Setting Tax Rates and Tax Codes[MIGRATED]

Migrated to http://wavelet.asia/customer-portal/2011/07/01/setting-tax-rates-and-tax-codes/

Configurations for taxation

Please follow these steps carefully to ensure that you set taxation correctly.

  • Accounting > Configuration > Add Tax Configuration 
    • Tax Code - Different countries varies in this aspect. Refer to your tax manual for this configuration.
    • Tax Type
  • System Admin > EMP Configuration > Tax
    • Set branch
    • GL code - Tax chargeable to which GL.
    • Price on tag already include tax or not. Price - Tax = Nett is immediately charged to sales
  • Inventory > Maintenance > Edit Item (For specific Item Codes)
    • Tax Option - Select Tax Applicable or No Tax
    • Set tax rate
  • GRN / Invoice / SO / PO / CM / Sales Return / Purchase Return
    • When creating one of these documents, you need to Select Item Codes right? In those pop-up windows, you can also set Tax rate / Type / Code - which would override in Inventory > Maintenance > Edit Item.

After creating the documents, check the calculation and printed documents. Don't forget the GL also Accounting > GL Listing (follow the GL you set in System Admin).