Tax Statuses

Set up the tax statuses that you need for each tax that you create for a combination of tax regime, tax, and configuration owner.
A tax status is the taxable nature of a product in the context of a transaction and a pecific tax on the transaction. You define a tax status to group one or more tax rates hat are of the same or similar nature.
For example, one tax can have separate tax statuses for standard, zero, exemption, and educed rates. A zero rate tax status may have multiple zero rates associated with it in rder to handle different reporting requirements for zero rate usage, such as Intra EU,zero-rated products, or zero-rated exports.

You define a tax status under a tax and a configuration owner, and define all applicable ax rates and their effective periods under the tax status. The tax status controls the efaulting of values to its tax rates.

1)  Set as default Tax status:  Each tax status must have at least one default.  Tax Rules must be written to set alternate values as required.
2) Allow Tax Exemptions: With a rule based approach to setting tax exemptions, exempt transactions will be linked to an exempt tax status and rate.  Setting the "Yes" value to this configuration option will also allow a user to define a tax exemption on a transaction or directly in the party tax profile to record the exempt reason code.  This is however not required nor enforced.   Because the exemptions are primarily tracked by way of tax status/rates we suggest that you use Caution when reporting if you intend to use the tax exemption fields on the seeded reports.

Oracle Applications Fusion Cloud - Inventory

Oracle Cloud/Fusion Procurement training will help you develop the fundamental skills required to set up and use the Procurement module. This training covers all the tasks, setups, forms and reports used in Procurement and related modules