Entering Taxes with Jurisdiction Code 

Use

The jurisdiction code is a key which (together with the tax code) determines the tax amount and the way in which payment of the total tax amount is divided between different tax authorities. Jurisdiction codes are used in the USA and Brazil.

Jurisdiction codes are made up of multiple levels. They can have three levels, for example:

250221105

25 = State code

022 = County code

1105 = City code

Prerequisites

In order to post a document using jurisdiction codes, all state codes (highest level) in the document must have the same tax base (net or gross) and the same cash discount base.

Features

On the Additional Screen for Tax Amounts, you can choose how you want to enter the tax amounts for the jurisdiction codes. You can enter them either:

    1. For the entire jurisdiction code. This variant is the system default. If you know the total tax amount for the entire jurisdiction code, after entering the G/L account items, you enter the tax amounts for each jurisdiction code.
    2. or

    3. Individually for each state, county and city code. If you have only individual details for each state, county, and city code, you choose this variant.

When you go to enter taxes on the Tax amounts screen, you will always start by entering the area of jurisdiction (state, county or city). On the tab page Details, you can have the system display the entry screen for each state, county, and city code. Once you change amounts on this detail screen, you cannot navigate back to the entry screen for the entire jurisdiction code, but must continue entering the tax amounts per state, county, and city code.

    1. To enter taxes using variant a), choose Tax amounts and enter the tax amounts for each entire jurisdiction code. You can enter tax codes that have not already been entered for line items or change amounts that have already been specified. If you enter new tax codes, you have to specify a posting key in addition to the tax amount and tax code.
    2. Amount Tx PK Tax base amount Jurisdict.code...

      1,100.00 I9 40 1,100.00 250221105...

    3. To enter taxes using variant b), choose the Details tab page, which displays the tax data broken down by amount, tax code, posting key, tax base amount, jurisdiction code, and condition type. The entire jurisdiction code is broken down by state, county, and city.

Amount Tx PK Tax base Jurisdict.code AcctType

550.00 I9 40 1,100.00 250000000 JP1I...

330.00 I9 40 1,100.00 250220000 JP2I...

220.00 I9 40 1,100.00 250221105 JP3I...

You can then specify the tax amounts in the greatest possible detail. After you press enter, the system combines the individual tax details into the entire jurisdiction code. Once you have made entries on the detail screen, the system no longer displays the intermediate tax amounts screen, but only the detail screen.