What is tax event in SAP LOD-LH-TAX - SAP Localization Hub, Tax Service?

SAP Term: tax event

• Component: LOD-LH-TAX

• Component Name: SAP Localization Hub, Tax Service

• Description: A situation that results in taxation consequences for a business transaction. &EXAMPLE& The domestic purchase of goods at standard rate.

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• Key Concepts: 
  A tax event is a specific event that triggers a tax calculation in the SAP Localization Hub, Tax Service. This calculation is based on the relevant tax rules and regulations for the country or region in which the event occurs. The tax event can be triggered by a variety of activities, such as creating an invoice, making a payment, or changing the status of an order. 
  
  How to use it: 
  When a tax event occurs, the SAP Localization Hub, Tax Service will automatically calculate the applicable taxes and update the relevant records in the system. This ensures that all taxes are accurately calculated and reported in accordance with local laws and regulations. 
  
  Tips & Tricks: 
  It is important to ensure that all relevant information is entered into the system prior to triggering a tax event. This will ensure that the correct taxes are calculated and reported accurately. Additionally, it is important to regularly review and update any changes to local tax laws or regulations to ensure that all taxes are calculated correctly. 
  
  Related Information: 
  For more information on how to use the SAP Localization Hub, Tax Service, please refer to the official documentation available on the SAP website. Additionally, there are many online resources available that provide detailed information on how to use this service.