Sales tax software for Deltek Costpoint

Usually no, and the exemption is automatic rather than applied for. Texas states that federal government entities, including the United States government, all its political subdivisions, agencies, departments and branches of the military, are exempt by law and are not required to apply for exemption. What does not go away is your evidence obligation as the seller. Texas accepts a properly completed exemption certification or a purchase voucher in the government entity's name. The forms and the fine print differ by state, so we resolve it per customer per state and hold the document against the customer record rather than against a tax code.

Not by itself, and this is worth getting a written answer on rather than assuming. The exemption belongs to the exempt buyer. A company selling to them does not inherit it. Texas makes the point directly in one place we can cite: it states that government contractors are not exempt from hotel tax, alongside city, county and other local government employees. For sales and use tax the treatment of a contractor's purchases varies by state and by how the contract is written, including whether title to the material passes to the government. We scope that state by state as part of onboarding instead of applying a blanket rule.

No, and this is the trap. Texas exempts its own state and local government, their agencies, departments, school districts and other political subdivisions by law, and then states plainly that government entities of other states are not exempt. So a state agency buying from you in its home state can be exempt while the identical purchase from another state is taxable. Multiply that across the states your contracts touch and it stops being a rule you can hold in your head. Each customer is resolved against the state on the transaction, with the supporting document stored where an auditor can find it.

No. Costpoint produces reports. Deltek's help describes the Print Sales/Value Added Tax Report screen as creating value added tax and sales and use reports, and instructs you to run the Update Tax Report Tables process first so the report tables pick up the latest billing, accounts payable and purchase order information. On the VAT side it goes as far as filling specific return lines: Deltek documents how lines 2, 8 and 9 are populated from EU country codes matched against the first two characters of each tax ID. Filling a line is not lodging a return. Commenda files across all 50 states on each state's required frequency and across 70+ countries, with amendments where a period needs correcting.

It splits your customer list, which is why we measure from transactions rather than from customer records. Deltek states that Costpoint does not recognize both Sales and VAT tax for one customer, so you must create a different customer for each taxable location, and the VAT Info subtask holds one tax ID per location with one flagged as the default. That is a reasonable design inside a cost accounting system and a bad basis for a group exposure figure. We consolidate every transaction into one ledger tagged by the state it belongs to, so a customer split three ways still produces one number per state.

No. In Costpoint a rate is something you type. Deltek's setup instruction is to establish the sales tax code on the Manage Sales or Value Added Taxes screen and enter the tax account and tax rate, then link that code to the appropriate projects. The screen supports compounded taxes, recovery percentages, and a responsible organisation per tax line, which is genuinely useful for cost accounting, and none of it updates when a jurisdiction changes its rate. Commenda maintains rates across more than 14,000 US jurisdictions and 70+ countries, so nobody on your team owns a rate table.

Often, and the rules are state-specific, which is why this belongs in diligence rather than in integration. Successor liability provisions in several states can attach an unpaid sales tax balance to the buyer of a business, and the lookback can be longer than anyone expects. We run the exposure analysis against the target's transaction history, identify the states where it had nexus and was not collecting, and price the remediation before the deal closes. Afterwards each entity sits on one dashboard with its own registrations, exposure, and filings, so the group position is visible rather than reconstructed.

Per transaction, against the state the revenue belongs to, and separately against physical presence. Economic thresholds are the easy half: most states use 100,000 dollars in sales or 200 transactions in a rolling twelve months, and California and New York use 500,000 dollars. The half that catches contractors is physical nexus, because staff working at a customer site, a site office, or equipment left in a state can create an obligation on their own. A short questionnaire covers that alongside the transaction data, and we notify you at 80% of a registration threshold rather than after you cross it.