The VAT Rate per Dimension setup in Business Central lets you control VAT rates based on dimension values. By enabling a standard managing dimension, you decide which dimension drives the VAT rate configuration. This is useful when you need a single dimension to determine how VAT is calculated.
To set this up, enable the standard managing dimension in the VAT Rate per Dimension setup, then select the specific dimension code that should control the configuration. Once you pick the dimension code, that dimension manages the VAT rate for the relevant transactions.
Setting up a standard managing dimension for VAT rates
In the VAT Rate per Dimension setup, you start by enabling the standard managing dimension. This activates the option to choose which dimension should control the VAT rate configuration.
If you want a single dimension code to manage the VAT rate, this is the setting to use. You enable the standard managing dimension and then point it at the dimension you want to use.
Choosing the dimension code that controls the configuration
After enabling the standard managing dimension, you select the dimension code that should drive the setup. In the dimension code field, you can look up the available dimensions and pick the one that should act as the managing dimension.
From that point on, the chosen dimension determines how the VAT rate is applied, giving you a clear and controlled way to handle VAT based on a specific dimension value.
Q&A
What does the standard managing dimension do in the VAT Rate per Dimension setup?
It defines which dimension controls the VAT rate configuration. When you enable it and select a dimension code, that dimension manages how the VAT rate is applied.
How do you set up a single dimension to manage the VAT rate?
Enable the standard managing dimension in the VAT Rate per Dimension setup, then choose the dimension code you want to use. You can look up and select the managing dimension directly in the dimension code field.