Reading of Tax Codes in maestro*
OBJECTIVE
Maestro* lets you manage an unlimited number of tax calculation methods within the Define Tax Code Usage option. With this option, you can define formulas for setting default tax codes and for calculating taxes.
PREREQUISITEs
- Tax Code Table
- Define Tax Code Usage, if applicable
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If an exemption code is entered in Supplier Management or in Customer Management, none of the following rules are applicable. Tax codes entered manually during the creation of a transaction have priority. As soon as a change is made concerning a client, supplier, delivery address, or any other element, maestro* re-reads the tax codes relative to the formulas and overwrites the tax codes previously entered. |
APPLICATION
You can select or view the tax formulas in the options listed in this document.
If formulas have been created in Define Tax Code Usage, the tax screen may be divided into two sections:
Top section: formulas created in Define Tax Code Usage;
Bottom section: tax codes from Tax Code Table.
There are two methods for viewing the tax codes by clicking in the Taxes 1 or Taxes 2 columns (also identified as TX):
- By using search (F7) or by clicking the search button (...) to the right of the Taxes column.
The tax codes displayed as search results are from the options Tax Code Table and Define Tax Code Usage. If applicable, they are based on the module and transaction type defined in the formula;
- By positioning the cursor in the Taxes column and looking in the status bar at the bottom of the screen. Information regarding taxes or the applicable formula will be displayed (Rate, Account and Recoverable %).
By default, maestro* displays the tax codes based on the reading priority explained below. As soon as a tax code is found, based on the reading priority for taxes, maestro* applies the tax code to the transaction. However, users can change these values by manually selecting a tax code or tax formula to be applied using the search function.
Summary
- Billing module
- Purchasing module
- Payroll module
A. Billing module
The Billingmodule applies to the following types of transactions: Enter a Sale, Concrete Tickets, Contractual Billing, Point of Sale Invoicing and Service Management Invoicing.
1. Transaction Type: Sale
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The tax formula applies to the Enter a Sale option (except for the Concrete Ticket type) and Release Holdback. |
Reading of taxes by order of priority:
- Formula defined in Define Tax Code Usage by using the type of transaction in Sale;
If a formula is created using the Zip Code or Province, maestro* applies the formula to the Zip Code or Province of the delivery address before that of the customer.
- Catalogue Items (only applies to Sale);
- Customer Management;
- Taxes entered manually.
2. Transaction Type: Concrete Tickets
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If you select the Concrete Tickets transaction type, the tax formula applies to the following options; Enter a Sale (for Concrete Tickets type), Advanced Concrete Ticket Invoicing and Ticket Invoicing - Concrete. |
Reading of taxes by order of priority:
- Formula defined in Define Tax Code Usage by using the type of transaction in Concrete Tickets;
- Customer Management;
- Configuration of Concrete Tickets;
- Taxes entered manually.
3. Transaction Type: Contractual Billing
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If you select the Contractual Billing transaction type, the tax formula applies to the following options |
a. Contract Invoicing and Release Holdback
Reading of taxes by order of priority:
- Item Management (only applies to Contract Invoicing);
- Formula defined in Define Tax Code Usage by using the type of transaction in Contractual Billing;
If a formula is created using the Zip Code or Province, maestro* applies the formula to the Zip Code or Province of the delivery address before that of the customer.
- Customer Management;
- Taxes entered manually.
b. Prepare Progress Billing, Cost Plus Invoicing and Release Holdback
Reading of taxes by order of priority:
- Formula defined in Define Tax Code Usage by using the type of transaction in Contractual Billing;
If a formula is created using the Zip Code or Province, maestro* applies the formula to the Zip Code or Province of the Progress Billing Contracts address before that of the customer.
- Customer Management;
- Taxes entered manually.
4. Transaction Type: Invoicing of Customer Orders
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If you select the Invoicing of Customer Orders transaction type, the tax formula applies to customer orders and rental orders. |
a. Customer Orders, Shipping, Rental Order and Shipping of Equipment Rental
Taxes are calculated based on the order (Customer Order and / or Rental Order).
Reading taxes by order of priority:
- Formula defined in Define Tax Code Usage if the transaction type is Invoicing of Customer Orders;
- Catalogue Management;
- Define Customer Addresses;
- Customer Management;
- Taxes entered manually.
b. Invoice Customer Orders and Invoice Rental Orders
Taxes are calculated based on the order (Customer Order and / or Rental Order).
