This article explains the tax options available in the Channel Mapping screen for tax-exclusive properties using the RMS Channel Manager.

Overview

For properties configured as tax-exclusive in Accounting Options, the Channel Mapping screen may display additional tax options alongside the standard No Update column. These options control how RMS handles tax when sending rates to an Online Travel Agent (OTA) and how incoming bookings from that OTA are processed in RMS.

Two tax options may be available, depending on the channel and the property's country:

• Inc Tax - available on certain OTA connections for tax-exclusive properties.
• Reverse Calculate Taxes on Total Rate - available on a smaller subset of connections, restricted to tax-exclusive properties in Mexico and the UAE.

Inc Tax

The Inc Tax checkbox appears as an additional column in the Channel Mapping grid for tax-exclusive properties on supported OTA connections. It controls whether tax is included in the rates sent to the OTA and how the total amount on incoming bookings is interpreted when written to RMS.

When Inc Tax is disabled

When the Inc Tax checkbox is not selected for a mapping row:

• Rates from Rate Manager are sent to the OTA as-is, without tax added.
• Bookings received from the OTA are treated as tax-exclusive when written to RMS.
• The total amount received from the OTA equals the sum of the Base Rate and Package. RMS then adds taxes on top of this amount, according to the tax setup configured at the property.

When Inc Tax is enabled

When the Inc Tax checkbox is selected for a mapping row:

• Taxes are added to the rates from Rate Manager before they are sent to the OTA. The OTA receives tax-inclusive prices.
• Bookings received from the OTA are treated as tax-inclusive when written to RMS.
• The total amount received from the OTA is placed into the Total Rate field. RMS then reverse-calculates the taxes according to the property's tax setup to determine the Base Rate and Package amounts.

Reverse Calculate Taxes on Total Rate

The Reverse Calculate Taxes on Total Rate checkbox is available on a smaller subset of supported OTA connections. It is only exposed to properties that meet both of the following conditions:

• The property is located in Mexico or the UAE.
• The property is configured as tax-exclusive in Accounting Options.

A daily password is required to enable or disable this option.

When Reverse Calculate Taxes on Total Rate is enabled:

• Rates from Rate Manager are sent to the OTA as-is, without tax added. The OTA receives tax-exclusive prices.
• Bookings received from the OTA are treated as tax-inclusive when written to RMS.
• The total amount received from the OTA is placed into the Total Rate field. RMS reverse-calculates the taxes according to the property's tax setup to determine the Base Rate and Package amounts.

This option allows a property to send tax-exclusive rates to the OTA while still treating incoming bookings as tax-inclusive for accounting purposes.

Comparison

Related Articles

• Channel Connection
• Taxes - Tax Exclusive
• Set up the tax method