Sales Tax Rate Maintenance

Menu Path: Customer Service $Images\bluerarw.gif$ Order Options $Images\bluerarw.gif$ Sales Tax $Images\bluerarw.gif$ Setup $Images\bluerarw.gif$ Sales Tax Rate Maintenance

Purpose

Add, update, or delete a tax rate.
Assign taxable sales tax categories.

Overview

Use Sales Tax Rate Maintenance to set up tax codes to link one sales tax jurisdiction to multiple sales tax categories. Each product has a sales tax category and each customer’s ship-to address has a sales tax jurisdiction. If the sales tax jurisdiction and the sales tax category belong to the same tax code, that tax code’s rate is applied to the product. For more information, see Customer Sales Tax Setup and Sales Tax FAQ.

Example Tax Code MASS is set up for sales tax jurisdiction MA. The tax is 5% and the tax code includes sales tax categories A and B. An order is entered for customer ABC’s Boston ship-to address, which has a sales tax jurisdiction of MA. Product 123 has a sales tax category of A, and is taxed on this order. Product 234 has a sales tax category of C, and is not taxed on this order.

Creating Sales Tax Rates

To create a sales tax rate:

Click the New button in the ribbon.
Enter a tax code for the sales tax rate in the Tax Code field.
Enter the sales tax jurisdiction for the sales tax rate in the Jurisdiction field.
Enter the filing jurisdiction for the sales tax rate in the Filing Jurisdiction field.
Enter the sales tax rate in the Rate field.
Enter the effective date for the sale tax rate in the Effective Date field.
Enter the general ledger account associated with the filing jurisdiction for the sales tax rate in the Account field.
Click the Sales Tax Categories tab.
Double-click the sales tax categories you want to associate with the sales tax rate.
Click the OK button in the ribbon. The sales tax rate is created.

Ribbon Home Tab Buttons

Button	Description
Exit	Click this button to close the Sales Tax Rate Maintenance window.
New	Click this button to create a new tax code.
Update	Click this button to edit the selected tax code.
Delete	Click this button to delete the selected tax code. NOTE You cannot delete a tax code that is used for open orders.
OK	Click this button to accept an action. This button is only available after you click the New, Update, or Delete button in the ribbon.
Cancel	Click this button to cancel an action. This button is only available after you click the New, Update, or Delete button in the ribbon.
First	Click this button to display the first tax code.
Prev	Click this button to display the previous tax code.
Next	Click this button to display the next tax code.
Last	Click this button to display the last tax code.

Fields and Buttons

Field or Button	Description
Tax Code	Enter a tax code, or click the Lookup button to select a tax code.

General Tab Fields and Buttons

Field or Button	Description
Jurisdiction	Enter the sales tax jurisdiction, or click the Lookup button to select a sales tax jurisdiction. For information on setting up sales tax jurisdictions, see Sales Tax Jurisdiction Maintenance.
Filing Jurisdiction	Enter the jurisdiction used to file reports, or click the Lookup button to select a jurisdiction. For information on setting up sales tax jurisdictions, see Sales Tax Jurisdiction Maintenance. Example Jurisdiction NYC (New York City) may have a filing jurisdiction of NY (New York State).
Rate	Enter the sales tax percentage rate for the tax code. Example For a rate of 5%, enter 5.000.
Effective Date	Enter the effective date for the rate entered or changed. Note The effective date must be greater than or equal to today.
Rate History	This grid displays prior sales tax rate history for the tax code entered in the Tax Code field.
Account	Enter the general ledger account associated with the tax code. Note You should have a separate general ledger account for every filing jurisdiction (for example, every state for which you file sales tax reports).

Sales Tax Categories Tab Fields and Buttons

Field or Button	Description
Available Sales Categories	This grid displays all sales tax categories not selected for the tax code entered in the Tax Code field. For information on setting up sales tax categories, see Sales Tax Category Maintenance.
	Click this button to add all sales tax categories in the Available Sales Categories grid to the Taxable Sales Categories grid.
	Click this button to add the selected sales tax category in the Available Sales Categories grid to the Taxable Sales Categories grid.
	Click this button to remove the selected sales tax category in the Taxable Sales Categories grid.
	Click this button to remove all sales tax categories in the Taxable Sales Categories grid.
Taxable Sales Categories	This grid displays the sales tax categories for the tax code entered in the Tax Code field.