Field Service - separating the Labor and Material at time of invoice

We have been using the built-in Epicor Field Service module for a while, and have run into one issue with a new company we are implementing. We are also using Avalara to do the Tax calculations for the new company.

When the Service Job goes to the Invoice entry after being closed, it seems to lump the Labor and Materials into one lump sum for Tax purposes. The Invoice knows there are separate entries behind the scenes, as you can print them on the invoice, but we have found no way to separate the totals for Labor and Materials for the tax calculation. This is important in Michigan, (where we are doing the implementation) because Michigan does not charge sales tax on Service Labor, but does on materials.

We have one company that bypasses the issue in Texas (which has the same tax rules) by checking the Manual Tax calculation checkbox, and changing the taxable total for the line. When Avalara is turned on, Manual Tax calculations checkbox is disabled, so cannot be checked.

One suggestion was to do a separate line for the materials and labor, and create 2 jobs, then book labor and materials to each separate job. The overhead of doing this is pretty prohibitive.

Another thing I tried was doing a 2nd line that was just for the Labor, but without a Job, but it would not bring over any costs to the invoice at all without a job to drive some of the totals.

The one way I have found to do it was make the labor non-billable, then add a Misc charge both on the material and Material Service side for the labor, with the MISC charge set to non-taxable. The invoice sees the MISC charge separately, and does not charge tax.

Is there any better way that anyone has accomplished this? Please let me know if you need more details.

Did you ever figure out a solution to this? It seems we have run into the same issue where we cannot separate the labor and materials for tax calculation.

Support has a dev ticket open, need to find a quicker solution.

Thanks!

What we ended up doing was doing a MISC material for the labor, after making the labor non-billable. Then the MISC charge can be taxed seperately, based on the way the MISC charge was set up.

One gotcha is you have to do MISC charge on the material side to actually use the MISC charge on the Service tab side, and have it work all the way through.