Sales Tax Overrides

A Sales Tax Override may be applied to a line item based on Customer Classification, Product Classification, and the State and Adjustment Codes that default based on the sales tax hierarchy. Each Override can optionally be set up with a user-defined message that displays when a product with that exception is selected on an Invoice. If there are multiple exceptions that apply to a line item, the appropriate exception must be selected. Sales Tax Overrides are set up at Setup / A/R / Sales Tax Overrides.

Choose Add Row to add a new override. The Cust Class, Prod Class, Def State Code, and Def Adj Code may be used as criteria to apply a specific code, rate, or exemption override to a customer Invoice. For the override to be applied, the customer, product, or location must meet the criteria selected on the Override screen. The override may apply to all customers or all products by not specifying a Customer or Product Classification. When applying a Sales Tax Override, the sales tax hierarchy is still followed.

If the option of Default is selected in the State Code or Adj Code columns along with a selected exemption, the resulting Invoice displays the codes based on the sales tax hierarchy and applies the Sales Tax Exemption. This is helpful for reporting tax exempt sales under a tax code.