---
schema_version: "1"
id: ac3fe06336e454794696057d3c9205f37a5e09a3987d2c9daf1352c13bb9b4c2
title: Create a Tax Engine Provider and Tax Engine
collection: admin
version: current
locale: en-us
portal_url: https://docs.salesforce.com/admin/current/en-us/ind/264-0-0/billing_tax_engine_and_engine_providers_create.md
canonical_url: https://help.salesforce.com/s/articleView?id=ind.billing_tax_engine_and_engine_providers_create.htm&release=264.0.0&type=5
source_site: help.salesforce.com
content_type: documentation
content_hash: a3e51fb97db52588d1a53a04d07fb9a2cf1ed69573dcbae2937a7c8f15209e88
description: If you use a partner app or your own engine, create a tax engine provider and a tax engine.
products:
  - Revenue Cloud
release: "264"
---
# Create a Tax Engine Provider and Tax Engine

If you use a partner app or your own engine, create a tax engine provider and a tax engine.

### Required Editions

<table class="slds-table slds-table_bordered slds-max-medium-table_stacked slds-m-bottom_small edition"><colgroup><col></colgroup><tbody><tr class=""><td class="slds-cell-wrap" style="vertical-align:top;">Available in: Lightning Experience</td></tr><tr class=""><td class="slds-cell-wrap" style="vertical-align:top;">Available in: <strong>Enterprise</strong>, <strong>Unlimited</strong>, and <strong>Developer</strong> Editions with <a href="https://help.salesforce.com/s/articleView?id=ind.revenue_licenses_areas_and_features.htm&amp;release=264.0.0&amp;type=5">the Revenue Cloud Advanced license or the Revenue Cloud Billing license</a></td></tr></tbody></table>

<table class="slds-table slds-table_bordered slds-max-medium-table_stacked slds-m-bottom_small permission">
        <colgroup>
          <col style="width:50%">
          <col style="width:50%">
        </colgroup>
        <thead class="slds-text-title_caps ">
          <tr class="">
            <th scope="colgroup" class="slds-cell-wrap" colspan="2" style="text-align:center;vertical-align:top;" id="d116380e72">User Permissions
              Needed</th>
          </tr>
        </thead>
        <tbody>
          <tr class="">
            <td data-label="User Permissions Needed" class="slds-cell-wrap" style="vertical-align:top;" headers="d116380e72 ">To create tax engine providers and tax engines:</td>

            <td class="slds-cell-wrap" style="vertical-align:top;" headers="d116380e72 ">Tax Admin permission set</td>

          </tr>
        </tbody>
      </table>

Make sure that you [complete the prerequisites](https://help.salesforce.com/s/articleView?id=ind.billing_tax_configuration_prerequisites.htm&release=264.0.0&type=5 "If you want to calculate taxes by using your own tax engine or by integrating the Billing TaxEngineAdapter Apex interface with a partner app, complete these prerequisites.") before you create a tax engine provider and tax engine.

## Create a Tax Engine Provider

Create a tax engine provider to store information about the Apex adapter class that manages communication with the tax engine.

1. From the App Launcher, find and select **Tax Engine Providers**.
2. Click **New**.
3. Enter a label and API name for the tax engine provider.
4. Select the ID of the Apex adapter that you want the tax engine provider to use.
    
    If you use your own tax engine, select the [custom tax adapter](https://help.salesforce.com/s/articleView?id=ind.billing_tax_configuration_prerequisites.htm&release=264.0.0&type=5) that you configured.
    
    ![Note](https://sf-zdocs-cdn-prod.zoominsoftware.com/tdta-ind-revenue-264-0-0-production-enus/91ca99c6-d5c8-4986-b961-c6b7801e0d0d/images/icon_note.png)
    
    Note Select a unique Apex adapter for each tax engine provider.
5. If you have [extended tax callouts](https://help.salesforce.com/s/articleView?id=ind.billing_custom_metadata_types_configure.htm&release=264.0.0&type=5 "Create a custom metadata type to house your field mappings. These field mappings are required for all the additional fields you want to include in your tax callouts. Associate your custom metadata type with your tax engine provider so it's aware of the fields used in the request and response."), enter the API name of the custom metadata type you created.
6. Save your changes.

## Create a Tax Engine

Create a tax engine record that Billing uses to calculate tax. Include the tax engine provider, named credential, seller code, and address.

1. From the App Launcher, find and select **Tax Engines**.
2. Click **New**.
3. Enter a name for the tax engine.
4. Select the type as **Revenue Cloud Tax Extension**.
5. Select the tax engine provider.
6. Select the named credential that you created to authenticate the tax engine.
7. Enter the seller code of the tax provider.
8. Enter the address of the tax provider.
9. Select the status as **Active**.
    
    You can use only active tax engines to calculate taxes.
10. To capture taxes at the header level, select **Capture Taxes At Header**.
    
    The Capture Taxes At Header checkbox appears only when **Credit, Payment, and Refund Application Level** is **Header Level**. See [Capture Taxes at Header Level](https://help.salesforce.com/s/articleView?id=ind.billing_setup_header_tax_enable.htm&release=264.0.0&type=5 "Use a single consolidated tax amount at the invoice header level for invoices and credit memos.").
11. Save your changes.

Create [tax policies and treatments](https://help.salesforce.com/s/articleView?id=ind.billing_tax_policies_and_treatments_create.htm&release=264.0.0&type=5 "Create tax policies and their treatments to define the tax calculation for your invoices."). If the tax treatment is taxable, select this tax engine on the tax treatment. Then assign the tax policy to the relevant products. When Billing calculates tax for an order product, it uses the tax engine on the product’s tax treatment.

![Note](https://sf-zdocs-cdn-prod.zoominsoftware.com/tdta-ind-revenue-264-0-0-production-enus/91ca99c6-d5c8-4986-b961-c6b7801e0d0d/images/icon_note.png)

Note Make sure that your tax engine supports tax calculation for credits used for negative invoice lines and credit memos. If the tax engine doesn’t support credits, Billing can’t process negative invoice lines and invoice void operations fail.