Head of Global Taxes

Question 1

How are input output taxes handled at your company?

Answer 1

There’s a tax procedure (USTAXJ) assigned for the US, tax codes are defined for MM/SD areas and are integrated with FI for automatic posting to tax clearing G/L Accounts, and jurisdiction codes are created for Vertex to automatically update tax rates used to calculate the amounts that post to FI through automatic account determination.

Question 2

What are some potential taxation requirement questions for inputs and outputs?

Answer 2

1) What are the current tax rates in the countries of your company codes?
2) Value added tax: Do you have non-deductible taxes?
3) How do you handle taxes on imports (tax rate, reporting requirements)?
4) How do you handle taxes on exports (tax rate, reporting requirements)?
5) Do you have companies with plants in foreign countries?
6) What are the tax reporting requirements?
7) How do you calculate taxes if there are cash discounts?
8) To which G/L accounts will taxes be posted?
9) Do you use a particular exchange rate for taxes? If so, please specify.