System and method for processing tax codes by company group

Abstract

A system and method for assigning taxability codes to purchases, and processing tax invoices, by company groups. A user, identified to one of a group of companies, inputs a requisition. Tax code and tax location are identified in a front end process applicable to the object of the requisition and converted into a converted tax code and tax jurisdiction and fed to a back end processor. Responsive to converted tax code and the tax jurisdiction for the corresponding company group, the back end prepares a purchase order which is transmitted to a supplier. Responsive to an invoice from the supplier and company group and tax code indicia from the purchase order, the back end processes and selectively pays, short pays, or rejects the invoice.

What is claimed is: 
     
         1 . A system, comprising:
 a computer; and   a non-transitory computer readable storage medium storing a computer readable program code, said computer configured to execute the program code to perform a method comprising:
 determining, for a line item pertaining to purchase of a commodity or service for a user identified in a user profile to a first company group of a plurality of company groups, a first tax location and a first tax code of a plurality of tax codes, said determining the first tax location and the first tax code comprising using a process specific to the first company group, each tax code denoting the line item as being taxable, being non-taxable, or having undetermined taxability; and 
 providing, for the line item of the first company group, a tax rate based on the first tax code and the first tax location. 
   
     
     
         2 . The system of  claim 1 , wherein the program code is further executed to receive the user profile from a user login. 
     
     
         3 . The system of  claim 1 , wherein a different tax process is performed for each different one of the plurality of company groups. 
     
     
         4 . The system of  claim 3 , wherein a first tax process is performed when a user selects tax codes, a second tax process is performed when taxability is determined based on the commodity or service being purchased, and a third tax process is performed when taxability is determined based on the commodity being purchased and a location where the commodity is being shipped to. 
     
     
         5 . The system of  claim 2 , wherein the user profile comprises a company code assigned to the user and used to determine which tax process to perform. 
     
     
         6 . The system of  claim 3 , wherein the program code is further executed to process an invoice received from a supplier, wherein the invoice is processed based on the tax process performed. 
     
     
         7 . The system of  claim 1 , wherein the program code is further executed to generate a purchase order from the tax rate. 
     
     
         8 . A non-transitory machine-readable medium comprising a plurality of machine-readable instructions which when executed by one or more processors of a server are adapted to cause the server to perform a method comprising:
 determining, for a line item pertaining to purchase of a commodity or service for a user identified in a user profile to a first company group of a plurality of company groups, a first tax location and a first tax code of a plurality of tax codes, said determining the first tax location and the first tax code comprising using a process specific to the first company group, each tax code denoting the line item as being taxable, being non-taxable, or having undetermined taxability; and   providing, for the line item of the first company group, a tax rate based on the first tax code and the first tax location.   
     
     
         9 . The non-transitory machine-readable medium of  claim 8 , wherein the method further comprises receiving the user profile from a user login. 
     
     
         10 . The non-transitory machine-readable medium of  claim 8 , wherein a different tax process is performed for each different one of the plurality of company groups. 
     
     
         11 . The non-transitory machine-readable medium of  claim 10 , wherein a first tax process is performed when a user selects tax codes, a second tax process is performed when taxability is determined based on the commodity or service being purchased, and a third tax process is performed when taxability is determined based on the commodity being purchased and a location where the commodity is being shipped to. 
     
     
         12 . The non-transitory machine-readable medium of  claim 9 , wherein the user profile comprises a company code assigned to the user and used to determine which tax process to perform. 
     
     
         13 . The non-transitory machine-readable medium of  claim 10 , wherein the method further comprises processing an invoice received from a supplier, wherein the invoice is processed based on the tax process performed. 
     
     
         14 . The non-transitory machine-readable medium of  claim 8 , wherein the method further comprises generating a purchase order from the tax rate. 
     
     
         15 . A method for assigning taxability codes comprising:
 determining, by a computer, for a line item pertaining to purchase of a commodity or service for a user identified in a user profile to a first company group of a plurality of company groups, a first tax location and a first tax code of a plurality of tax codes, said determining the first tax location and the first tax code comprising using a process specific to the first company group, each tax code denoting the line item as being taxable, being non-taxable, or having undetermined taxability; and   providing, for the line item of the first company group, a tax rate based on the first tax code and the first tax location.   
     
     
         16 . The method of  claim 15 , further comprising receiving the user profile from a user login. 
     
     
         17 . The method of  claim 15 , wherein a different tax process is performed for each different one of the plurality of company groups. 
     
     
         18 . The method of  claim 17 , wherein a first tax process is performed when a user selects tax codes, a second tax process is performed when taxability is determined based on the commodity or service being purchased, and a third tax process is performed when taxability is determined based on the commodity being purchased and a location where the commodity is being shipped to. 
     
     
         19 . The method of  claim 16 , wherein the user profile comprises a company code assigned to the user and used to determine which tax process to perform, 
     
     
         20 . The method of  claim 17 , further comprising processing an invoice received from a supplier, wherein the invoice is processed based on the tax process performed. 
     
     
         21 . The method of  claim 15 , further comprising generating a purchase order from the tax rate.