You can configure your sales incentive plan to remove taxes from revenue calculations. This helps ensure you do not pay commissions for revenue which includes taxes. Of course, if your transactions already include revenue information which excludes tax, you do not need the system to calculate taxes.
In some cases, we may ask you to provide entries within the product catalog so that we can calculate taxes. If this is necessary, we will generate system alerts to notify you.
Here are the steps to configure tax handling: - Login to your workspace
- On the left pane, click on "Plans > All Plans"
- Search for your plan
- Click on the plan row
- Click on the "Limits" tab (if needed)
- Configure tax handling options
We calculate taxes from imported transactions using the following rules.
- We first check the following:
- Is there a transaction field of type "Taxes"?
- Does this "Taxes" field have an amount (not a percentage)?
- If so, we then use this [Taxes] field
- Otherwise, we check the following:
- Is there a transaction field of type "Order Quantity"?
- Is there transaction field of type "Price / Unit" with sub-type "Taxed Amount / Unit"?
- If so, we then calculate [Order Quantity] x [Taxed Amount / Unit]
- Otherwise, we check the following:
- Can we calculate Revenue for the transaction (see details)?
- Is there a transaction field of type "Taxes"?
- Does this "Taxes" field have a percentage (not an amount)?
- If so, we then calculate [Revenue] x [Tax - %]
- Otherwise, we check the following:
- Can we calculate Revenue (see details)?
- Is there a transaction field of type "Product or Service"?
- We then lookup the product catalog for an entry providing "% Tax" information
- If not, we generate a system alert to request a catalog entry
- If so, we then calculate [Revenue] x [% Tax]
Note: values found in transactions are always converted to the workspace's default currency.
To do this, we use: - Field mappings you provided when importing transactions (ex: you indicated that a field contains currency information)
- Exchange rates you provide (or exchange rates we lookup automatically)