<?xml version="1.0" encoding="utf-8"?>
<ManualTopic ID="/baanerp/tc/onlinemanual/000438" xml:lang="en">
   <Header>
      <Title>Tax registration prerequisites</Title>
      <Keyword type="header" order="d1e1157665">
         <Level1>Tax</Level1>
         <Level2>prerequisites</Level2>
      </Keyword>
   </Header>
   <GeneralSection>
      <Paragraph>Before you can set up the
		tax registration, you must define the necessary data. Which data is required
		also depends on the tax type, which can be <Link href="/baanerp/tc/glossary/glossary#000338" role="glossary">value added tax (VAT)</Link>, <Link href="/baanerp/tc/glossary/glossary#000421" role="glossary">sales tax</Link>, or <Link href="/baanerp/tc/glossary/glossary#000401" role="glossary">withholding tax</Link>.</Paragraph>
      <GeneralSection ID="general">
         <SectionTitle>Common prerequisites</SectionTitle>
         <List>
            <ListIntro>For all types of tax, you must set up or define the
			 following data:</ListIntro>
            <ListItem>In the <GUIRef href="/baanerp/tc/com/tccom0100s000" role="session">Implemented Software Components (tccom0100s000)</GUIRef> session, select the <GUIRef href="/baanerp/tc/com/tccom0100s000#tccom000.taxd" role="manual">Tax</GUIRef> check box.</ListItem>
            <ListItem>In the <GUIRef href="/baanerp/tc/mcs/tcmcs0510m000" role="session">Countries (tcmcs0510m000)</GUIRef> session, define the <Link href="/baanerp/tc/glossary/glossary#Countries_tc" role="glossary">Countries</Link>.</ListItem>
            <ListItem>In the <GUIRef href="/baanerp/tc/com/tccom0102s000" role="session">General Company Data (tccom0102s000)</GUIRef> session, the company's home country. If you
			 select the <GUIRef href="/baanerp/tc/mcs/tcmcs0110s000#tcmcs010.meec" role="manual">EU Member State</GUIRef> check box for the country in the <GUIRef href="/baanerp/tc/mcs/tcmcs0110s000" role="session">Countries (tcmcs0110s000)</GUIRef> session, LN knows that the company resides in a
			 European Union country.</ListItem>
            <ListItem>In the <GUIRef href="/baanerp/tc/com/tccom4100s000" role="session">Business Partner (tccom4100s000)</GUIRef> session, define business partners with only the
			 invoice-from and pay-to roles for the authorities to which you pay the tax or
			 social contribution. You must select the <GUIRef href="/baanerp/tc/com/tccom4100s000#tccom100.coff" role="manual">Collection Office</GUIRef> check box.</ListItem>
            <ListItem>In <GUIRef href="/baanerp/tf" role="package">Financials</GUIRef>, the ledger
			 accounts and dimensions to which LN must post the tax amounts.</ListItem>
         </List>
      </GeneralSection>
      <GeneralSection ID="VAT">
         <SectionTitle>Value added tax (VAT) and EU tax
		  prerequisites</SectionTitle>
         <List>
            <ListIntro>For value added tax including EU tax, you must set up or
			 define the following data:</ListIntro>
            <ListItem>In the <GUIRef href="/baanerp/tc/com/tccom0102s000" role="session">General Company Data (tccom0102s000)</GUIRef> session, enter your company's tax number.</ListItem>
            <ListItem>In the <GUIRef href="/baanerp/tc/com/tccom0100s000" role="session">Implemented Software Components (tccom0100s000)</GUIRef> session, select the <GUIRef href="/baanerp/tc/com/tccom0100s000#tccom000.eusl" role="manual">EU Sales Listing</GUIRef> and the <GUIRef href="/baanerp/tc/com/tccom0100s000#tccom000.eust" role="manual">EU Statistical Reporting</GUIRef> check boxes as applicable.</ListItem>
            <ListItem>For countries in the
			 European Union, select the <GUIRef href="/baanerp/tc/mcs/tcmcs0110s000#tcmcs010.meec" role="manual">EU Member State</GUIRef> check box in the <GUIRef href="/baanerp/tc/mcs/tcmcs0110s000" role="session">Countries (tcmcs0110s000)</GUIRef> session.</ListItem>
         </List>
      </GeneralSection>
      <GeneralSection ID="sales">
         <SectionTitle>Sales tax prerequisites</SectionTitle>
         <List>
            <ListIntro>For sales tax, you must set up or define the following
			 data:</ListIntro>
            <ListItem>Select the <GUIRef href="/baanerp/tc/com/tccom0000s000#tccom999.dstx" role="manual">Destination Sales Tax Applicable</GUIRef> check box in the <GUIRef href="/baanerp/tc/com/tccom0000s000" role="session">COM Parameters (tccom0000s000)</GUIRef> session.</ListItem>
            <ListItem>If you use a tax provider, follow the steps as described in <Link href="/baanerp/tc/onlinemanual/000070" role="manual">To set up the tax-provider interface</Link>.</ListItem>
            <ListItem>The <Link href="/baanerp/tc/glossary/glossary#TaxAuthor_tc" role="glossary">tax authorities</Link> in each country, in the <GUIRef href="/baanerp/tc/mcs/tcmcs1137m000" role="session">Tax Authorities (tcmcs1137m000)</GUIRef> session.</ListItem>
            <ListItem>You can optionally
			 group the tax authorities in tax authority groups which you define in the <GUIRef href="/baanerp/tc/mcs/tcmcs1140m000" role="session">Tax Authority Groups (tcmcs1140m000)</GUIRef> session.</ListItem>
            <ListItem>For destination sales
			 tax, the <Link href="/baanerp/tc/glossary/glossary#Address_tc" role="glossary">addresses</Link> of the warehouses
			 from which you ship the goods and the delivery addresses, in the <GUIRef href="/baanerp/tc/com/tccom4530m000" role="session">Addresses (tccom4530m000)</GUIRef> session.</ListItem>
            <ListItem>For destination sales
			 tax, the <Link href="/baanerp/tc/glossary/glossary#000014" role="glossary">GEO codes</Link> of the address, in
			 the <GUIRef href="/baanerp/tc/com/tccom4530m000" role="session">Addresses (tccom4530m000)</GUIRef> session. If you use a <Link href="/baanerp/tc/glossary/glossary#000013" role="glossary">tax provider</Link>, you must use
			 the tax provider to generate the GEO code of each address.</ListItem>
            <ListItem>The reasons for <Link href="/baanerp/tc/glossary/glossary#TaxExempt_tc" role="glossary">tax exemption</Link>, in the <GUIRef href="/baanerp/tc/mcs/tcmcs0105m000" role="session">Reasons (tcmcs0105m000)</GUIRef> session.</ListItem>
         </List>
      </GeneralSection>
      <GeneralSection>
         <Paragraph>Continue with <Link href="/baanerp/tc/onlinemanual/000441" role="manual">To set up tax codes by country</Link>.</Paragraph>
      </GeneralSection>
   </GeneralSection>
   <RelatedTopics>
      <SectionTitle>Related topics</SectionTitle>
      <RelTopic>
         <Link href="/baanerp/tc/onlinemanual/000031" role="manual">Setting up tax registration</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/tc/onlinemanual/000422" role="manual">Setting up withholding tax and social contributions</Link>
      </RelTopic>
   </RelatedTopics>
</ManualTopic>