Mexican Tax Calculations
Mexican sales taxes are calculated for Customer Quotes and Customer Invoices for Loads where the Customer Bill To Billing Address is in Mexico.
The calculation is based on the Quote/Invoice Transportation Total value multiplied by the tax rate.
A reduction of taxes is calculated if the Customer Bill To Transportation Profile Tax Exempt field is Checked.
From TMS Admin → Configuration, create Sales Tax and Sales Tax Exclusion records to determine how and when sales taxes are calculated for Mexico.
Set the following fields to determine when Sales Taxes are calculated.
Individual Loads: Check the Load Tax Exempt field to exclude tax calculations for Quotes/Invoices.
Customer: Check the Transportation Profile Tax Exempt field to prevent tax calculations for all Loads for that customer.
Examples (based on 2019 tax rates):
Case 1
Tax Exempt on the Load is Checked.
No taxes calculated.
Case 2
Customer Bill To Billing Address in US.
No taxes calculated.
Case 3
Customer Bill To Billing Address in Mexico.
Customer Bill To Tax Exempt field is UnChecked.
VAT tax calculated: [Transportation Total * 16.000%].
Case 4
Customer Bill To Billing Address in Mexico.
Customer Bill To Tax Exempt field is UnChecked.
VAT tax calculated: [Transportation Total * 16.000%].
RET tax calculated: [-1 * Transportation Total * 4.000%].