This article applies to:Connector for Workday
What is an overcharge scenario?
- If the vendor-billed amount is greater than or equal to the AvaTax-calculated amount, it's an overcharge scenario. For example: if the AvaTax-calculated tax is 10$ and the vendor-paid tax is 15$, this invoice is considered as overcharged invoice and is not posted to AvaTax.
- An overcharged invoice is not be posted to AvaTax.
- If the invoice is already present on AvaTax, it will be voided.
Perform tax calculation on the supplier invoice
You can perform tax calculation on the supplier invoice for an overcharge scenario.
- In the search bar type Create Supplier Invoice and then select the option from the pop-up list.
- Enter the mandatory details on the supplier invoice, such as: Company, Supplier, Default Tax Option, Ship To Address, purchase Item and Cost-Center / Worktags.
Imp: You must select Calculate Tax Due to Supplier option in the Default Tax Option field.
- Select the vendor-paid line item which is mapped on the Avalara Configuration page under the Purchase item to be used to enter vendor billed tax amount attribute and enter the vendor-paid tax in the extended amount.
- Click Submit. The You have submitted page is displayed.
- Click the Details and Process drop-down arrow, and then select the submitted invoice.
- Refresh the browser to change the Status from In Progress to Approved.
- Browse down the invoice and click the Tax tab to view the tax break-up.
- If the Vendor-paid tax is greater than the AvaTax-calculated tax, this is an overcharge scenario and the invoice tax break-up is displayed as following.
The Tax tab displays the vendor-paid as the Avalara_TaxRate_US_UnderAndOverCharge tax rate.