Learn the step-by-step process to set up conditional sales tax in Microsoft Dynamics 365 Finance, ensuring compliance with international tax regulations. Perfect for MB-310 exam preparation and real-world application!
Table of Contents
Question
Adventure Works Cycles is expanding its operations internationally and must handle various tax regulations. These regulations include conditional sales tax requirements in certain regions. You need to configure Microsoft Dynamics 365 Finance to support conditional sales tax functionality for regions with this legal requirement. What configuration steps should you take?
A. Adjust the sales tax codes’ values to zero and manually apply conditional sales tax during the payment process.
B. Configure a new item sales tax group specifically for conditional sales tax and exclude it from the standard sales tax setup.
C. Disable all standard sales tax functionalities and manually track conditional sales tax liabilities outside of Dynamics 365 Finance.
D. Enable the ‘Conditional sales tax’ option in the General ledger parameters, set up the necessary sales tax codes and groups, and create ledger posting groups to support the functionality.
Answer
D. Enable the ‘Conditional sales tax’ option in the General ledger parameters, set up the necessary sales tax codes and groups, and create ledger posting groups to support the functionality.
Explanation
Option D is correct because it outlines the necessary steps to enable and support conditional sales tax within Dynamics 365 Finance. Option C is incorrect as it suggests a manual process outside of the system, which is not efficient. Option B is incorrect because it does not address the need to enable conditional sales tax in the General ledger parameters. Option A is incorrect as it does not provide a systematic approach to handle conditional sales tax.
Microsoft Dynamics 365 Finance Functional Consultant MB-310 certification exam assessment practice question and answer (Q&A) dump including multiple choice questions (MCQ) and objective type questions, with detail explanation and reference available free, helpful to pass the Microsoft Dynamics 365 Finance Functional Consultant MB-310 exam and earn Microsoft Dynamics 365 Finance Functional Consultant MB-310 certification.