Add a New Sales Tax

Add a New Sales Tax

Use this chapter to edit or add a sales tax for Federal, State, City or Other tax districts.

From the Main Menu, select Admin -> Setup Receivables -> Sales Taxes. Click the Add button from the first screen.

# Enter information in the following categories:

1. Tax State: Select the state (or province) from the drop-down box. This is essential for the SHOPPING CART to function correctly.

2. Tax District Name: This is where you put Federal, your State, your City, your Local or your County.

3. Tax Rate: This is the tax rate for the Tax District. (ex: tax is 7.5%, then enter 7.5 here).

4. Sales Transaction Taxable Max: Enter the maximum dollar amount of the transaction that can be taxed.

5. Basis for Tax: Select from the pull-down list. Examples: Total Sales or Materials only. Total Sales is the most common basis.

6. GL Account for Tax Collected: Select from the pull-down list. This is the payables account the sales tax will accrue to for GL financial reports.

7. GL Account for Tax Paid: This field will only show if you have VAT taxes enabled. The account the tax will be paid from.

8. Which Companies: Leaving the check-box unchecked will make this tax district appear for all companies (if you have set up more than one company). Check the box to make this tax ONLY apply to the currently selected company.

9. OSCom Tax ID: This is a sample of a custom field that can be created by the administrator.

# Click the Save button to add the Sales Tax.

# Click the Back button to return to the previous screen without saving the changes.