About Tax Groups

Tax groups specify the authorities that tax the goods you purchase from vendors, and determine the specific classification for a tax, such as which rate is applied or whether you are tax-exempt.

You assign a tax group to each vendor record with other tax information, such as tax numbers and whether tax is usually included in invoice amounts. This information appears by default when you enter an invoice from the vendor.

If you need to change tax rates or amounts for a document, you can assign a different tax group or you can change the tax class or tax included settings, as follows:

• On the A/P Invoice Entry screen, you change the settings on the Taxes tab.
• On the A/P Recurring Payables screen, you change the settings on the Tax/Totals tab.

If you are calculating tax automatically for a document, you can change the tax settings for individual distribution lines on the Detail Accounts/Taxes screen.

To open the Detail Accounts/Taxes screen, on the Invoice Entry Document tab, select (highlight) the distribution line on the table, and then click the Account/Tax button or press the F9 key.

Note: To change tax rates for a tax authority, you use the Tax Services screens in Common Services.

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