Payment terms decide when an invoice is due. Tax codes decide which taxes a customer pays.
Surcharges add a tariff or energy line to quotes. A customer picks its terms and up to three tax codes, so these
come before customers.

Before you start

• The currency list is filled (Lists your administrator sets up).
• If a tax code applies to one job type only (for example supply-and-install), create the job type first
  (Set up warranties and job types) or leave the code on Any and come back.
• For a surcharge on one supplier or one series, that supplier or series must exist; a surcharge on
  All products can be made now.

Steps: payment terms

1. Open Administration and Setup → OJ Setup → PRODUCT SETUP → Payment Terms and click
   New.
2. Description (the name in the customer’s Terms combo, required and unique), Reference (short code).
3. Type: Days after invoice with the Days, or Day of month (1 to 28) with
   Minimum days.
4. Tick Pay before ship for terms such as COD: an unpaid order cannot go on a shipping manifest.
5. Add pay-by lines only for early-payment discounts. Save. Make at least the terms you use most (for
   example Net 30, COD).

Steps: tax codes

1. Open OJ Setup → PRODUCT SETUP → Tax Codes and click New.
2. Description, Abbrev and Rate % (5 = 5%).
3. Sequence: which customer slot the code fills (1 = Tax 1, 2 = Tax 2, 3 = Tax 3).
4. The area: Country (must match the ship-to address), then State, County, City,
   ZIP or Any.
5. Tick what it taxes: Tax base (products), Tax shipping, Tax installation. Save.
6. Make one exempt code too: rate 0 with state Any.

Steps: surcharges (only if you charge them)

1. Open OJ Setup → PRODUCT SETUP → Surcharges and click New.
2. Name on the quote, Percent (above 0, at most 100), Valid from / Valid to,
   Applies to (All products, One supplier or One series), Taxable, Active. Save.

How a customer ends up with its taxes

• On the customer, Tax 1 lists codes with Sequence 1, Tax 2 codes with Sequence 2, and so on.
  For one sales tax, make Sequence 1 codes only; for a federal plus a state or provincial tax, make both.
• The code’s country must match the ship-to country; state, county, city and ZIP must match or be Any.
• A new quote or order copies the customer’s three codes. Changing a rate later is used wherever the code is read
  from then on; documents keep the codes they carry.
• Customers who pay no tax get the exempt code (rate 0) in their tax slots.

Check it worked

• Open a customer in Customer Service → Customer Management: the Terms combo and the
  Tax 1 / Tax 2 / Tax 3 combos (Financials pane) list your new values.
• The Payment Terms screen shows the due date an invoice dated today would get with the selected term.

Details: Payment Terms screen, Payment terms,
Tax Codes screen, Tax codes,
Surcharges.