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Glossary

TermDescription
Banqup Tax ServiceAn independent tax calculation engine that determines the correct VAT/indirect tax treatment for transactions by processing invoice data in real time.
Country StoreA centralized Banqup service providing country codes, tax rate categories, tax rates, and tax ID formats for use in tax determination.
Country ISO CodesStandard identifiers for countries (ISO 3166-1 alpha-2) and, where needed, subdivisions (ISO 3166-2) used across the Banqup ecosystem.
Country trade groupsDefined memberships of countries or subdivisions in trade areas such as the EU, stored with start and end dates for tax relevance.
Custom rulesOptional user-defined rules in the tax engine to handle unique business scenarios, missing data, or reporting requirements.
Data mappingThe process of matching a company’s data fields to the API fields required by the Tax Service.
Product mappingLinking products or services to tax-relevant classifications in the tax engine to ensure product level tax content is accessed during the tax call.
Regular expressions (Regex) for tax IDsValidated formats stored in the Country Store to check whether tax IDs are correctly structured during a tax call.
Tax automationUsing software and APIs to determine, calculate, and validate tax without manual intervention.
Tax calculation or tax determinationThe automated computation of the correct VAT treatment for a transaction based on submitted data.
Tax configurationThe setup activities needed to tailor the tax engine to a company’s business model, including tax codes, product mapping, and custom rules.
Tax driversCritical fields that determine tax outcomes, such as product codes, territories, seller and buyer information etc..
Tax engineThe core logic of the Tax Service that processes data through validated tax rules and returns the correct VAT result.
Tax rates/Rate categoriesCountry-specific VAT percentages (standard, reduced, zero, etc.) maintained and updated in the Country Store with effective dates.
Tax validationConfirming the accuracy of tax already calculated on invoices before sending or processing them.
Transaction testingRunning business scenarios to verify expected tax outcomes and ensure compliance before going live.

See also