Inclusion settings
If you enable any of the evaluation settings, you also need to tell Determination whether to include custom authorities for consideration in tax calculations. You can configure inclusion using a combination of the following:
- System configurations and company options
- Authority options
System Configurations and Company Options
Choose from the following system configurations or company options if you want Determination to include custom authorities in tax calculations. These parameters only work if either of the corresponding evaluation settings identified above are set to Y.
Inclusion setting | Parameter | Valid value | Default value |
|---|---|---|---|
System Configurations | INCLUDE_US_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES | Y, N | Y |
System Configurations | INCLUDE_INTERNATIONAL_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES | Y, N | Y |
Company Options | Include US custom authorities past terminate processing zones | Y, N | Y |
Company Options | Include International custom authorities past terminate processing zones | Y, N | Y |
If you don't want Determination to include custom authorities above the termination zone by default, configure the inclusion settings to N. In this case, Determination relies on authority options to decide whether custom authorities should be evaluated for inclusion.
Authority Options
You can also set inclusion directly on custom authorities. You might do this for a variety of reasons, for example:
- You plan to use many custom authorities and only want to exclude a small number of them directly on the authority level.
- You want to exclude custom authorities that aren't appropriate for bottom-up processing.
The Include past terminate processing zones custom authority option controls whether custom authorities above termination zones are evaluated for inclusion in transactions. Set this on the Option tab of the Advanced Configuration page (to access, select Tax Data, Authorities then Advanced Configuration). You can set the company option to Yes, No, or Use Company Option or System Setting, and this option only works if either of the corresponding evaluation settings are set to Y.
Option setting | Transaction result |
|---|---|
Yes | Determination includes custom authorities for evaluation above the termination zone. |
No | Determination doesn't include custom authorities for evaluation above the termination zone. |
Use Company Option or System Setting | This is the default, and it directs Determination to defer to the inclusion settings in the company option or the system configuration. |
Order of precedence
The system configurations, company options, and authority option work together and have the following order of precedence:
- Custom Authority Option
- Company Inclusion Option
- System Inclusion Configuration
This order only applies if either of the following evaluation settings are Y:
- System Configurations
- EVALUATE_US_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES
- EVALUATE_INTERNATIONAL_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES
- Company Options
- Evaluate US custom authorities past zone termination
- Evaluate International custom authorities past zone termination
In this example, the Use Company Option or System Setting value for the authority option directs Determination to defer to the company inclusion option. Because the company inclusion option isn't set (NULL), Determination defers to the system inclusion configuration of Y and includes the custom authorities.
Example 1: Custom authorities included
Category | Description | Value |
|---|---|---|
Custom Authority Option | Include past terminate processing zones | Use Company Option or System Setting |
Company Option | INCLUDE_US_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES | NULL |
System Configuration | INCLUDE_US_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES | Y |
In this example above, the No setting of the custom authority option takes precedence even though the company inclusion option's set to Y. Custom authorities aren't included in this scenario.
Example 2: Custom authorities not included
Category | Description | Value |
|---|---|---|
Custom Authority Option | Include past terminate processing zones | No |
Company Option | INCLUDE_US_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES | Y |
System Configuration | INCLUDE_US_CUSTOM_AUTHORITIES_PAST_TERMINATE_PROCESSING_ZONES | N |
Related Content
-
Custom authorities associated with bottom-up / terminate zones
Format:
Article,
3 min read