X12 transaction guide · Government and regulatory

EDI 158 Tax Jurisdiction Sourcing

The X12 document, a draft standard for trial use, that establishes the format for tax jurisdiction sourcing data.

Sent by
Taxing authority or tax data provider
Received by
Businesses, tax software providers or other agencies
Standard
ANSI ASC X12

What is an EDI 158?

The EDI 158 Tax Jurisdiction Sourcing is the ANSI X12 transaction set, issued as a draft standard for trial use, that establishes the content of tax jurisdiction sourcing information.

Sourcing determines which jurisdictions' taxes apply to a transaction, typically from the address where goods are delivered or services used. Because jurisdiction boundaries rarely follow postal codes, businesses rely on authorities' address-to-jurisdiction data to apply the right combination of state and local taxes. Rates themselves are distributed with the 150. It complements tax rate data.

How the EDI 158 worksDiagram of the EDI 158 Tax Jurisdiction Sourcing. Taxing authority or tax data provider sends it to businesses, tax software providers or other agencies. It usually starts the exchange. It is usually followed by 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BGN (Beginning Segment), N1 (Party Identification) and the required DTP loop with DTP (Date or Time or Period) and the required LX loop with LX (Transaction Set Line Number) and NX2 (Location ID Component). 0 optional loops are listed by their first segment.How the EDI 158 worksTax Jurisdiction Sourcing: who sends it, where it fits and what the standard marks required1 WHERE IT FITSUSUALLY FOLLOWSStarts the exchangeEDI 158SENDERTaxing authority or taxdata providerRECEIVERBusinesses, taxsoftware providers orother agencies997 or 999 acknowledgment back, if the partners agreeUSUALLY FOLLOWED BY997FunctionalAcknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDsISA … IEAFunctional group, ID code TJGS … GETransaction set 158ST … SEHEADINGBGNBeginning SegmentN1Party IdentificationRequired loop DTP · repeats many timesDTPDate or Time or PeriodRequired loop LX · repeats many timesLXTransaction Set Line NumberNX2Location ID ComponentBlue box: required loop. Optional loops are listed by the segment that starts them; when a loop is used, that first segment is required. Optional segmentsoutside loops are not drawn.Structure: required segments and loops in the X12 008010 listing for the 158. Your trading partner's implementation guide adds its own requirements.
How the EDI 158 worksDiagram of the EDI 158 Tax Jurisdiction Sourcing. Taxing authority or tax data provider sends it to businesses, tax software providers or other agencies. It usually starts the exchange. It is usually followed by 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BGN (Beginning Segment), N1 (Party Identification) and the required DTP loop with DTP (Date or Time or Period) and the required LX loop with LX (Transaction Set Line Number) and NX2 (Location ID Component). 0 optional loops are listed by their first segment.How the EDI 158 worksTax Jurisdiction Sourcing: who sends it, whereit fits and what the standard marks required1 WHERE IT FITSUSUALLY FOLLOWSStarts the exchangeEDI 158SENDERTaxing authorityor tax dataproviderRECEIVERBusinesses, taxsoftwareproviders orother agencies997 or 999 acknowledgment back, if the partnersagreeUSUALLY FOLLOWED BY997Functional Acknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDs (ISA… IEA)Functional group, ID code TJ (GS … GE)Transaction set 158 (ST … SE)HEADINGBGNBeginning SegmentN1Party IdentificationRequired loop DTP · repeatsmany timesDTPDate or Time or PeriodRequired loop LX · repeatsmany timesLXTransaction Set LineNumberNX2Location IDComponentBlue box: required loop. Optional loops are listedby the segment that starts them; when a loop isused, that first segment is required. Optionalsegments outside loops are not drawn.Structure: required segments and loops in the X12008010 listing for the 158. Your trading partner'simplementation guide adds its own requirements.

How to read this diagram: the top row shows who sends the 158, to whom, and which documents usually come before and after it. The lower part shows what X12 release 008010 itself requires: the envelopes around the 158 and the segments and loops the standard marks as required, area by area. Optional loops are listed by the segment that starts them rather than drawn in full. This is the standard's minimum, not a trading partner's requirement: each partner's implementation guide usually makes some optional loops mandatory, restricts the codes and may use a different release.

Expand diagram Download SVG

When it is used

  • Distributing address-to-jurisdiction data
  • Updating jurisdiction boundaries
  • Supporting tax engines in assigning jurisdictions

Where it fits in the document flow

This document 158 Tax Jurisdiction Sourcing
Usually followed by 997 Functional Acknowledgment

Structure

Mandatory segments in the 158 (X12 release 008010)

The segments X12 release 008010 marks as mandatory at their level, in order. Segments inside optional loops are needed only when the loop is used. This is the standard's requirement, not your trading partner's: each partner's implementation guide names the release it uses, adds the optional segments it requires and restricts the values. The requirement status comes from one published X12 reference listing and has not been checked against a second source.

  • ST
  • BGN
  • N1
  • DTP
  • LX
  • NX2
  • SE

Practical example

The 158 in practice

A city annexes neighboring land, moving several streets into its taxing jurisdiction. The state distributes updated sourcing data with the affected addresses and their jurisdiction codes. A retailer's tax engine loads the update so deliveries to those streets carry the city's tax from the effective date.

Implementation

Implementation considerations for the 158

  • Load boundary changes before their effective dates.
  • Combine sourcing data with rate data (150).
  • Standardize addresses before jurisdiction lookup.
  • Keep historical sourcing data for tax audits.

Need help with the EDI 158?

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