Getting Started with E-Business Tax - Northern Ohio OAUGnooaug.communities.oaug.org/.../EBusinessTaxForNOOAUG.pdf · Getting Started with E-Business Tax ... •Oracle E-Business Tax:

NOOAUG Quarterly Meeting

December 2013

Barbara Derks, Financial Solutions Architect

Getting Started with E-Business Tax

Functional Overview and Strategies for Adoption

2 © 2009 Oracle Corporation – Proprietary and Confidential

The following is intended to outline our general

product direction. It is intended for information

purposes only, and may not be incorporated into

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material, code, or functionality, and should not be

relied upon in making purchasing decision. The

development, release, and timing of any features

or functionality described for Oracle’s products

remains at the sole discretion of Oracle.

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Agenda

• E-Business Tax Overview – What is eBusiness Tax?

– Features and Benefits

• Integration with EBS Modules

• Partner Integration

• E-Business Tax Adoption Scenarios

• Additional Resources



Agenda







Copyright © 2013, Oracle and/or its affiliates. All rights reserved. 5

What is E-Business Tax? Manage Global Tax Challenge

Centralized Global Tax Engine Within An ERP

Rules-Based Global Tax Engine

Centralized controls

Common Configuration For Sharing Setups

Integration with Major Tax Vendors in US

Seeded Setup Libraries

Tax Simulator

Fully Supported Upgrade

Internal Use Only

Tax

Regimes

Place of

Supply /

Taxation

Applicability

& Registration Status

&

Rates

Taxable

Basis

Tax

Calculation

Recovery

Rate

Projects Receivables Inventory

Purchasing Payables

Tax Values

4P’s

Determining

Factors

eBusiness Tax Rule Engine

Party

Place

Product

Process


Note: The above data examples were introduced just to illustrate the business flow and do not represent the complete tax setup for the country

US Sales and

Use Tax

State Sales Tax CA – State Sales

Standard 7.25% 0%

US Sales and

Use Tax

State Sales Tax PA – State Sales

Standard 6.0% 0%

…

Tax

Regime Tax

Tax

Status

Tax

Rate

Operating

Unit Tax

Accounts

Tax

Jurisdiction

Recovery

Rate

Flow

Optional Flow

How Are Taxes Defined?


Tax Manager Home Page


Regime to Rate Flow


Sample Tax Rule


E-Business Tax Seeded Data (CLIC) To Tackle Global Tax Challenge

Seeded Content

Configuration Library of Implementation Content (CLIC)

+

+


E-Business Tax Advance Tax Capabilities To Tackle Global Tax Challenge

Tax Simulator

Powerful user interface tool to simulate Tax Calculation, based on “what-if” scenarios.

Gives flexibility to test new and / or changed tax rules.

Can assist in auditing Tax Rules and confirm if a particular tax is being applied appropriately.

Provides quick way to simulate transactions with fewer validations for what-if scenarios

Please Note: It emulates transactions, but does not trigger actual transactions


E-Business Tax Advance Tax Capabilities To Tackle Global Tax Challenge

Tax Simulator


E-Business Tax Tax Reporting

Centralized Tax Reporting

BI Publisher



Agenda








• Oracle Purchasing

• Oracle Internet Procurement

• Consigned Inventory

• Oracle Internet Expenses

• Oracle Payables

• Oracle Order Capture/iStore/Quoting

• Oracle Order Management

• Oracle Trade Management

• Oracle Services Contracts

• Oracle Project Accounting

• Oracle Receivables

• Oracle Inter-company Invoicing

• Oracle General Ledger

Procure to Pay

Order to Cash

Inter-company Invoicing

General Ledger

Where Can EB Tax Be Used?


Where is EB Tax Not Used?

Functionality not migrated to Oracle E-Business Tax:

• Latin Tax Engine

• Payables Withholdings

• Payables Extended Withholdings (Latin America)

• Brazilian Withholding Tax Calendar

Functionality not available in Oracle E-Business Tax:

• Payroll Taxes (Oracle Payroll)

• Property Taxes (Oracle Assets)


What About Localizations?

• Separate Tax engine

• India Localization

• Latin America Localization

• Extend E-Business Tax

• China Golden Tax Adaptor

• EMEA Localizations

• Asia Localizations

19

R11i Functionality in Release 12.1+

• Setup is centralized in E-Business Tax application

• Two new responsibilities to access E-Business Tax:

• “Tax Manager”

• “Tax Administrator”

• 11i Tax Codes have become “Tax Classification Codes”

• System options – Payables Options – Financial Options

have been centralized to “Defaults & Controls “

• Tax groups have been replaced by “Tax Rules”


E-Business Tax Commitment To Existing Customers

Supported upgrade From 11i to Release 12.1

21


Agenda

• E-Business Tax Overview

• What is eBusiness Tax?