For items added to the Extras on Invoicing tab, maestro* applies the following priority:
- Formula defined in Define Tax Code Usage if the transaction type is Invoicing of Customer Orders;
- Customer Management;
- Taxes entered manually.
5. Invoicing and Combined Invoicing (Service Calls module)
Reading of taxes for Invoicing or Combined Invoicing by priority:
- Formula defined in Define Tax Code Usage if the transaction type is Service Call Invoicing.
If a formula is created using the Zip Code or Province, maestro* applies the Zip Code formula or province of the work address for Contract Management before that of the customer.
- Taxes entered manually in items to be invoiced;
- Taxes defined in Define Materials in the service calls module or taxes defined in the Catalog Management for equipment to be invoiced;
- Customer Management;
- Taxes defined in Configuration of the Service Calls module;
- Taxes entered manually in Invoicing.
B. Purchasing module
The types of transaction applicable to Purchasing module are: Project Purchase and Purchase Order Invoicing.
1. Transaction Type: Project Purchase
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If you select the Project Purchase transaction type, the tax formula applies to the following options: Project Purchase, Batch Project Purchase and Supplier Invoice Reconciliation. |
Reading of taxes by order of priority:
- Formula is defined in Define Tax Code Usage by using the type of transaction in Project Purchase;
If a formula is created using the Zip Code or Province, maestro* applies the formula to the Zip Code or Province of the project before that of the supplier.
- Supplier Management;
- Taxes entered manually.
2. Transaction Type: Order Management Invoicing
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If you select the Order Management Invoicing transaction type, the tax formula applies to the Purchase Order Management, Subcontract Management, Stock Order from Catalogue and Receipt of Goods options. |
a. Purchase Order Management
Reading of taxes by order of priority:
- Formula is defined in Define Tax Code Usage by using the type of transaction in Project Purchase;
- Supplier Management;
- Taxes entered manually.
b. Subcontract Management
Reading of taxes by order of priority:
- Items Management (Purchasing module);
Under one exception, maestro* assigns priority to taxes in Items Management until a value is changed (e.g. project, supplier), and then maestro* must re-read the taxes.
- Formula defined in Define Tax Code Usage by using the type of transaction in Invoicing on Order;
- Supplier Management;
- Taxes entered manually.
c. Catalogue Orders and Receipt of Goods
Reading of taxes in Purchasing by order of priority:
If items are added in Receipt of Goods, the reading of the tax codes is done according to the following priorities and is based on the supplier indicated on the order, and not on the receipt of goods.
Catalogue orders created from Work Order options (when transferred), Client Orders or purchase plans have the same reading priority as stock order from Catalogue.
- Formula defined in Define Tax Code Usage by using the type of transaction in Invoicing on Order;
- Catalogue Management;
- Define Supplier Addresses;
- Supplier Management;
- Taxes entered manually.
d. Purchase Order Invoicing
Taxes are calculated based on the order (Stock Order from Catalogue or Receipt of Goods (for items added), Purchase Order Management or Subcontract Management).
For items added in the Extras on Invoicing tab, maestro* applies the following priorities:
- Formula defined in Define Tax Code Usage if the transaction type is Invoicing on Order;
- Define Supplier Addresses;
- Supplier Management;
- Taxes entered manually.
C. Payroll module
1. Time Management
It’s possible to enter bonuses in the various hours entry options in maestro*. Expense and Bonus can be configured to calculate taxes.
Taxes will be calculated when hours are entered or transferred for hours from other modules. They will be calculated based on the priority below and included on the List of Project Transactions report or through the List Generator. Taxes will be posted when Payroll Reconciliation is run if the transfer of hours is Balanced. Otherwise, taxes will be calculated on bonuses when the payroll is calculated.
a. Enter Hours, Time Sheets, Enter Work Orders, Distribute Hours and Return From a Service Call (Service Management)
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Taxes are calculated for hours transferred from other modules to Time Management (Work Orders and Service Management) when transactions are transferred based on the priority below. |
Reading of taxes by priority:
- Formula defined in Define Tax Code Usage if the transaction type is Bonus Code;
- Define Earning/Deduction Codes.
See also
- Project Purchase
- Supplier Management
- Enter a Sale
- Customer Management
- Advanced Concrete Ticket Invoicing
- Ticket Invoicing - Concrete
- Catalogue Items
- Define Earning/Deduction Codes
- Customer Orders
- Shipping
- Invoice Customer Orders