Welcome > Configure Kofax AP Agility > Manage Invoice Processing > Validation Activity configuration > Validation Activity form fields > Tax Amount 1

Tax Amount 1

This field captures all tax fields that make up the total invoice tax amount. This amount makes up part of the overall invoice Total.

For example, a combination of US Sales and Use tax and European VAT. It can also capture Canadian GST/Provincial Sales Tax amounts as well as Brazilian IPI tax amounts.

For some Canadian invoices, Provincial Sales Tax and GST are combined into a dedicated Harmonized Sales Tax field. This happens when the Extract HST Separately setting is selected in Settings > Invoice Processing > Capture Profiles > Tax Settings > Tax Configuration tab.

Since Harmonized Sales Tax is just the sum of Provincial Sales Tax and GST, if the Extract HST Separately setting is selected, the sum of Provincial Sales Tax and GST are extracted in the Harmonized Sales Tax field. Otherwise, Harmonized Sales Tax is extracted in the TaxAmount1 field.

Important Provincial Sales Tax is extracted only if the recognized vendor is identified as a Canadian vendor.

The system converts an extracted value to a valid amount. These amount settings are configured in the Settings > Invoice Processing > Capture Profiles > Amount Settings. The formatted amount is used in the validation calculation applied against all amount fields using the following formula. 

Invoice Total = Line item total + total tax + freight – discount – withholding tax – ISR Retention

If line items are not mandatory, the amount fields can also be validated with the following formula. 

Invoice Total = SubTotal + total tax + freight – discount – withholding tax – ISR Retention

Where Total Tax is the total amount of all taxes on the document. This can include Tax Amount and any other country-specific tax fields.

The total tax is set to the value of the tax amount field plus the amount captured in the Provincial Sales Tax field. Brazilian ICMS tax is not included in this calculation. The tolerance for the above calculations is set in the Settings > Invoice Processing > Global Settings > Tolerance Settings, and the system applies the tolerance based on the tolerance group linked to the invoice currency.

If line pairing is configured to execute during extraction, the system attempts to determine how the tax is stored in the downstream ERP system.

If the invoice vendor is Canadian and Provincial Sales Tax (Provincial Sales Tax/QST) is captured in the Provincial Sales Tax field, the tax amount exported is the sum of the contents of both the tax field and the Provincial Sales Tax and the Harmonized Sales Tax fields.

If the invoice is a Brazilian Note Fiscal, and ICMS tax is read from the document in the ICMS tax field, then this ICMS tax amount is also added to the total invoice tax amount that is exported.