Setting Up Tax Codes

Tax System

The number of the tax system is displayed.

Tax Code

Specify the code to use for the new tax code.

(Tax Code Description)

Specify a description to use to identify the code.

Tax Base Source

Select whether the tax amount should be calculated based on the price or the cost of the transaction/order when this code is used.

Tax Jurisdiction

Select the tax jurisdiction code to use. A description of the code is displayed.

Tax Rate

Specify the sales tax rate for the code.

Next Level Tax Code

Select a value to use as the next level tax code for this record. The system uses the Next Level Tax Code rate and the Tax Code rate to calculate the total amount of tax for an order or an invoice. See the Next Level Tax Code field topic for more information. If you selected Include Tax in Discount/Allowance on the Tax Systems form, this field is disabled.

Fixed Price Taxable Percent

Specify the percentage amount of fixed prices that will be taxed using the selected tax code. The default amount is 100%.

Tax Code Type

Select whether the code has a type of exemption or rate. See the Tax Code Type field topic for more information.

Access on Return

Select this check box if the tax should be computed when printing a tax return. This check box denotes that the tax was never paid on the item and must be assessed at the time of the return.

Deductible

Select this check box if the amount should be deducted from the amount of taxes owed. This check box indicates that the item purchased is deductible from taxes (that is, the Service Management user is not the end user of the item).

• Include Price
• Include Discount
• Include Freight
• Include Brokerage
• Include Duty
• Include Insurance
• Include Local Freight
• Include Misc
• Include Tax on Prev. System
• Include Restock Fee