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Operating in the United States and Canada

Two markets where the tax question is about a place, and two different ways a schema fails to name one.

Guides
6
Topics
2
Markets
2
Modules covered
2/10

What is different about operating here

Everything difficult about tax in these two markets comes back to a single question: which jurisdiction was this sale taxed in? In the United States the answer follows the customer — sales tax is destination-based, set by a state and usually by a county or city under it, so the rate is a property of where delivery happened rather than of where the seller sits. There is no national rate to configure, and a system that models tax as one number per country models the United States as a fiction. In Canada the jurisdiction question arrives differently: a sale can carry a federal tax and a provincial one at the same time, owed to two governments, filed on two returns, with only one of them generally recoverable by a registered buyer — so the total being right is not the same as the record being usable. These guides work through both from the schema outwards, using our own as the specimen, and the findings are unflattering: our customer record holds a latitude to seven decimal places and has no field for the state, and our documents store a blended tax rate rather than the components that were computed to produce it. We do not calculate US sales tax at all, we do not file to the CRA, we have no payroll engine for either country, and we have no reference customer in either. What is here instead is a precise account of what would have to be built, which is more useful to a buyer than a capability list.

Three things that catch teams out

Ask which record the jurisdiction lives on

Not whether tax is supported — every system supports tax. Ask which field on the customer, and which field on the sale, carries the taxing jurisdiction. If the answer is the address line, ask what happens to the addresses that do not parse, and ask to watch one fail.

A correct total is not a correct record

Where two taxes apply, each authority needs its own component. If the document stores a blended rate, those components have to be reconstructed from current settings — which works until a rate, a registration or a province changes, and then produces a confident wrong answer with nothing to indicate it. Test it by recovering last year's split without opening today's settings.

Exemption is a document, not a checkbox

A resale or exemption certificate has an issuing state, an identifier and an expiry, and it is evidence you produce under audit for a period rather than an assertion about today. A boolean on a customer record cannot carry any of that — and it is worth confirming that whatever flag exists is actually read by the tax calculation, because in our product it is not.

Every module, and where the guides are

Tax is two of these ten. AWRA OpsHub runs inventory, procurement, assets, sales, point of sale, HR and payroll, finance, projects, helpdesk and reporting as one system, and all ten work in every market — the presets below only decide what a rate field is pre-filled with. 2 of the ten have a guide written for North America; the rest point at the method guides, which hold wherever you run them.

Tax and currency presets for this region

These are the sales-tax presets AWRA OpsHub ships with, 2 of the 91 countries covered in total. They are headline national rates and a starting point for configuration — reduced, zero-rated and exempt categories still need setting up against your own chart of accounts, and rates change with each finance act.

Market Currency Tax Standard rate
United States USD US Dollar SALES 7%
Canada CAD Canadian Dollar GST 5%

6 North America guides

Grouped into 2 topics, newest first within each.

Accounting Insights

3

Implementation & Rollout

3

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