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Set up currency thresholds for low value goods transactions

Transactions assigned a transaction type of LV and that occur in Australia, the EU, New Zealand and the United Kingdom are treated for tax purposes as low value goods.
The threshold comparison functionality works for invoices that have a transaction type of LV at the document or line level. The LV transaction type can be passed as input data from the source system or it can be assigned by a TransEditor.
For transactions with the LV transaction type, the transactional currency's compared with the currencies maintained on the
LVG thresholds
 tab. If a matching currency's found, the gross amount of all the lines in an invoice with the LV transaction type get aggregated and compared with the currency threshold setup.
These actions get performed as an outcome of the comparison:
  • If the total gross amount's less than or equal to the currency threshold, the LV transaction type is retained.
  • If the total gross amount's greater than the currency threshold, the LV transaction type is changed to GS (Goods).
If the transactional currency doesn't match any of the currencies set up on the
LVG thresholds
 tab, but the same gets provided with an exchange rate, then the translated currency's compared with the currencies on the
LVG thresholds
 tab. If a matching currency is found, the comparison and resulting actions previously described get performed. No action's performed if there's no matching currency.

This article applies to:

  • Product: ONESOURCE Determination, ONESOURCE Indirect Tax

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