North America
For companies registered in the United States or Canada, TEM uses sales tax (Tax Areas) rather than VAT. The expense entry and posting screens automatically show tax-related fields instead of VAT fields based on the Business Central company's country.
Tax area auto-assignment
SmartExtract can determine the Tax Area for a domestic expense directly from the receipt. It reads the list of Tax Areas defined in Business Central and selects the one that best matches the information on the receipt, identifying the taxable and non-taxable amounts and updating the expense accordingly.
| Country | How it is triggered |
|---|---|
| United States | Enable Process Tax on Domestic Expenses in Basic Setup. SmartExtract then attempts tax-area identification on domestic expenses. |
| Canada | Automatic. SmartExtract applies the appropriate Tax Area to each expense without any additional configuration. |
This applies to domestic expenses only.
Editing and posting tax
Tax on expense lines can be reviewed, edited, and posted for North America. Finance can adjust the Tax Area or the taxable/non-taxable split on the expense record before posting - see Review expense before posting.
Related
- Reference: Localization index
- Concept: SmartExtract
- Reference: Basic Setup
- Reference: Regions