Penalty Class Setup

Navigate: Tax > Accounts Receivable > Payment Terms Mapping and Setup > Penalty Class Setup

Description

NOTE: This task may not apply to your jurisdiction.

Set up the penalty classes, then add the roll type and the state classifications to each penalty class. If the classification mappings are changed by state statute, you can edit the mappings as needed.

The existing penalty class mappings are listed in the Attribute Mappings panel when you select the penalty class.

NOTE: Make sure to reset the effective tax year to the earliest effective tax year in which the penalty, interest, and discounts are calculated.

Steps

1. On the Set Up Penalty Classes and Classifications screen, click New.

   • In the Edit Penalty Class pop-up, enter a name for the penalty class, a description that will be displayed in the Penalty Class drop-down list, and precedence, which determines the penalty class used for calculation when a bill matches multiple classes.

   NOTE: The lowest preference number is used when there are multiples. For example, if a bill matches classes 1 and 5, the calculation uses the class with the lower precedence of 1.

   • Click Finish.

   OR

   Make a selection from the Penalty Classes drop-down list and click Add in the Attribute Mappings panel.

   • Make a selection from the Roll Type and Attribute drop-down list.
   • Click Apply.

   OR

   In the Attribute Mappings panel, click Edit for an item in the grid.

   • Make a selection from the Roll Type and Attribute drop-down list.
   • Click Apply.
   • Click Delete to remove an attribute. Click OK in the confirmation message.

2. Click Save in the Command Item bar.

• Click Delete to remove the selected penalty class. Click OK in the confirmation message.

• Click Edit to open the Edit Penalty Class pop-up and change a penalty class name or description.

• Click Close to end the task.

Prerequisites

Work from the state classifications and mappings.

Assessment Administration

• Maintain External Classification Codes

Dependencies

A/R

• Payment Terms Rule Groups - The penalty classes are attributes of a late payment group, and therefore also influencing the penalty and interest calculations.