Oracle Cloud Tax updated for Release 11
Fusion Tax Release 11 Updates
Below is a high level overview of the new functionality available for the Oracle Cloud tax engine. As you can see, there are quite a few changes.
Estimated Tax on Sales Order now possible.
Create a rule using tax determinant which includes transaction business category = Sales Transaction
Create a UD.
Enhanced Rapid Implementation Spreadsheets:
Data related to tax rules moved from tax config workbook to tax implementation workbook.
The following worksheets are new in the implementation workbook:
- Tax Exemptions: Create tax exemption configuration for third parties and third-party sites.
- Party Classifications: Associate party fiscal classifications with the parties.
- Tax Reporting Codes: Create tax reporting codes and tax reporting types for downstream use in tax reports.
- Tax Payer Identifiers: Define specific taxpayer identifiers for third parties and third-party sites for purposes of reporting.
- Product Fiscal Classifications: Create product fiscal classifications for subsequent use in tax rules having a product inventory linked determining factor class.
- Tax Rules: Define rules that look for a result for a specific tax determination process, such as determining place of supply or tax registration, in relation to a tax on a transaction.
Tax registrations have moved out of party tax profiles task. Now have their own task lists of:
- Manage Tax Registrations: Use this task to create or edit details related to Tax Registrations, Withholding Tax Registrations, and Taxpayer Identifiers.
- Manage Tax Exemptions: Use this task to create or edit details related to Tax Exemptions and Withholding Tax Exemptions.
Now able to default Tax Classification Codes from Supplier/Customer account and site levels.
On the Defaults and Controls section, a new attribute: Tax classification code is added. You can set a value for this attribute; the value is used as a default for transactions based on the hierarchy specified within the setup for Application Tax Options. When the hierarchy within the Application Tax Options is set for supplier or supplier site (for payables and/or purchasing), customer or customer site (for receivables and/or project billing), this value is used as a default on the transaction, provided there are no migrated values available for party account site.
Ad hoc adjustments removed at rate level:
The following options are removed at the Tax Rate level to simplify the process:
- Allow Ad Hoc Tax Rate
- Adjustment for Ad Hoc Tax Amounts
You can now override the tax rate percentage on a transaction without any specific restrictions. Any change to the calculated tax amount will always adjust the taxable basis of the transaction line.
Control of Calculation errors:
The new check box Show tax calculation errors on transactions is available on the Configuration Owner Tax Options page. With this option you can display or hide calculation related errors on your transactions.
New Payables Tax Reconciliation with General Ledger Report
Use the new Payables Tax Reconciliation with General Ledger Report to reconcile the Payables tax transactions with the tax account balances in General Ledger. You can also simplify the reconciliation process by running the report for a specific Journal Entry Source, Ledger, Legal entity or General Ledger account.