Configure NetSuite SuiteTax

The NetSuite Connector for Emburse Professional integrates with the NetSuite SuiteTax module. The integration imports your organization’s tax profiles, called nexuses in NetSuite, and applicable tax codes into Emburse Professional. Users can select a tax profile on their expense reports and tax amounts will be calculated automatically, based on the expense amount, date of the expense, and category selected. Emburse Professional then exports the tax amounts to NetSuite.

As an administrator, you can configure the SuiteTax integration, activate imported tax profiles and tax codes, and define optional tax reclaim rules. This article also explains how tax amounts appear during expense submission and approval.

Prerequisites

Before you configure SuiteTax, confirm the following requirements:

• You have administrator access to Emburse Professional.
• Your organization uses the NetSuite Connector for Emburse Professional.
• Your organization uses the NetSuite SuiteTax module.
• The required nexuses and tax codes are configured in NetSuite.

Enable Tax Code Import

1. From the Emburse Professional home page, open Configuration and select Emburse NetSuite Integration.

2. Select Settings.

3. On the Expenses tab, turn on the Use NetSuite SuiteTaxes toggle.
4. In the Taxable Regions field, select the countries or regions where users report taxes.

You will associate each taxable region with a currency when you configure its tax profile in Emburse.

5. Select the Review tab.
6. Select Check Your Configuration.

7. After the configuration check finishes, select Save and Close.

A sync begins and retrieves your organization’s tax profiles and tax codes from NetSuite.

8. After the sync finishes, open the Schedule tab.
9. Select Import Now.

The import adds the tax profiles and tax codes to Emburse Professional.

Configure Tax Profiles and Codes

After the import finishes, the Tax Profiles tab displays in the NetSuite integration settings.

The tax profile table includes the following information:

• Status: Indicates whether the tax profile is available to users. Active means that users can select the tax profile when the corresponding currency applies. Needs Review means that the tax profile requires additional configuration and is not visible to users.
• Tax Profile: Identifies the tax jurisdiction. A tax profile can represent a province, region, or country. NetSuite refers to tax profiles as nexuses.
• Applicable Taxes: Lists the tax codes available for expenses that use the tax profile. Tax codes import directly from NetSuite.
• Currency: Determines when the tax profile is available to users. The tax profile appears only when the user selects the associated expense currency.

1. To activate a tax profile, select Edit.

2. Select the currency that applies to the tax profile.

The currency is required and determines when the tax profile appears to users.

3. For each applicable tax code, add an Effective Date.
4. Enter the tax code Rate.

• Effective Date: Determines whether the tax field appears on an expense line based on the expense date. If the expense date is earlier than the tax code’s first effective date, the tax code does not appear.
• Rate: Controls the automatic tax calculation. Emburse Professional uses the expense amount and the configured tax rate to perform a reverse calculation.

5. Configure at least one tax code for the tax profile.
6. Select Save.

The tax profile status changes from Needs Review to Active. The tax profile is now available for applicable expenses.

7. Repeat the configuration process for each tax profile that users need for expense reporting.

Assign a currency, tax rate, and effective date to each applicable tax code. Administrators can add effective dates when tax rates change.

Configure Tax Reclaim Rules

Government regulations can limit the portion of an expense’s tax amount that an organization can claim. For example, the Canadian government allows organizations to claim 50% of GST/HST tax amounts on meal and entertainment expenses.

Reclamation rules allow Emburse Professional to calculate the full tax amount for an expense while exporting only the reclaimable portion to NetSuite. Reclamation rules are optional and are not required to activate a tax profile.

1. Open the applicable Tax Profile.

2. Under the applicable Tax Code, select Reclamation Rules.

3. In the Categories field, select the expense categories to which the rule applies.
4. Enter the Reclaim Percentage.
5. Enter the Effective Date.
6. Select Add.

7. Select Back to return to the tax profile drawer.

8. Select Save.

Submit Expenses With Tax Amounts

Users see tax options when they submit expenses that use a currency associated with an active tax profile.

In the following example, at least one tax profile uses Canadian dollars. The Tax Profile dropdown menu appears when the user selects Canadian dollars as the expense currency.

After the user selects a Tax Profile, the associated tax fields display on the expense.

In this example, Emburse Professional automatically calculates a GST amount of 5.00 based on the following information:

• Expense Date: Determines which effective tax rate applies.
• Currency: Determines which tax profiles are available.
• Amount: Provides the full expense amount used in the reverse calculation.
• Tax Profile: Determines which tax codes apply.
• Tax Rate: Uses the 5% rate associated with the AB_GST tax code.

Emburse Professional calculates the Tax Amount by using a reverse calculation based on the full expense amount. The user enters the amount shown on the receipt, including taxes.

If the user changes the expense amount, Emburse Professional recalculates the tax amount. The tax amount also recalculates when the user changes the expense date, currency, or tax profile.

Users can manually adjust the tax amounts when necessary.

After the user saves the expense, the tax amounts appear in the Details column of the expense report.

If the expense category uses a reclamation rule, a Reclaim Amount displays below the Tax Amount. The user is reimbursed for the full expense amount, including all taxes. Only the reclaim amount is exported to NetSuite because it represents the tax amount that the organization can claim.

If an expense uses a category without a reclamation rule, only the tax amount appears in the Details column.

Approve Expenses With Tax Amounts

Approvers and accountants see tax amounts in the Details column when they review expense reports.

Approvers who have permission to edit expenses during approval can adjust the tax amounts when necessary.