How do VAT rate and sales tax changes impact Medius?

The rate of value added tax (VAT) and sales tax change over time - either temporarily or permanently. A change in VAT and tax rates requires businesses to duly track and report according to the new rates as they are imposed.

The effect on MediusFlow depends on your ERP system and how you choose to accommodate the changed VAT rates. This can be done in two ways:

1. Creating new tax codes in your ERP system, or

2. Modifying existing tax codes for the duration of the adjusted VAT rates in the ERP system.

For scenario 1 - Changes in ERP will be automatically propagated to MediusFlow through the master data integration mechanisms. This usually does not require any involvement from Medius. Be sure to verify that the tax code changes are correctly reflected in MediusFlow as soon as possible.

For scenario 2 - You may need Medius' technical expertise to assist you during the transition. MediusFlow does not support time intervals for valid tax rates, so the adjustment must be closely coordinated and managed.

Either way you choose to adjust to the new conditions, we are here to help as needed. We recommend applying new changes on a QA environment before introducing changes to the production environment. If you are having trouble in transferring new tax codes or require assistance with synchronization of the modified tax codes, contact Medius Support or your Medius representative.