Notice on New Local Tax
The Minnesota Department of Revenue will be administering the following new sales and use taxes effective April 1, 2024:
The sales and use tax rate changes apply to sales made on or after April 1, 2024. They will be in addition to all other taxes in effect. Local sales tax applies to retail sales made and taxable services provided within the local taxing area (county/city limits). The tax applies to the same items that are taxable under the Minnesota sales and use tax law.
Agencies entering purchase orders for the new fiscal year, prior to the April 1, 2024 tax effective date, will have the old rate calculated and will need to update their purchase orders.
Purchase orders entered in SWIFT on or after April 1, 2024, will calculate the new tax rates for each county/city. Existing purchase orders and/or their vouchers will need to be adjusted to pay the correct tax if delivery occurs after various dates. Please note that the dates will be different based on whether goods or construction materials are being delivered. Check the tax notice for the affected city for the correct dates.
To identify purchase orders that may be impacted by the new sales tax rates, you can use this query: M_GBL_POS_WTH_NEW_TAX_APR_2024. Purchase orders from previous fiscal years cannot be updated directly on the purchase orders. Instead, the adjustment is made on the Accounts Payable side.
For assistance in changing the sales tax on a PO, please consult the Update the Sales Tax Settings on a Dispatched Purchase Order Quick Reference Guide or the Update Sales and Use Tax video tutorial.
Impact of New Local Tax
Please see the Minnesota Department of Revenue tax notice for the appropriate city for guidance in handling purchase orders and payments during the transition period.
Impact on Accounts Payable
Vouchers entered in SWIFT on or after the tax effective date will calculate the new tax rates for each county/city if the Invoice Date is on or after the tax effective date. If the Invoice Date is before the tax effective date, SWIFT will exclude the new tax rates. Please review the tax calculation carefully prior to payment on all vouchers with Ship To locations within these jurisdictions.
For vouchers referencing prior year purchase orders, you may receive a budget on hold error during budget check, correcting this will require additional steps to process the voucher.
Agencies can run the M_AP_GBL_VOUCHER_AMOUNT_PO_BAL query to help resolve this budget exception. The query compares the remaining encumbrance balance on the purchase order to the amount of the payment on the voucher. The difference should be attributable to the new higher tax rate.
To resolve the budget on hold error, enter a separate invoice line on the voucher with a zero-dollar total amount. On the first distribution line, enter a NEGATIVE amount equal to the increased sales tax amount that is over the remaining encumbrance balance on the purchase order. This should match the variance from the query. On the second distribution line, enter a POSITIVE amount offsetting the negative amount to charge the difference in sales tax to the current budget year. Enter “tax adjustment” in the description line.
Please review budget on hold errors carefully prior to making any changes.
Impact on Purchase Orders
SWIFT will be updated with the new tax codes for all existing Ship To addresses located in the affected cities. New purchase orders, created on or after April 1, 2024, will calculate the new rate of tax for the ship to addresses within those counties/cities. Existing purchase orders may or may not need to have the tax code updated on the PO if payment can be processed during any allowed grace period(s), again, see the general notice for each county/city. Previously any Ship To addresses in affected cities may have used the tax code of 0000, State Tax only. To calculate the new combined rate, state and local tax rate, the tax code(s) on the purchase order must be updated to the new tax code(s) from the 0000 tax code. Because of the various transition rules, these codes will not be updated by SWIFT and must be updated by the purchase order buyer.
Use CRO for Orders with MSC Industrial Supply Co.
Due to an error in the Punchout process with MSC Industrial Supply Co., on Contract Release T-572(5), please use a CRO when placing orders until further notice. MNIT is working with the vendor to get the issue resolved as quickly as possible.
This error only impacts MSC Industrial Supply Co. Agencies should continue to use the Punchout process for other vendors.
Late Payments on Purchasing Card Statements
US Bank charges late fees on past due purchasing card (PCard) accounts. Agencies are invoiced in the amount of up to one percent (1%) per month on the amount overdue, or a minimum of $2. Late fees are included on your monthly statement from US Bank and available to view in SWIFT. However, the Late Payment transaction cannot be reconciled the same way other transactions are reconciled.
To pay a late fee associated with a PCard statement, agencies must manually add this fee to their monthly PCard voucher by adding a line and entering the information. Make sure to enter Late Payment Charge in the Description field. In the Account field use Expense code 430008 (Interest Pd To Vend Late Pymt). After the line has been added, provide the voucher number to Angie Brandt, and she will remove the transaction from the PCard pages.
