Proposal summary
The proposal covers tax changes in the sales webapp and NetSuite based on whether the customer type is residential or commercial.
Requirement
Our government has made a tax change concerning solarpanels. For residentieel projects the tax has been reduced to 0% but for commercial projects it stays at 21%.
So depending on the type of customer the tax on several items changes.
Our Government has finally made it official and starting on the 1th of January the taxes on solar panels and the items / labour needed to place these solar panels will have tax rate 0%. But only for residential use. So for company’s is remains 21%. Not all items that we sell are essential for placing solar panels and therefore on these (upsell items) the tax rate will not be 0% but remain 21%.
So the differentiation to determine the tax rate is not only if the customer is residential but also if the item is a necessary item for placing solar panels.
This also means that in some quotes and invoices you will get a certain amount that has 0% Tax and a certain amount that has 21% tax.
Our Solution
1)Set customer type during lead creation from salesweb app
We will create new fields in the lead page of the sales web app for inputting the customer type. So while creating the leads from saleswebapp, the sales rep should input the value for this type(Whether Individual or Company) hereafter. And during the lead creation it is mandatory to set the customer type by the sales rep.
We assumes that we can differentiate the type of customer as follows.
- If the type is Individual it is considered as Residential customer and
- If the type is Company it is considered as Commercial customer.
Salesreps can also update the value of customer type from the salesweb app at any time which will be reflected in NetSuite. The changes from the NetSuite on the lead record also, will be reflected to salesweb app.
2) Quote updates on salesweb app
2.1)During the creation and updation of the quote form salesweb app, the tax will be displayed in saleswebapp and NetSuite as follows.
Not all items that we sell are essential for placing solar panels and therefore on these (upsell items) the tax rate will not be 0% but remain 21%.
- For commercial customer, the essential and upsell items are always 21%.
- If the customer type is commercial, the tax will be hardcoded and calculated based on 21% for all items.
- The tax amount will be passed from sales web app to NetSuite.
- For residential customer, upsell items are 21% and the essential items are 0%.
- If the customer type is residential – For the essential items the tax will be calculated based on 0%
- If the customer type is residential – For the upsell items the tax will be calculated based on 21%
- Additions are only the upsell items.
- Client will also flag the items in NetSuite by marking it is “additional item “
The tax amount will be passed from sales web app to NetSuite.
2.2) We will Remove the highlighted container and its value from the quote of saleswebapp.
3) Quote Print
Following changes will be done in the print.
Change 1
We would like to add text to the quote below the Opbrengst calculation. (See screenshot green container)
Text:
Ondergenoemde besparing is afhankelijk van meerdere factoren derhalve kunnen er geen rechten aan ontleend worden.
The text should be the same lettertype as the rest but smaller than the text above and below.
Change 2 / 3
Delete the pink container with text. Please stretch the blue container to fill the empty space.
Delete the text in the blue container that is shown in the green container.
Change 4
Change the text Inclusief BTW (see green container) to:
Totaal
Assumptions
Proposal is prepared based on following assumptions:
- Salesrep can update the customer type from the saleswebapp through lead form. For the existing leads, some of them are created as individual and some of them are company. We assumes that, no further changes required for the existing leads/customers in NetSuite in the customer type.
- Tax percentage and the tax code will be hardcoding in the saleswebapp based on customer type. We are not dynamically fetching the percentage/tax item from NetSuite.
- Tax percentage will be either 0% or 21%
- Tax code needs to be confirmed for 0% or 21%. We can use either the existing tax code in NetSuite with 21% and 0%. Could you please suggest us to which tax code is to be considered? OR we will create new tax codes for 21% and 0%. Please confirm.
From client:
These are the correct ones: - 0% – Verkopen en inkopen binnenland
- 21% – Verkopen en Inkopen Hoog
- The changes will be initially implemented in SB and then move to production
Risks
- Tax percentages and tax codes are hardcoding in the saleswebapp based on customer type.