Create a VAT on Non-Resident and automate it
I have created a transaction tax rate 11% which is going to be used in Payables Module
I want to set the below rules:
1- If the country of the supplier is not Lebanon, than this VAT is applicable
2- Type of purchasing (product; expense or Asset)
Our company paid a subscription for Yahoo.
Yahoo is a non-resident supplier based in the UK.
Purchase Invoice accounting:
Dr Expense $100
Cr Supplier $100
Dr VAT on Expenses for non-resident 11$ (or VAT on assets for non-resident)
Cr VAT on Non-Resident $11"
What setup should we make for suppliers to automate the process and how to configure this rule in taxation setup?