Set Up Tax Codes: Australia

You can set up Australian tax codes using the HQ Tax Codes form.

When setting up tax codes in HQ Tax codes for Australia, you only need to create single-level codes. Multi-level codes are unnecessary.
  1. In HQ Tax Codes, use the New field in the Single Level Rates section to specify the rate at which the system calculates the tax. If you specify both an old and new rate, the Effective Date field determines when the old rate expires and the new rate goes into effect.
  2. In the Credit GL Account field, specify the tax liability account.
  3. If you need to post taxes to a specific phase code and/or cost type, use the JC Tax Phase and JC Cost Type fields to enter the applicable JC tax phase and cost type.
  4. Select the Add'l Options tab on the HQ Tax Codes form.
  5. Select the Value Added Tax (VAT) checkbox.
  6. Select the Federal Goods & Services Tax (GST) checkbox for codes tracking GST.
  7. If you track retainage tax liabilities separate from standard tax liabilities, enter a GL account in the Credit GL Ret Account field.
  8. Select the Expense Tax Paid checkbox.
    The system enables the Credit GL Retention GST Acct, Debit GL Account and Debit GL Ret Account fields.
  9. In the Credit GL Retention GST Acct field, enter the GL account used to track retainage ITC payables.
  10. In the Debit GL Account field, enter the GL account used to track standard ITC amounts.
  11. In the Debit GL Ret Account field, enter the applicable GL account. This account is the retainage ITC contra account.
  12. Save the record.