How to Turn off Tax Calculation for an AR Transaction Type

• Do the following to stop the tax calculation for specific transaction type.
• Go to Tax Manager >> Advanced Setup Options >> Tax Determining Factor Sets Click on Create >> Enter name
• Determining Factor Class >> select Transaction Generic Classification
• Determining Factor Name >> Select Transaction Type
• Click Apply.
• Go to Tax Condition Sets and click on create
• Give a name and select the factor set you have just defined
• Click next
• Select the relevant transaction type in the Value From field and apply.
• This completes the factor and condition sets setup.
• Go to Tax Configuration >> Tax Rules Page
• Give Operating Unit as the Configuration Owner and query the regime.
• For the Rule Type "Determine Applicability", click on the "Guided Rule Entry" Button.
• Give a rule name, start date and click next.
• Select the condition set and factor set you have defined and select Result as 'Not Applicable'.
• Then give rule Order and enable the rule and click finish.
• This rule will imply the following
• If Transaction Type = '.......', then the tax is not applicable;
• So if you use this transaction type, the tax should not get calculated.