EXAM 3 -TAXES

This is referred to as a tax jurisdiction in which you collect and pay taxes. Usually per State.

To Enable Taxation Features in OneWorld Accounts and Accounts With Advanced Taxes, navigate to:

For NetSuite accounts without the Advanced Taxes feature, you must set up the following (choose atleast 3):

Once you turn on Advanced Taxes, you cannot disable it.

Each subsidiary record is associated with the nexuses in which it must pay taxes.

When Advanced Taxes is enabled, the system creates tax schedules for each tax code, and links tax control accounts to a nexus so you can more effectively manage tax postings in your ledger. Advanced Taxes is not enabled by default for OneWorld.

A subsidiary can have more than one nexus

Multiple subsidiaries cannot share a single nexus, as well as its related tax items

This feature provides management of taxes for multiple tax jurisdictions and must be enabled in OneWorld accounts.

These represent taxing authorities to whom you pay collected taxes. The system automatically creates these records when you create a tax nexus.

You cannot share a vendor tax agency with multiple subsidiaries. You CAN, however, share non tax agency vendors with multiple subsidiaries.

These are Other Current Liability Accounts that you can set up in your General Ledger to post and track tax collection and payments.

These types provide categories used to link each tax code or tax group to a tax control account. They depend upon the country selected for the tax code.

A [blank_start]tax code[blank_end] represents a tax collected from customers in a specific geographic area and paid on their behalf to a taxing authority, based on a specific percentage rate. You can create [blank_start]tax groups[blank_end] that combine taxes for all tax jurisdictions relevant to a transaction.

Allow different calculations of taxes on items, for different nexuses. When you enable the Advanced Taxes feature, the system creates these records for each tax code. These records are linked to items; Tax rates are applied according to the schedule when the item is sold in appropriate nexus.

Used to track tax reporting separately from accounting periods.

Tax Codes cannot be imported for each state (nexus) .

If you want to exempt customers from paying tax, what needs to be done?

Tax on Sales and Transactions: Taxes are done automatically and NetSuite based its tax code/nexus on the ______________________ of the item (from sales invoice).

NetSuite receives the tax table updates from:

How can you update sales tax codes for the states in which you charge sales tax?