General Ledger > Tax > Setup > Extended Tax History Maintenance

Extended Tax History Maintenance

You use this program to maintain historical tax rates for tax codes used in the USA tax system.

Using the Extended Tax History Maintenance program, you can store an unlimited number of historical rates of tax previously applied to your tax codes, which enables you to comply with statutory requirements for tax rate history.

Each time you change the current tax rate using the Browse on Extended Tax Codes program, an entry is automatically added to the table of effective tax rates, to build up a history of the tax rates previously used. Therefore, once all your historical rates to date are defined, the system maintains the historical rates for you each time you change the current tax rate in the Browse on Extended Tax Codes program.

Within SYSPRO, tax routines common to all programs which calculate USA tax use the current rate, the effective date and the previous rate defined against the tax codes (see Browse on Extended Tax Codes). If, however, the date applied to the tax calculation is prior to the effective date against the tax code, then the system checks if a previous effective rate was defined using the Extended Tax History Maintenance program. If a relevant rate is found, then that rate is applied.

Toolbar and menu

Field Description
New Select this to add a new historical tax rate.
Delete Select this to delete the entry currently displayed.
Save Select this to save the details you entered or changed.
Tax code Indicate the tax code for which you want to maintain historical tax rates.

Multiple historical rates can be defined against each tax code.
Tax Select this to use the Browse on Extended Tax Codes program to view details of extended tax codes currently defined.

Extended Tax History Maintenance

Field Description
Required fields  
Extended tax code This indicates the tax code for which you are maintaining historical rates.
Tax date

Specify the date up to which the historical tax rates for the tax code apply.

This date must be prior to the Rate effective from date defined for the current tax rate (Browse on Extended Tax Codes).
Details  
Tax rate 1 Enter the base tax percentage applicable to state taxes.
Limit 1 Enter the item value up to which the rate in the Tax rate 1 field must be applied and after which the entry in either the Value rule 1 or the Percentage rule 1 field must apply for state taxes.
Value rule 1 Enter the value of state tax that must be calculated when the value in the Limit 1 field is reached.
Percentage rule 1 Enter the percentage of state tax that must be calculated when the value in the Limit 1 field is reached.
Tax rate 2 Enter the base tax percentage applicable to county or zip code taxes. This depends on whether you are using USA tax by advanced geocodes or the USA AVP sales tax system (Tax Options).
Limit 2 Enter the item value up to which the rate in the Tax rate 2 field must be applied and after which the entry in either the Value rule 2 or the Percentage rule 2 field must apply for county or zip code taxes.
Value rule 2 Enter the value of county or zip code tax that must be calculated when the value in the Limit 2 field is reached.
Percentage rule 2 Enter the percentage of county or zip code tax that must be calculated when the value in the Limit 2 field is reached.
Tax rate 3 Enter the base tax percentage applicable to city taxes.
Limit 3 Enter the item value up to which the rate in the Tax rate 3 field must be applied and after which the entry in either the Value rule 3 or the Percentage rule 3 field must apply for city taxes.
Value rule 3 Enter the value of city tax that must be calculated when the value in the Limit 3 field is reached.
Percentage rule 3 Enter the percentage of city tax that must be calculated when the value in theLimit 3 field is reached.

Example

This example indicates how the current, previous and historical tax rates need to be defined. For simplicity, all the tax rates (i.e. state, county/zip and city) are equal.

Assume that for Tax Code CA9000100 you currently have:

Tax Current sales tax rates Effective date from Previous sales tax rates Defined in
State 9.00 01/01/2008 8.00 Browse on Extended Tax Codes
County / Zip 9.00 01/01/2008 8.00 Browse on Extended Tax Codes
City 9.00 01/01/2008 8.00 Browse on Extended Tax Codes

This means that:

  • the tax rates for taxable transactions from 1st January 2008 to date will be 9%
  • the tax rates for taxable transactions before 1st January 2008 will be 8%

You are told that the rates for Tax Code CA9000100 will change to 10% from 01/01/2009.

On 01/01/2009 you change the rates for Tax Code CA9000100 as follows:

Tax Current sales tax rates Effective date from Previous sales tax rates Defined in
State 10.00 01/01/2009 9.00 Browse on Extended Tax Codes
County / Zip 10.00 01/01/2009 9.00 Browse on Extended Tax Codes
City 10.00 01/01/2009 9.00 Browse on Extended Tax Codes

This means that:

  • the tax rate for taxable transactions from 1st January 2009 to date will be 10%
  • the tax rate for taxable transactions before 1st January 2009 will be 9%

However, the previous rate of 9% only applied from 01/01/2008 to 31/12/2008. Before that, the rate was 8%.

You therefore use the Extended Tax History Maintenance program to enter the following for Tax Code CA9000100:

Tax Tax rates Effective date up to Defined in
Tax rate 1 (State) 8.00 01/01/2008 Extended Tax History Maintenance
Tax rate 2 (County / Zip) 8.00 01/01/2008 Extended Tax History Maintenance
Tax rate 3 (City) 8.00 01/01/2008 Extended Tax History Maintenance

This means that:

  • for transactions up to (i.e. before) 01/01/2008, you want to use a tax rate of 8%.
  • for transactions from 01/01/2008 to 31/12/2008, you want to use a tax rate of 9%.
  • for transactions from (and including) 01/01/2009 onwards, you want to use a tax rate of 10%.

Once you have defined all your historical rates to date, the system maintains the historical rates for you each time you change the current tax rate in the Browse on Extended Tax Codes program.

Notes and warnings

Program access

  • This program can only be accessed if you are using the USA tax system (Tax Options)

Restrictions and limits

  • Any changes made to tax effective rates are only implemented when you exit SYSPRO.