About the HQ Tax Codes Form
Use this form to set up and maintain tax codes (single and multi-level) for application throughout the system.
Set up single-level codes when only one tax rate is applicable. If multiple tax rates are required, you can create a multi-level code and associate it with all applicable single-level codes.
This file is NOT a master file. Tax codes entered here are automatically set up in the Tax Codes and Rates group assigned to the currently active Company (HQ Company Setup, Add’l Info tab). All information set up here applies only to the currently active company and any companies that may be sharing the specified Tax Codes and Rates group.
Setting up Multi-Level Codes
When creating a multi-level VAT code, do not specify a tax liability account in the Credit GL Account field. The system automatically uses the specified GL accounts from the single-level codes.
For example, if you are creating a multi-level code to track both Goods and Services Tax (GST) and Provincial Sales Tax (PST), you must first set up each one as a single-level code. You would then associate both single-level codes with the same multi-level code, as seen the table below.
|
Multi-Level Code | |
|---|---|
| Single-Level Codes | Rate |
| GST | 5% |
| PST | 10% |
The system calculates tax amounts based on how you have set up your GL accounts for the single-level codes.
The process for setting up your tax codes differs depending on your country. Select a link below to get detailed instructions for your specific location.
