Creating Sales Tax Exception Groups

Tax exception groups identify products that are taxed outside the normal tax rules for selected customers. You can assign an exception group to a product, group of products, price line, customer, or group of customers.

For a tax exception to apply, you need to:

Define the group and the locations to which it applies.
Assign the group to the customer purchasing the product.
Assign the group to the product or price line being purchased.

Defining a Tax Exception Group

Use the Tax Exception Group Maintenance screen to define a tax exception group and the locations to which it applies.

To create a tax exception group:

From the Files > Tax, Duty & Exchange menu, select Tax Exception Group Maintenance to display the Tax Exception Group Maintenance screen.
In the Exception Group ID field, enter a new tax exception group code.
In the Zip Codes/Geocodes/States field, enter the zip codes, geocodes, or states to which you want the exception group to apply. If left blank, the tax exception group applies to all locations. When entering states, type a forward slash (/) followed by the state abbreviation. For example, for Colorado, type /CO.

Use the following hot keys as needed:

Hot Key	Function
Add Zip/Geocodes	Searches for codes. Enter a city and state on the Zip Code Search screen to display the corresponding list of zip codes. Edit the list as needed, and then press Esc to use the list.
Copy	Copies the locations defined for the currently displayed tax exception group to a new tax exception group.
Delete	Deletes the currently displayed tax exception group.
Override Tax Jurs	Displays the Override Geocode Tax Jurs screen, where you can override the geocode applied to tax jurisdictions. For more information, see Overriding Geocodes for Tax Jurisdictions.

Press Esc to exit the screen.

Using the Override Geocode and Customers Exempt Fields

The Override Geocode and Customers Exempt fields are not always used.

Geocodes are only used if your company has the National Sales Tax Database companion product. If you do not have the companion product, leave the Override Geocode field blank. Use this field to assign the tax exception group to a reduced rate geocode.

To create a tax exception group associated with a reduced tax rate tax jurisdiction:

From the Files > Tax, Duty & Exchange menu, select Tax Exception Group Maintenance to display the Tax Exception Group Maintenance screen.
In the Exception Group ID field, enter a new tax exception group code.
In the Override Geocode field, assign the geocode associated with the reduced tax rate.

The Customers Exempt field lets you apply a tax exception group to all customers in the locations for which it is defined. If the tax exemption has expired, then the exception is not added to the header screen in an order.

To assign a tax exception group to all customers:

From the Files > Tax, Duty & Exchange menu, select Tax Exception Group Maintenance to display the Tax Exception Group Maintenance screen.
Display an exception group.
In the Customers Exempt field, enter a Y.

Note: If the tax exemption has expired, then the exception is not added to the header screen in an order.

In the Zip Codes/Geocodes/States field, enter the locations to which the tax exception group applies. If left blank, the tax exception group applies to all locations. When entering states, type a forward slash (/) followed by the state abbreviation. For example, for Colorado type /CO.