Sales Tax Code Maintenance - Fields Home | FAQs & Troubleshooting

 

Sales Tax Code Maintenance

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Tax Code

Enter the code representing the tax jurisdiction to add or maintain, or click the Lookup button to list all tax codes.

 Entry Sample

CA

 

Description

Type a description of the tax jurisdiction.

 Entry Sample

California

 

Short Description

Type a short description of the tax jurisdiction. This description is used when printing tax detail on forms.

 Entry Sample

Calif

 

Taxable Limit

Type the maximum amount that can be taxed per invoice, order, receipt, or return using the current sales tax code.

Note The limit does not apply to Accounts Payable invoices.

 

Calculate Sales Tax on Retention

Select this check box to calculate sales tax on the invoice amount less retention. Clear this check box to calculate sales tax on the full invoice amount, regardless of retention. If this check box is selected, tax is calculated on retention invoices. If this check box is cleared, sales tax is not calculated on retention invoices. The Calculate Sales Tax on Retention Invoices check box in Job Cost Options must be selected to use this feature.

Note This field is available only if the Job Cost module is installed.

Note This field is not available for Sage 100 Premium.

 

Expense to Vendor/Item

Select this check box to allocate the nonrecoverable portion of a purchase’s sales tax to the vendor’s expense account in Accounts Payable or to the inventory account in Purchase Order. Clear this check box if the nonrecoverable portion is not to be allocated. To allocate taxes to the inventory items cost, select this check box and enter a percentage in the Nonrecoverable Pct field.

 

Tax on Tax

Select this check box if this tax code is subject to taxation by other tax jurisdictions. Clear this check box if the tax code is not subject to tax on tax.

If your tax jurisdiction charges tax on tax, you must set up a tax code that is subject to tax on tax. For more information, see Set Up Sales Tax Codes for Tax on Tax.

 

Tax Class (Tax on Tax)

Enter the tax class to use during tax on tax calculations, or click the Lookup button to list all tax classes. These tax classes cannot be entered in Sales Tax Class Maintenance.

 

Tax Class

Enter a tax class for the tax code, or click the Lookup button to list all tax classes.

Note Tax code NT cannot be maintained or deleted.

 

Description (Tax Class)

This field displays the description of the tax class and can only be viewed.

 

Tax Rate

Type the tax rate percentage to use for calculating taxes for each applicable tax class.

 Entry Sample

Enter....	If....
6.000	you want to enter a tax rate of 6 percent.
.500	you want to enter a tax rate of ½ percent.

 

Sales

Select this check box to calculate sales tax for this tax code. Clear this check box if you do not want to calculate sales tax.

 

Purchases

Select this check box if purchases are taxable for the tax class entered. Clear this check box if the purchases are not taxable.

 

Nonrecoverable Pct

Enter the percentage of the purchase tax that cannot be recovered. Enter zero (0) in this field if all purchases sales tax is to be posted to the Accounts Payable sales tax account. Enter 100 in this field to post all of the purchases sales tax to the nonrecoverable account.

Note This field is available only if the Purchases check box is selected.