilise the sales tax fields - perhaps some other US users could through some light on hoe they operate? Steve
Steven, Thank you very much for your reply. I appreciate the time you take to answer these questions.
Hi Kathy, In order to use the sales tax setup you need to have the Tax posting group setup to be blank(Tax business & Tax product posting groups) and Tax calculation type to be ‘Sales tax’. The system looks at this table first before it moves on to the Sales tax setup for further calculations and when it finds both of the groups to be blank and when you setup sales tax for blank selection, it only calculates Sales taxes. You will also notice all your customers and vendors will have blank Tax business posting group field and all your items will have blank Tax product posting group feilds. Hope this helps. Regards Kartikeya Pasumarti Datahelp Inc 520 290 8870 karthik@datahelp.com