Tax Adjustments

Form ID: (TX301000)

You can use this form to create a tax adjustment document that will adjust the required tax and taxable amounts in the Prepared tax report for the selected tax agency and selected tax reporting period. The adjustment amount will decrease or increase the amounts of the appropriate report lines as well as the amount of the report line selected as the Net Tax on the Reporting Settings (TX205100) form.

Form Toolbar

The form toolbar includes standard buttons and form-specific buttons and commands. For the list of standard buttons, see Form Toolbar and More Menu. The form-specific commands can be shown as buttons on the form toolbar, as commands on the More menu, or in both places. These commands are listed in the following table in alphabetical order.


Command	Description
Hold	Changes the status of the tax adjustment to On Hold. You click this button or command when you want to make changes to the tax adjustment or to pause its processing. This button and command are available if the document has the Balanced status.
Release	Releases the tax adjustment and generates a batch of transactions. This button and command are available if the document has the Balanced status.
Remove Hold	Changes the status of the tax adjustment from On Hold to Balanced, making it possible to release the tax adjustment. This button and command are available if the document has the On Hold status.
Reverse	Reverses the tax adjustment and creates a copy of the selected tax adjustment with the On Hold status. In the reversed tax adjustment created on the current form, the system inserts the same values with the opposite signs for the following UI elements: the Amount box in the Summary area, and the Taxable Amount and Tax Amount columns in the tax adjustment lines. For details, see Sales Tax Adjustments: To Reverse a Tax Adjustment Document.

Summary Area

In this area, you can specify the tax period, tax agency, and type for a new tax adjustment. Also, you can select an existing tax adjustment by its reference number and view its details.


Element	Description
Type	The type of tax adjustment document that can be one of the following: Adjust Input: The document that adjusts tax and taxable amounts of the tax associated with the input reporting group (the tax amount that can be claimed from the tax agency). Adjust Output: The document that adjusts tax and taxable amounts of the tax associated with the output reporting group (the tax amount that must be paid to the tax agency). For details, see Creating Sales Tax Adjustments.
Reference Nbr.	The unique identifier used for the tax adjustment. The system generates this number according to the numbering sequence assigned to the vendor bills on the Accounts Payable Preferences (AP101000) form.
Status	The status of the tax adjustment.
Tax Agency ID	The ID of the tax agency. Select a tax agency from the list of agencies available in the system. Note: Tax agencies are defined as vendors on the Vendors (AP303000) form. The list of vendors may be restricted based on the branch specified for the document. You can select a vendor whose settings permit the use of the branch selected in this document—that is, a vendor for which the Restrict Visibility To box on the Financial tab of the Vendors (AP303000) form is empty or contains the branch specified in this document (or the company or company group that contains the branch specified in this document).
Tax Period	The tax period to which the tax adjustment is posted. Only open tax periods are available for selection.
Date	The date of the tax adjustment document. The system inserts an appropriate date by default depending on the Use Financial Period End Date to Report Tax check box setting specified for the selected tax agency on the Tax Agency Settings tab of the Vendors (AP303000) form: If the Use Financial Period End Date to Report Tax check box is cleared, the end date of the tax period (that you specify on this form) is used. If the Use Financial Period End Date to Report Tax check box is selected, the end date of the last financial period covered by the tax period (that you select on this form) is used. Note that if this date is later than the end date of the selected tax period, the current system business date is used.
Description	A detailed description for the tax adjustment. An alphanumeric string of up to 60 characters may be used.
Currency	The currency of the adjustment.
Balance	A read-only box that displays the adjustment control amount, which should be equal to both the total amount and the sum of tax amounts calculated for the list.
Amount	The total amount of all taxes listed in the adjustment.

Details Tab

On this tab, you can create a list of tax details for the new tax adjustment or view the tax details of an existing tax adjustment.

The table toolbar includes only standard buttons. For the list of standard buttons, see Table Toolbar.


Column	Description
Tax ID	The tax to be affected by the adjustment.
Tax Rate	The rate used for the tax.
Taxable Amount	The amount used as a base for tax calculation.
Tax Amount	The tax amount calculated for the specified taxable amount or entered manually.
Tax Zone	The tax zone of the tax to be adjusted.
Account	The account correlated with the tax. For a tax-increasing adjustment, by default, the account is the Tax Payable account specified for the tax. For a tax-decreasing adjustment, by default, the account is the Tax Claimable account specified for the tax. You can select another account if needed. The account selected in this box should be configured as a control account for the taxes subledger. That is, for this account, TX should be selected in the Control Account Module column on the Chart of Accounts (GL202500) form. For more information on control accounts, see Control Accounts: General Information.
Sub.	The corresponding subaccount.
Description	The description of the tax adjustment reason for a particular line of the tax adjustment document.

Financial Tab

On this tab, you can take the following actions:

For a new tax adjustment, select an expense account to record the adjustment.
For an existing tax adjustment, view the batch that contains the required transactions.


Element	Description
Batch Nbr.	The number of the batch generated on the adjustment release to implement the adjustment transactions.
Branch	The branch associated with the tax adjustment.
Post Period	The financial period when the adjustment document was posted.
Adjustment Account	The expense account where the adjustment is recorded. By default, it is the tax agency vendor expense account. You can select another account if needed.
Adjustment Sub.	The corresponding subaccount.