• Features and Benefits






E-Business Tax Release 12.1 Validated Integrations : Additional Flexibility For Oracle’s Customers

For more information on Oracle Validated Integrations from these partners and others please visit:

oracle.com/partners/goto/validate

Validated Sales & Use Tax Partner Solutions (Only For US)

Vertex

ADP

CCH

Sabrix (Thomson Reuters)


E-Business Tax Partner Integration Scenarios

Partner Integration

Seamless and flexible integration using subscription model

US Sales Tax & Global Taxes, including VAT, calculated by E-Business Tax with

User defined tax rates

US Sales Tax Calculated by E-Business Tax with rates provided by Oracle validated tax partners

US Sales tax calculated by Oracle Validated Partner Tax Solution


Oracle eBusiness Tax

Tax Services Request Manager

Services

Tax

Content

Services

Tax

Determination

Services

Tax

Administration

Services

Partner

Tax Content

Interface

Content

Repository

Record

Repository

Partner

Tax Services

Interface

Tax Partner Tax Content Tax Services

eBusiness Suite

Transaction Tax Data Transaction Data

Oracle eBusiness Tax Partner Integration Overview

Partner

Integration


E-Business Tax Partner Integration Scenarios Understanding Key Concepts

How are customers typically using Partner Integration?

US Scenarios

• Simple rules, many jurisdictions, many rate changes

Use Partner for tax content (rates)

• Complex rules, insufficient manpower / expertise to maintain

Use Partner for tax content and services with EB Tax

Structure

• Simple rules, few jurisdictions

Use EB Tax for content and services (no partner)

Outside US Scenario

• Simple rules, few jurisdictions

Use EB Tax for content and services (no partner)



Agenda







27

• Upgrade

• Standard migration from Release 11i to Release 12

• Migration requires no manual effort, completely automated

• 11i tax functionality supported out of the box

• Upgrade + New Features

• Minimum setup changes

• Allows enhanced E-BTax functionality (moving to fresh

implementation)

• Can be tailored based on business needs

• Fresh Implementation

• Fully utilizing E-BTax functionality and features

© 2009 Oracle Corporation – Proprietary and Confidential

Upgrade Versus Fresh Implementation Stages Of Implementation From 11i To R12


Tax Calculation Methods Rule Based (Available for Upgrade or Fresh Implementation)

Taxes, Rules

Determine

Regimes

Taxable

Basis

Calculate Tax

Amount

Applicable

Taxes

Single Interface for Transactions

Transparent Integration with Tax Partner Services

Payables

Receivables

Purchasing

Sales Orders

Parties

Places

Product

Process

Tax Status &

Rate


Tax Calculation Methods

Direct Rate Determination (Upgrade only)

Taxes, Rules

Determine Regimes Taxable

Basis

Calculate Tax

Amount

Applicable Taxes

Single Interface for Transactions

Transparent Integration with Tax Partner Services

Parties

Places

Product

Process

Tax Status & Rate

Direct Rate Determination

Tax Classification Code

Purchasing

Payables

Receivables

Sales Orders

30


Agenda

• E-Business Tax Overview

• What is eBusiness Tax?

• Features and Benefits






Pre-defined Setups

Doc ID 463001.1


E-Business Tax Upload Capabilitities

Upload User Tax Content

Ability to upload Custom Tax Rates and Geography File For US

Doc ID 1072665.1


For More Information

• E-Business Tax Community https://communities.oracle.com/portal/server.pt/community/e-business_tax/232

https://communities.oracle.com/portal/server.pt/community/e-business_tax/232





Tax Partners:

• Oracle E-Business Tax: Vertex Q-Series and Taxware Sales / Use

Tax System Implementation Guide - Release 12

• Note 761438.1, Using Vertex Q Series and Troubleshooting the

Integration with R12 eBTax.

• Note 806575.1, Using Taxware and Troubleshooting the Integration

with R12 eBTax

• http://www.oracle.com/us/partnerships/solutions/index.html#currentval

Localizations:

• Note 811483.1, Oracle Golden Tax Adaptor for Mainland China

Release Notes, Release 12.1.1

• Note 784692.1, Troubleshooting Latin America Tax Release 12 Tax

Calculation Issues

• Note 472055.1, India Localization uptake of E-Business Tax in R12

http://www.oracle.com/us/partnerships/solutions/index.html



Upgrade:

• Oracle Financials and Oracle Procurement Functional Upgrade

Guide: Release 11i to Release 12

• Note 810443.1, Overview of the E-Business Tax R12 Upgrade for

Order to Cash (Important Pre-Upgrade Patches to Consider)

• Note 1062897.1, Case Study: How to Switch From an Upgraded

Tax Regime to a New Tax Regime - Canada HST example

• Note 256.1, Upgrade Advisor: Oracle E-Business Suite Financials

Upgrade from 11.5.10.2 to 12.1.2

Tax Reporting:

• Oracle E-Business Tax Reporting Guide

• Note 737320.1, Troubleshooting R12 E-Business Tax (EBTax)

Reporting Issues



• Note 1117544.1 E-Business Tax (EBTax) Information Center

• Note 735991.1, Implementing and Using Tax Recovery in

Release 12 E-Business Tax

• Note 885225.1, White Paper on Setting Up Tax Accounting

• Note 554492.1, White Paper on Setting Up Geography

Hierarchy And Address Validation in Release 12

• Note 1072665.1, How to Load a custom rate file in R12 E-

Business Tax

• Note 780989.1, R12: Upgrade Versus Reimplementation

(Financials)

• Note 463001.1, E-Business Tax Seed Data

• Note 215.1, E-Business Tax News

• Note 216.1, E-Business Tax News – Archived Issues

The above reflects Oracle’s current development plans which are subject to change at any time

Q U E S T I O N S

A N S W E R S

Getting Started with E-Business Tax - Northern Ohio OAUGnooaug.communities.oaug.org/.../EBusinessTaxForNOOAUG.pdf · Getting Started with E-Business Tax ... •Oracle E-Business Tax:

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