January 22, 2004
FOR IMMEDIATE RELEASE
Ryan & Company Develops Use Tax Automation Solution for Baan-Vertex.
Dallas, Texas — Ryan & Company, America's largest independent
provider of state and local tax services, recently announced that it has
implemented a use tax automation solution for Baan-Vertex that successfully
overcomes the limitations of the standard Baan-Vertex tax interface. The
solution addresses the problems of accruing use tax on purchases and divergent
use items and updating use tax accruals to the Vertex Tax Register. Ryan
& Company successfully installed the Baan-Vertex tax solution at Lufkin
Industries, Inc., an internationally known firm that manufactures oilfield
equipment for global customers, gear drives for industrial applications,
and highway vans, flatbeds, and dump trailers.
The Problem
The standard Baan-Vertex integration has limited purchasing functionality
and lacks goods movement functionality. Standard tax integration facilitates
tax calculations on Sales and Services Invoices, however:
- although tax calculations are performed, tax accrual data does not update to the Vertex Tax Register for purchase invoices.
- tax calculations for inventory items occur at time of purchase only, not at time of requisition or use.
- tax decisions are made by purchasing personnel and/or invoice entry personnel and are not controlled by tax professionals.
The Solution
Enhancing the standard Baan-Vertex integration enabled a unique solution
for purchasing expense and inventory items. This solution was achieved without
customization to the Baan standard source code. With these enhancements:
- a multi-level hierarchy handles expense item options for quick selection.
- expense item hierarchy structure includes item description and use, requiring no tax decision.
- tax is verified at invoice entry, and applicable use tax is accrued based on the item and how it is used.
- inventory movements are examined and tax is accrued based on the item and how it is used.
- all tax accruals are updated to the Vertex Tax Register and to the appropriate Baan general ledger account for use tax accruals.
- implementation includes reconciliation reports, documentation, and system testing.
The Benefits
Tailoring the solution to each client's purchasing requirements and business
processes ensures a delivered solution that maximizes the benefits of the
solution. Some of these benefits include:
- tax decisions are made by tax professionals through the configuration of the system, and not by purchasing agents or accounts payable processors.
- tax accruals can be calculated on inventory items when first used in a taxable manner.
- the client receives a flexible solution based on business rules that are unique to them.
- an audit trail and management reporting capability are provided on transactions subject to tax.
- the TAX2000 file includes use tax accruals, facilitating the automatic creation of use tax returns.
- this solution compliments the existing Baan to Vertex functionality and extends the benefit of the Vertex software investment.
Ryan & Company and Lufkin Industries introduced the Baan-Vertex tax automation
solution at the recent Baan World Users 2003 Fall Workshop held in Charlotte,
North Carolina October 7-10.
About Ryan & Company
Ryan & Company is America's largest independent state and local tax consulting
firm. Headquartered in Dallas, Texas, the firm provides a comprehensive
range of state and local tax services on a multistate basis, including audit
defense, tax recovery, tax decision automation, dispute resolution, and
strategic planning. With more than 325 professionals and associates in 13
locations throughout the United States, Ryan & Company serves many of the
world's most prominent Fortune 1000 companies.
PRESS INFORMATION CONTACT:
G. Brint Ryan
Ryan & Company, Inc.
972.934.0022
brint.ryan@ryanco.com
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