Tax Accounting

New in v0.7.0

DataSynth generates a complete tax accounting lifecycle, covering indirect taxes (VAT/GST/sales tax), income tax provisions, withholding taxes, and uncertain tax positions.

Overview

The tax accounting module simulates the end-to-end tax process:

Tax Code Master Data — Jurisdictions and tax codes with effective date ranges
Tax Line Decoration — Automatic tax line attachment to source documents (vendor invoices, customer invoices, journal entries, payments, payroll runs)
Tax Return Filing — Aggregation by jurisdiction and period into VAT/GST/income/withholding/payroll returns
Income Tax Provisions — ASC 740 / IAS 12 provision computation with deferred tax tracking
Uncertain Tax Positions — FIN 48 / IFRIC 23 uncertain position modeling
Withholding Tax — Cross-border withholding with treaty benefit tracking

Data Models

Model	Description
`TaxJurisdiction`	Tax authority definitions (Federal, State, Local, Municipal, Supranational)
`TaxCode`	Tax rate definitions with effective date ranges
`TaxLine`	Individual tax lines attached to source documents
`TaxReturn`	Periodic tax filings (VAT, GST, Income, Withholding, Payroll)
`TaxProvision`	ASC 740 / IAS 12 income tax provisions with deferred tax
`UncertainTaxPosition`	FIN 48 / IFRIC 23 uncertain tax positions
`WithholdingTaxRecord`	Cross-border withholding with treaty benefits
`RateReconciliationItem`	Statutory-to-effective rate reconciliation

Configuration

tax:
  enabled: true
  jurisdictions:
    countries: [US, DE, GB]
    subnational_regions: [CA, TX, NY]  # US states with nexus
  vat_gst:
    enabled: true
    standard_rate: 0.19
    reduced_rate: 0.07
    exempt_categories: [financial_services, healthcare, education]
    reverse_charge: true
  sales_tax:
    enabled: true
    nexus_states: [CA, TX, NY]
  withholding:
    enabled: true
    treaty_network: [US-DE, US-GB, US-CH]
    default_rate: 0.30
  provisions:
    enabled: true
    statutory_rate: 0.21
    uncertain_position_count: 5
  payroll_tax:
    enabled: true
    employer_rate: 0.0765
    employee_rate: 0.0765
  anomaly_rate: 0.03

Output Files

File	Description
`tax_jurisdictions.csv`	Jurisdiction master data
`tax_codes.csv`	Tax code definitions
`tax_lines.csv`	Individual tax line items
`tax_returns.csv`	Tax return filings
`tax_provisions.csv`	Provision calculations
`rate_reconciliation.csv`	Rate reconciliation items
`uncertain_tax_positions.csv`	FIN 48 / IFRIC 23 uncertain positions
`withholding_records.csv`	Withholding tax records with treaty benefits
`tax_anomaly_labels.csv`	Data quality labels

Process Mining (OCPM)

The tax module contributes 2 object types and 8 activities to the OCEL 2.0 event log:

Object Types: tax_line, tax_return
Activities: Tax determination, tax line creation, tax return filing, assessment, payment, amendment
Lifecycle: Tax returns follow draft → prepared → reviewed → filed → assessed → paid