Tariff for Dynamics GP
Price $4200 Demo Manual
Automatically calculate and apply a tariff surcharge to Sales Transactions.
The Tariff Module provides an extensive degree of configuration to suit your needs, beginning with Scope.
- Global Scope specifies the tariff calculation at the company level and bypasses the extra setup needed to calculate tariffs based on Country of Origin, Vendor, Item and Customer level tariff options
- Detailed Scope opens the full flexibility of the module to calculate based on Country of Origin, Vendor, Item and Customer
- Custom Scope calls out to a SQL Stored Procedure where custom coding can be added to perform a calculation based on your unique requirements
There are three Tariff Calculation Methods:
- % of Value (Ad Valorem): calculates the tariff based on a percentage of the item’s Current or Standard Cost
- Specific $ per Unit (Specific): calculates tariff based on a fixed dollar amount per item
- $ per Weight (Average): calculates tariff based on a dollar amount per unit weight
- % of Extended Price: calculates tariff based on the Extended Price, which could come from standard GP pricing or Extended Pricing.
- Additive: can be set at the Vendor, Item and Customer level. This is used to address a Country Level tariff where there is also a per-item tariff based on material content (such as aluminum or steel) that is added on top of the Country Level tariff.
- Excluded
The tariff options (i.e. Method and Amount/Percent) can be set at multiple levels:
- Country of Origin
- Vendor
- Item
- Customer
Customer level settings provide the ability to exclude some customers (for example, they either refuse to accept the surcharge, or contracts do not allow it).
Item level settings provide the ability to exclude some items or specify a different calculation method. Perhaps most items should have tariff calculated by weight while some are a fixed dollar amount per unit. As mentioned above, a per-item “Additive” tariff can be set at the item level.
Vendor settings are available in the event there are certain carve outs that may exempt products from some vendors.
The the top level are the tariff settings by Country of Origin.
Tariff can also be calculated by examining the components within a made item (or kit). The “Calculate Tariff For Assemblies” options control whether the tariff is calculated on the finished good cost, or if the software reads through the exploded BOM (Manufacturing or Assembly) or Kit and calculates the tariff based on the components. For example, there may be tariff on the aluminum in a chair but the finished good cost includes labor, overheads, outsourcing, and other materials that are not subject to tariff. By using the BOM to calculate the tariff the system will calculate the total tariff for an item based on the tariff laden components within it.
The Tariff Module can use:
- Manufacturing Bill of Materials
- Assembly Bill of Materials (Inventory)
- Inventory Kits
The tariff can be added either as a line item (as shown above) or to the Miscellaneous field. When added as a line item the Trade Discount calculation is preserved so that it excludes the tariff line.
The tariff calculation is stored in a SQL table at the SOP Line level. When an Order is transferred to Invoice if the tariff calculation already exists the module will not retrieve new values, it will calculate based on the previous per-item tariff charge and the quantity transferred. For example, if the country level tariff was 80% when the order was entered but it is 120% when the order is transferred to Invoice, the tariff on the invoice will be based on the original calculation from the order.
The GL accounts on the Item, or the Miscellaneous account, can be set up as an “Applied Tariff Revenue” account to offset “Accrued Tariff Expense” recorded in purchasing.
