Oracle Fusion Tax: Tax Registration Options
Tax Registration Options
Every legal entity needs to have its reporting registration options set, just like with Oracle R12.
Option |
Description |
Impact |
---|---|---|
Tax Regime |
Enter the tax regime for this registration. This is a mandatory value in order to set up your Tax Registration. We also advise that you set a separate Tax Regime for each tax registration number you may have. If you are using duplicate registration numbers then you need to set the Tax too, however, leave this blank if you don’t care about duplicate tax registration numbers. |
The tax regime and optionally and tax are used to determine the correct tax registration at transaction and reporting time. |
Registration Type |
If applicable, select a classification of the tax registration. Its not mandatory but always a good idea to put one in in case a seeded report requires this information now or in the future. |
The predefined tax registration types are specified by the tax authority. The tax registration types are for reporting purposes only. |
Registration Number |
Enter the company tax registration number assigned by the tax authority – So go ask your tax department for this number. This is the tax number, not the company number! If you set the tax regime option to use the legal registration number as the tax registration number, then select the registration number from the legal registration numbers in the list of values. If you set the Allow duplicate tax registration numbers option for the tax, then multiple parties and party sites can use the same tax registration number for this tax. |
Oracle Fusion Tax validates the number according to tax authority validation rules, if the validation exists for that country. This means that you need to get the format correct or it may not be accepted, so remove spaces or dashes if needed. |
Registration Status |
Enter the party’s tax registration status. Oracle Fusion Tax provides these predefined registration statuses:
|
Use the tax registration status as a determining factor in tax rules. This values can be added to and used in tax rules |
Source |
Identify if this party is:
|
If the source is Explicit the tax registration number is required. If the source is Implicit the tax registration number is not required. |
Rounding Rule |
The rule that defines how the rounding should be performed on a value involved in a taxable transaction. For example, up to the next highest value, down to the next lowest value, or nearest. We also suggest that you set the rounding rules at the regime level and do not allow rounding override. |
At transaction time, the values set at the tax registration level override the values set at the party tax profile level. |
Set as self-assessment (reverse charge) |
Set to automatically self-assess taxes on procure-to-pay transactions. A self-assessed tax is a tax calculated and remitted for a transaction, where tax was not levied by the supplier but is deemed as due and therefore, needs to be paid by the purchaser. If you set your solution up correctly then we suggest you set this to yes by default even if you don’t currently use Self-Assement! |
You can set the self-assessment option at the tax profile level to default to the tax registrations that you create for this party. You can also set it at the tax registration level or on an individual tax line. Oracle Fusion Tax applies self-assessment to Payable invoices received by the first party according to the tax registration setting. The specific tax registration record is derived either from the Determine Tax Registration rules or from the default tax registration. |
Set Invoice Values as Tax Inclusive |
Our recommendation is not to use this but if you select this because your party intends to send or receive invoices with invoice line amount inclusive of the tax amount you can use this option or for better control, use rules. |
At transaction time, the values set at the tax registration level override the values set at the party tax profile level. In addition, this option at the tax registration level overrides the tax inclusive handling setting at the tax level, but not at the tax rate level. |
Collecting Tax Authorityand Reporting Tax Authority |
Enter the name of the tax authorities for:
|