Sabrix INTEGraTiON FOr SAP SOLUTiONs

The Sabrix Integration for SAP seamlessly connects the Sabrix Application Suite to SAP R/3, mySAP CRM and mySAP mobile client applications providing a complete, consolidated, transaction tax management solution for customers that require the determination, calculation and reporting of U.S. sales and use tax, Canadian VAT/ GST, and other international value-added taxes. For U.S. and Canadian tax, it is an SAP Certified integration.

Java Runtime Environment

SAP Solutions

Sabrix Integration for SAP

(Basic USA/Canada Version)

The Sabrix Application Suite Sabrix Tax Research

Compliance & Audit Database

THE SABRIX INtEGRAtION FOR SAP The Sabrix Integration for SAP connects to the SAP Standard Tax Interface and passes specific, predefined transaction data from SAP to Sabrix. Sabrix then determines and calculates all applicable transaction taxes, stores detailed tax and transaction information in the Sabrix Solution Audit and Compliance Database and returns the tax results back to SAP for placement in the appropriate SAP application. SABRIX INTEGRATION ARCHItECtURE The Sabrix Integration for SAP is a Java application that creates and transmits a simple XML structure over standard HTTP protocols. Sabrix utilizes Java technology combined with Sabrixs XML integration layer to connect with R/3, CRM, and Mobile Client utilizing SAPs Java Connector (JCo). The unique design of the Sabrix Integration for SAP provides support for SAP R/3, mySAP CRM, and mySAP mobile client, all with one Sabrix interface solution and code base. This design reduces IT investments and maintenance costs significantly. The Sabrix Integration for SAP is a Java application which is deployed in a Java virtual machine, delivering a flexible and scalable integration architecture. If desired, several instances of the Sabrix Integration for SAP can be started in parallel allowing load balancing in heavy transaction environments. The Sabrix Integration for SAP maps data between the SAP provided RFC structures and the Sabrix Solution XML structures. The Sabrix Integration for SAP is a data transport mechanism only and contains no embedded tax or calculation logic. In addition, no special tax or calculation logic is required
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SAPs Standard Tax Interface calls Sabrix whenever transaction tax determination is required by the following applications: Sales and Distribution Financials Materials Management Master Address Maintenance

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Sabrix Integration for SAP Solutions

within SAP. All tax and calculation logic capabilities reside within the Sabrix Solution which is easily configured by the tax professional through Sabrixs powerful and intuitive user interface. With Sabrix, tax professionals can manage the entire transaction tax environment without custom programming and IT department involvement. SABRIX TAX DEtERMINAtION Sabrix automatically determines tax based upon the attributes of a transaction, requiring no manual tax decisions during transaction processing. Capable of utilizing numerous additional data elements in the automatic determination of transaction tax, the Sabrix Solution considers both the standard SAP provided tax data elements and any additional, customer unique transaction data elements required to correctly determine tax. This dynamic determination based on multiple data element values enables the concept of multivariate precision that is available only with Sabrix. Additional data elements, often necessary for the accurate tax determination and reporting on complex transactions including consumers use tax on purchase transactions, can be mapped to Sabrix from SAP. The Sabrix Integration can pass from SAP to the Sabrix Solution, up to 44 additional line-level data elements beyond the standard SAP provided data elements. Order Processing Tax Determination During order processing, tax determination is triggered by the sales order business process. Sabrix tax calculation is performed on a per document basis for all order document types from inquiry to order including returns, reversals and other special processes. In SAP CRM, there are two different ways of calculating taxes, depending on whether the billing is performed in R/3 or directly in CRM. Sabrix supports both of these methods. Billing-A/R Tax Determination Billing in SAP is the business event of turning a delivery or order document into an invoice, followed by the posting of the amounts to accounting. Sabrix is called at each step in the invoicing process to determine tax which is then passed back to SAP. Tax amounts and transaction detail are written to the Sabrix Audit and Compliance Database at the time of posting to FI-A/R. Sabrix tax calculation is available for all SAP billing types including invoice and reversals. Purchasing Tax Determination The processing of purchase orders occurs in SAPs Material Management (MM) module. Sabrix tax calculation is available for all purchase order types throughout the purchase order business process from RFQ to PO. Sabrix calculates and returns to SAP, the correct tax for each line on a purchase order.

 We were looking to extend the tax determination power of SAP . We wanted to use a simple system, a single set of rules that the tax department could control not IT and not the end user to make sure that our tax liability was accurate.
Dennis Culin Director of Business Transformation Lenovo

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Sabrix Integration for SAP Solutions

Logistics Invoice Verification-A/P The processing of payables transactions is done in SAPs Material Management (MM) module. When vendor invoices are received and processed, SAPs Standard Tax Interface calls the Sabrix Integration and invoice data is passed to the Sabrix Solution. Sabrix determines and returns the correct tax to SAP for comparison to the invoice tax amount. Should the invoice tax amount provided by the vendor, differ from the tax returned by Sabrix, appropriate action is taken to resolve the situation. Accruals are then mapped to the G/L from within SAP and detailed tax and transaction reporting is available from the Sabrix Solution centralized Audit and Compliance Database. Address Jurisdiction Determination SAP requires that all address records contain a tax jurisdiction code. SAP calls Sabrix whenever an address is added or updated in SAPs Address Master. Sabrix utilizes SAP provided address information to determine and return the required tax jurisdiction code. Implementing Sabrix Integration for SAP The Sabrix Integration for SAP is designed for rapid implementation. Once the Sabrix Application Suite is installed and SAP Application is configured as outlined by SAP, the Sabrix Integration for SAP on can be installed and connection between SAPs Standard Tax Interface and the Sabrix Application Suite is achieved in less than 1 day. At the completion of basic implementation, standard U.S. Sales and Use Tax, and Canadian VAT/GST* calculation is fully functioning between SAP and the Sabrix Solution. This is possible not only due to the unique design of the Sabrix Integration for SAP, but, also because the Sabrix Solution, as delivered, is a fully functioning enterprise tax application capable of determining, calculating and recording standard sales, use and value added taxes. To enable the international tax transaction capabilities of the Sabrix Integration for SAP, some configuration and enhancements must occur to enable each country for which Sabrix will calculate tax transactions.

saLEs cONTacT

sales@sabrix.com P. 1.866.4SABRIX Sabrix part of Thomson Reuters 12647 Alcosta Blvd, Ste. 155 San Ramon, CA. 94583-5180 USA

*Sabrix provides true Canadian VAT/GST determination. Sabrix does not treat Canada as a 51st U.S. state.

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