Use Tax in Navision

Desi

I am trying to get the Use Tax functionality in Navision to work. When entering the vendor invoice, somehow field 'tax area code' is not updated, even though field 'tax liable' is updated. Any suggestions?

fb

As you have already determined, the Tax Liable flag comes from the Buy-from Vendor. However, where the Tax Area Code comes from is a rather muddled story:

• When you specify a Buy-from Vendor No., that vendor's Tax Area Code is copied to the header... but then a few code lines later, a Location Code is validated...
• When a Location Code is validated, a Tax Area Code is copied to the header -- if the Location Code is blank, then the Tax Area Code from Company Information is used; otherwise, the Tax Area Code from the Location record is used.
• However, if you happen to validate a blank into the Order Address Code field on the header, the Tax Area Code will be set back to the one on the Buy-from Vendor record... :shock:

For the Purchase Line, the Tax Area Code first comes from the Purchase Header. If, however, you change and/or re-validate the Location Code, the Tax Area Code for the line will be re-set according to the method described above for the Location Code on the header.

Desi

The vendor that I am using right now has no location code maintained which means that the tax area code from the vendor card (tab invoicing)should be defaulted, but still, no tax area code in the purchase invoice header...

fb

...if the Location Code is blank, then the Tax Area Code from Company Information is used...

Desi

and I maintained a location code in the company information card. But still it is not pulled...The field always stays blank... :oops:

fb

...I maintained a location code in the company information card...

You need to specify a "Tax Area Code" in company information...

Desi

Thanks for your help.
I got it to work now. I maintained the location code on the buy-from vendor and entered the appropriate tax area code on the location card. Even though field 'Order Address Code' is blank (we do not use them), Navision pulls the tax area code from the location and not from buy-from vendor or company information.