Organizations often face challenges when managing taxes. Common issues include
dependency on external tax vendors for simple scenarios, extra licensing and per-transaction
costs, performance overhead from external API calls, and regulatory or data residency
constraints. These challenges make tax management more complex and costly than necessary. The
revenue standard tax engine addresses these issues by enabling internal tax calculation and
storage for predictable tax structures. By handling simple tax scenarios internally,
organizations can streamline their Revenue Management processes.
Required Editions
You can use multiple tax engines at the same time. Configure some legal entities to use
the revenue standard tax engine for simple tax rates, while others use external tax providers
for complex jurisdictions.
- Configure Tax Rates
Use the Revenue Standard Tax Engine to calculate taxes natively in Revenue Management. Define tax rates and use the built-in decision table to determine applicable taxes for products.
- Understand How Revenue Management Determines and Applies Tax Rates
When you use the Revenue Standard Tax Engine, Revenue Management calculates taxes for transactions by matching the transaction record field values to the configured tax rates. These values include the shipping address, product code, legal entity, and currency ISO code. You can also match custom tax rate fields. Revenue Management uses the Revenue Standard Tax Entries decision table, or a cloned decision table that you associate with the tax engine, to perform this matching.
- Revenue Standard Tax Engine Example
Explore an example that shows how the Standard Tax Engine applies multiple tax rates to an invoice based on location, currency, and product criteria.
- Extend Your Revenue Standard Tax Engine
Apply tax rates based on custom attributes, such as product category, customer attributes, or exemption criteria, without writing Apex code. Use a custom metadata type to map billing transaction fields to a cloned Revenue Standard Tax Entries decision table, and persist matched values on invoice and credit memo tax lines.
- Create a Tax Engine
Create a tax engine record that Billing uses to calculate tax. Set the type to Revenue Standard Tax Engine. When you extend the Revenue Standard Tax Engine, associate a custom metadata type and a decision table.
