Tariff Codes

CATS can be used to calculate anticipated tariff costs based on the country of origin and the country of destination.

Tariffs have effective dates and expiration dates which enable different tariff levels between the same origin and destination based on the shipment date.

The tariff levels displayed in CATS are calculated on-the-fly and will adjust automatically based on the entries in the tariff table and the status of the location screens.

To specify tariff levels, use the Tariff codes which can be accessed via the main through File > Codes & Terms > Cost Codes > Tariffs.

The list of tariffs.

To add a new Tariff entry, select “Add” from the menu.

Adding a tariff entry.

• Tax - specify the tax code used for this tariff. This determines the cost-codes used for tariff posting.
• Product - specify the product code that this tariff applies to.
• Category - specify a specific category of product that this tariff applies to. Leave empty for all grades.
• Origin country - the origin country based on the grade code or the country of the purchase contract. Leave empty to apply a blanket tariff for all origins.
• Destination country - the destination country based on the destination port on the location screen.
• As of date - the effective date of the tariff. This can be set into the future, for anticipated changes to tariffs. Or into the past to apply retroactive tariff calculations to location screens.

To edit or change an existing Tariff entry, select “Edit” from the menu.

Editing a tariff entry.

• Tariff % - the total tariff level applied for this tariff.
• Date - the effective/as of date for the tariff.
• Expires - an expiration date for the tariff. Leave blank if there is no expiration.
• Trans-ship date trigger - check this box to have the tariff trigger based on the trans-shipment date (rather than the shipment date) if available.

The active tariff rate for the current item or location screen is calculated on-the-fly and displayed with the other costs on the contract item screens and location screens.

The tariff rate and cost as displayed on a purchase contract item screen.

The tariff rate and cost as displayed on a location screen.

CATS displays both the current per-LB (or per-MT, if costs are being displayed in MT) tariff rate as well as the applicable tariff name (from the Tax code) and percentage rate.

It is possible to have more than one tariff applicable to a contract item or location screen. In which CATS will display a list of tariffs and rates.

Users can see a detailed summary of the tariff calculation being applied, by clicking on the tariff rate.

Tariff calculation summary showing a 50% tariff from Brazil to USA

The summary provides information about what information CATS is using to calculate the tariff rate. It also shows the total tariff for the location screen. If you view the summary from the purchase item, it will display tariff summaries for each individual location screen.

Columns for the tariff rates are available for the following reports:

• Open Position Report
• Traffic Report
• Inventory Transaction Report

Screenshot of the list of tariff columns for the traffic report.

Available information includes:

• Current tariff level, tariff label, and rate.
• Replacement tariff level, label, and rate.
• Charged tariffs on the contract.

The replacement tariff calculation determines what the tariff rate would be for material that shipped today. This allows the report to display a delta if the tariff situation has changed since the material was imported.

Tariffs can be combined with the Vendor Order module to create accurate payable entries.

Very often some or all of the tariff charges are passed through to the customer and CATS facilitates and greatly automates this process.

Whether using Vendor Orders, Invoice templates, or manual invoice items, payables that are entered against pass-through cost codes will be pulled automatically onto the sale invoice when that material is applied to a sale.