Define a Tax Class Home | FAQs & Troubleshooting

 

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Set Up Sales Tax Information
	Define a Tax Class
	Define a Tax Code
	Define a Tax Schedule
	Assign Sales Tax Schedules

 

 Overview

The first step in defining sales tax information is to define different types of tax classifications in Sales Tax Class Maintenance. The following three tax classes are defined automatically by the system and cannot be deleted: Nontaxable (NT), Taxable (TX), and Taxable Freight (TF). A tax class must be defined for each classification of goods and services that are taxed at different rates.

Note The TF (Taxable Freight) tax class is used to calculate sales tax on freight amounts.

For more information, see Sales Tax FAQs.

 

To set up tax classes

1. Select Library Master Setup menu > Sales Tax Class Maintenance.

2. Enter a class in the Tax Class field. For more information, see Sales Tax Class Maintenance - Fields.

3. In the Description field, type a description for the tax class and click Accept. Repeat steps 2 and 3 for each tax class you need to define.

4. After defining sales tax classes, assign the tax classes to item codes, inventory items, and miscellaneous charges.

Sales tax classes are defined.