Unit Deal Tax Options give you control over how sales tax is calculated on each unit, trade-in, and deal option in a unit deal. Tax controls appear in two places in a unit deal:
per-unit tax settings within each unit's expanded pricing detail
deal-level Tax Handling element in the left sidebar's Controls grouping
Per-Unit Tax Controls
Per-unit tax controls let you set sales tax handling for each unit and trade-in on the deal independently. These controls appear on the right-hand side of the expanded pricing detail inside the Unit Deal tab.
The initial setting of the Taxable and Applicable Tax Code are set based on the same values found on the unit record. Each unit on the deal carries its own independent Taxable setting.
To change the tax for a unit on the deal:
Navigate to the deal units Pricing Details and expand it if it is not already
Locate the Unit Tax Handling section on the right side of the view.
Toggle Taxable on or off to set whether the unit is taxable.
If taxable, select the applicable tax rate from the dropdown.
Also within the Unit Tax Handling section, a Use this tax for these items multi-select control lets you choose which taxable deal option types will be taxed in the same way as the unit. Option types not included in the selection are taxed based on how they have been defined.
The default behavior of this element is controlled by the systems tax settings found in Admin > Tax & Activity Settings > Settings as seen here:
Trade-in Tax Controls
Trade-ins have the same capability. Navigate to each trade-in's pricing detail to set whether it is taxable and which tax rate applies.
Tax Based on Customer Address (USA Only)
For USA dealerships where tax can be based on the customer's location rather than the dealership's, each unit's Unit Tax Handling controls include address toggles to switch the calculation method.
By default, sales taxes are calculated based on the dealership's address.
Enable the Billing Address toggle to calculate sales taxes based on the customer's billing address instead.
If the customer has a shipping address on file and one has been selected for the customer order, a Shipping Address toggle also appears and can be selected. Selecting this would calculate sales taxes based on the shipping address instead.
Similar tax handling controls are also found in the left sidebar:
Trade-In Tax Credit Cap
The trade-in tax credit cap is an organization-level setting that prevents the sales tax credit on a trade-in from exceeding the sales tax payable on the unit being purchased. This setting is configured under Admin > Tax & Activity Settings > Settings and not on the customer order itself.
When disabled, a trade-in sales tax credit can exceed the tax on the new unit. For example: if the new unit carries $250 in sales tax and the trade-in has a $275 tax credit, the customer receives a $25 net tax credit benefit on the deal.
But when enabled, the trade-in sales tax credit will not not exceed the sales taxes charged for the unit being sold.
This setting is not available to dealerships using Tax Included Pricing. If your organization uses tax-inclusive pricing, this option will not appear in your settings.