Tax configuration in brief

OBBG - Assign Country to calculation procedure.

OBCO - Specify structure for Tax Jurisdiction code. For country like U.S.A.
LG -> character length of first level of hierarchy within your tax jurisdiction code structure.
LG -> Second level of hierarchy as above.
LG -> Third level of hierarchy as above.
LG -> Fourth level of hierarchy as above.
TX -> Tick if you want the system to determine taxes on a line by line basis instead of determining them on a cumulative basis
           per tax jurisdiction code.

OBCP - Define Tax Jurisdiction code
Dil -> Tick if you do not want tax amounts included in the based amount used for calculating cash discounts.
Txl -> Tick if you want the cash discount amount deducted from the base amount that is used to calculate taxes.

FTXP - Define Taxes on Sales/Purchases Code.

OBCL - Allow Tax codes for non-taxable transactions.