A legal entity has locations and customers in multiple states within the United States.
You need to ensure that taxable customers are charged sales tax for taxable items in their delivery location.
Which three settings must you configure? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.
To ensure that taxable customers are charged sales tax for taxable items in their delivery location, you must configure the following settings: The Sales tax group on the Customer record (A), the Item Sales tax group on the Item record (C), and the Sales tax codes (E). The Sales tax group on the Customer record ensures the appropriate state or local tax code is applied based on the customer's location. The Item Sales tax group on the Item record ensures that the specific taxable items are correctly identified. Sales tax codes are necessary because they define the applicable tax rates and rules. Terms of delivery setup is not directly relevant for charging sales tax based on delivery location, so it is not needed.
It should be A,C,E
Terms of delivery setup do not associate to a sales tax group. However, item sales tax groups on the item record are critical to tax processing. if the item does not have a sales tax group taxes will never be charged. Shouldn't this be A,C,E instead of A,B,E?
ABE are correct and here is my justification. The question asks for configuration on the Customer and not of the item. This immediately rules out the Item Sales Tax Group. Answers: - A would be needed because cannot save Customer Record without Sales Tax Group. Atleast in an AU entity, A is part of the correct answer. - E is absolutely needed because that holds the %-ages for tax - B I tested and found that even if you have a different Sales Tax Group on a delivery address, it doesn't work until you associate a "terms of delivery" code with sales tax override set as "Delivery". This leads me to believe that B is also needed.
A. The Sales tax group on the Customer record (Not necesarry. Because the sales tax group will come from delivery address.) B. the Terms of delivery setup (Yes, On the terms of delivery, there's an option to select Sales tax address as "Delivery". ) C. the Item Sales tax group on the Item record (Yes, it is necesarry) D. the Sales reporting codes (No) E. the Sales tax codes (Yes) I think BCE
The answer is A C E. Taking sales orders for example, Sales tax will not calculate until sales tax group and item sales tax group are populated. Populating terms of delivery and on the customer doesn't make a difference regardless of what address type you set it up as. Tested this in the environment too and this is the case.
A C E The delivery setup is not what controls the location and thus tax code.
I would have selected B,C,E. On the terms of delivery, there's an option to select Sales tax address as "Delivery". Then choose the Advanced options on the customer address and specify the delivery tax option. That makes option B the right one, but I don't see that option A also should be used. You either use the customer sales tax group OR the delivery sales tax group. But you always need an item sales tax group to make it work.
Should be ACE, to calculate the sales tax, we must configure the Customer Sales tax group, Item sales tax group, and sales tax code. Sales tax code is configured both in customer tax group and item sales tax, in this way the logic of calculating sales tax occurs. Term of delivery has nothing to do in calculating sales tax.
B, c,e are correct as question is asking tax per customer location ,not any location of customer.
Answer should be A, C and E. Requirement is to ensure that taxable customers are charged sales tax for taxable items. For a sales tax to be calculated the basic setups that has to be configured are sales tax code, sales tax group and item sales tax group.
I think A,C,E
Sales tax can be calculated only if a sales tax group and an item sales tax group are selected for each transaction for which sales tax must be calculated or recorded. https://docs.microsoft.com/en-us/dynamics365/finance/general-ledger/tasks/set-up-sales-tax-groups-item-sales-tax-groups
Shouldn't this be A,C,E instead of A,B,E?
I think A, C, E is correct. https://learn.microsoft.com/en-us/dynamics365/finance/general-ledger/indirect-taxes-overview https://learn.microsoft.com/en-us/dynamics365/commerce/sales-tax-config
In my opinion, the key word here is "Delivery location" but the question is vague
A B E is correct. https://community.dynamics.com/ax/f/microsoft-dynamics-ax-forum/226292/sales-tax-by-delivery-address/796844
I guess the correct answer must be ABC
ABC seems correct
I think ACE is correct - on the customer record you set up default sales tax group and if you need to specify sales tax depending on delivery location, then you can go to Customer record/Addresses/click on More options/choose Advanced - there in General section is possible to set up new/other sales tax group for specify delivery location.
The sales tax group needs to be in the delivery address of the customer, the item sales tax group is also required, the terms of delivery have to be setup and sales tax codes are also required. So A, B, C and E, but A should specify the delivery address of the customer needs a sales tax group. See "Advanced" for customer addresses.
There are only 3 possible answers. It cannot be "B" as the delivery address is either contained on the customer's address or included within the Sales tax group. So B has no sense here. Correct asnwers are A,C,E
ABE is the correct answer
Why?, Reference pls
It's definetly A,C,E If your sales tax code matrix is correct, you don't care about location. It can't be answer "B".
ACE is correct
The correct answer should be A, C, E
The Sales tax group on the Customer record (A): This setting determines which sales tax group is applied to the customer, ensuring the correct tax rates are used based on the customer’s location. The Item Sales tax group on the Item record ©: This setting specifies the taxability of the item, ensuring that taxable items are correctly identified and taxed. The Sales tax codes (E): These codes define the specific tax rates and jurisdictions, ensuring that the correct tax rates are applied based on the delivery location
A, C is for sure, and B is for location taxation You can specify the terms of delivery in the following circumstances: When you set the conditions for change in ownership of the transferred products from seller to buyer. When you specify the location of taxation. In some countries or regions, tax is charged according to the tax regulations that govern the recipient. In these cases, you can include information about the location of taxation in the terms of delivery. Tax is determined based on the tax laws applicable in the state or county of the delivery address. https://learn.microsoft.com/en-us/previous-versions/dynamicsax-2012/terms-of-delivery-form?redirectedfrom=MSDN
Why Not B and D?: B. Terms of delivery setup: This setting defines delivery conditions (e.g., FOB Destination) but does not influence sales tax calculations, which are based on the delivery address and Sales tax group. D. Sales reporting codes: These are used for tax reporting and categorization, not for calculating or applying sales tax to customer transactions.