As a reminder, pay PCard statements on time to avoid potential late fees, take advantage of available rebates, and avoid potential violations of Minn. Stat. § 16A. Purchasing Policy 1b requires that Purchasing Card Coordinators use Access Online to review statements and monitor account activity.
Updating or Editing a Supplier Contract Shell in SWIFT
If a supplier contract shell must be edited or updated, the Office of State Procurement recommends that in most cases agencies should update the existing record. There are limited circumstances when an agency should create a new version of a contract shell.
Users should create a new version of a contract shell ONLY if one of these reasons apply:
Refer to the Create a New Version of a Supplier Contract Quick Reference Guide.
To edit a contract shell, refer to the Edit a Supplier Contract Shell Quick Reference Guide.
Editing a contract shell includes, but is not limited to, adding contract lines, changing contract dollar amounts, changing Administrator/Buyer, extending the contract Expire Date, and amending contract documents.
There are two options to view contract changes.
Option 1: Select the View Changes link in the contract Header section.
Option 2: Select Contract Change History from the left menu on the Contract Entry page.
SWIFT and EPM Data Warehouse Training
The SWIFT Training team offers training through a variety of methods. There are SWIFT training guides and training videos, EPM training guides, webinars, labs, eLearning, and individual sessions (by request through the SWIFT Help Desk).
Find current SWIFT training in Learning Management. Enter "SWIFT" in the Find Learning text entry box.
|
MODULE |
WEBINARS/eLEARNING
|
DATES |
|
INTRO |
Introduction to SWIFT Navigation webinar |
4/25/24 |
|
INTRO |
Introduction to SWIFT eLearning |
Anytime |
|
INTRO |
Overview of SWIFT Reporting |
4/4/24; 5/2/24; 6/6/24 |
|
AP |
SWIFT Create Vouchers Overview in Accounts Payable webinar |
4/10/24; 5/21/24 |
|
AR |
SWIFT Accounts Receivable Part A: Direct Journal Deposits |
4/30/24 |
|
AR |
SWIFT Accounts Receivable Part B: Regular Item Deposits |
5/1/24 |
|
BI |
SWIFT Accounts Receivable Part C: Customer Maintenance
|
5/1/24 |
|
BI |
SWIFT Billing Part 1 |
4/17/24 |
|
BI |
SWIFT Billing Part 2 |
4/18/24 |
|
KK |
SWIFT Budget Journal Administration
|
6/13/24 |
|
EPM |
Build a My Dashboard for SWIFT Reports in EPM lab
|
6/4/24 |
|
EPM |
Create a SWIFT All Expenditures Report in EPM lab |
5/7/24; 7/11/24 |
|
EPM |
Introduction to the EPM Data Warehouse for SWIFT |
4/23/24 |
|
EPM |
SWIFT EPM the All Receipts Report |
5/22/24 |
|
EPM |
SWIFT EPM Manager's Financial Report |
5/23/24 |
|
EPM |
SWIFT EPM Formatting Your Report |
5/9/24 |
|
EPM |
SWIFT EPM a New Analysis Lab |
5/16/24 |
|
EPM |
Use SWIFT Standard Reports in EPM lab |
6/4/24 |
|
EPM |
Understand the SWIFT Data in the EPM Data Warehouse webinar |
6/6/24 |
|
PO |
SWIFT Create Purchase Orders Overview webinar |
4/2/24; 5/16/24 |
|
SC |
SWIFT Create a Supplier Contract Shell webinar |
4/11/24 |
|
SC |
SWIFT Import and Process Contract Document Electronically webinar
|
4/11/24 |
|
SS |
SWIFT Strategic Sourcing Part 1: Create, Post, and Approve Events webinar |
5/2/24 |
|
SS |
SWIFT Strategic Sourcing Part 2: Analyze and Award Events webinar |
5/2/24 |
|
SS |
SWIFT Strategic Sourcing eLearning |
Anytime |
SWIFT Help Desk
Contact the SWIFT Help Desk for any SWIFT-related questions or issues.
Email: SWIFTHelpDesk.MMB@state.mn.us
Phone: 651-201-8100, option 2
Hours: 7:30 a.m. to 4:00 p.m., Monday through Friday (closed holidays)
When contacting the SWIFT Help Desk, make sure to include details about your question or issue, including:
