Use Tax Calculation

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Hi:

I have created a Tax Area and have successfully personalized the purchase order to contain the Tax Group Code, Tax Area Code, Tax Liable, and Use Tax fields.

But, I do not see where to specify either a percentage or amount for calculating Use Tax. Where do I do this?

Thanks!

John

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JAngle 150 on at

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docs.microsoft.com/.../us-sales-tax

Last section about "Tax Details" I believe is where this is housed. There is a link for a setup video in the "See Also" part.

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TWBlaisdell Microsoft Employee on at

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Hi John,

Thank you for posting on the Microsoft Dynamics 365 Business Central Forum.

As mentioned in the other post related to Tax Jurisdiction setup, the Tax Details is where Tax Jurisdictions and Tax Groups are combined to establish Tax Rates.

I hope this helps.

Best Regards,

Tom

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Community Member on at

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I'm still unclear, though. I understand all of that. But, where do you put the percentage?

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Community Member on at

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Okay, I think that I figured this out by making two changes. First, I added the "TAXABLE" Tax Group to the Item Card.

Secondly, in the Tax Details, I placed the 6% in both the Tax Above Minimum and Tax Above Maximum fields. I don't know what those fields mean, other than the fact that you have to have both of them filled in, so that the 6% tax calculates in the Purchase Order.

Thank you, Josh and Thomas, for your excellent service!

John

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TWBlaisdell Microsoft Employee on at

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Hi John,

I'm glad you were able to identify the issue with the Tax Group on the Item Card. Typically, the Tax Below Maximum is the only percentage required and tax would calculate.

There are certain states that may manage taxes based on a "graduated-rate". The state may charge a certain percentage tax rate up to say $1,000.00 of sale amount and then a different percentage above 1,000.00. The configuration allows for managing the two different rates.

Please let me know if you have follow-up questions.

Thank you.

Best Regards,

Tom

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