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EAP: Sales/Use Tax Applicability incorrectly changes to Exempt on PO Voucher (Doc ID 1616782.1)

Last updated on SEPTEMBER 15, 2016

Applies to:

PeopleSoft Enterprise FIN Payables - Version 9.1 to 9.1 [Release 9]
Information in this document applies to any platform.

Symptoms

Sales/Use Tax Applicability incorrectly changes to 'Exempt' on a Voucher that is created from PO with Sales/Use Tax Applicability = Sales Tax Applicable.
 
This issue only occurs for Items where there is Purchasing Business Unit Attributes on the Item.

STEPS
1.  Create a PO
Vendor ID = SCM0000004
Item = 10000
Business Unit Attributes set
Ship To = US001
Sales Tax status is Applicable

Default values:
Tax Applicability: Item is Exempt
Ultimate Use Code: RESALE
Tax Code: blank

Change to:
Tax Applicability: Sales Tax Applicable
Ultimate Use Code: blank
Tax Code: NYC

Extended Amt:  22.00
SUT Code: NYC (4.25%):  0.94
Total SUT Code NYC (4.25%):  22.94

2.  Dispatch the PO

3.  Create the Voucher from the PO

4.  On the Voucher > Invoice Information > Invoice LIne Tax Information page

Sales/Use Tax Destination: US001
Sales/Use Tax Applicability: Sales Tax Applicable
Tax Code SUT: NYC
Sales Tax Pct: 4.2500
Calculated Sales Tax Amount: 0.94

5.  On the Voucher > Invoice Information page,

Populate the Sales Tax: 0.94
Change the Total from 22.00 to 22.94
 
4.  On the Voucher > Invoice Information > Invoice Line Tax Information page, check the Sales Tax Applicability again after entering the Sales Tax amount at the header level
 
Sales/Use Tax Applicability: Item is Exempt, which is wrong.  It should be Sales Tax Applicable   
Tax Code SUT: NYC
Sales Tax Pct: 4.2500
Calculated Sales Tax Amount: 0.94
 
6.  Save the Voucher

7.  Following error occurs:

Sales Tax has been entered -- at least one invoice line must be tax applicable. (7030,501)

8. Voucher is saved with Sales Tax applied

Cause

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