Tax Accounts

Use the fields in the Tax Account frame to specify the accounts to be updated for tax amounts generated by this tax rate. All accounts must be of type Tax Control except for the two discount accounts, which are type Standard. All tax accounts default from domain settings in Domain/Account Control (36.9.24) and can be changed as needed.

Identify the sales tax liability account and optional sub-account credited when tax is calculated on sales invoices for a customer.

Identify the GL account and optional sub-account credited whenever tax is calculated on a credit note issued to a customer.

Identify the GL asset account and optional sub-account debited for recoverable purchase and accounts payable taxes, or liability when treated as a contra account to sales tax payable.

Identify the GL account and optional sub-account debited for recoverable purchase and accounts payable taxes, or liability when treated as a contra account to sales tax payable.

Identify the sales tax liability account and optional sub-account credited whenever your company pays tax instead of charging it to the customer. See Absorbed Taxes.

Enter the default GL account and optional sub-account used to track sales tax absorbed for credit notes for this tax rate. See Retained Taxes.

Identify the liability account and optional sub-account credited whenever your company remits tax amounts directly to the government instead of to the supplier.

Enter the default GL account and optional sub-account for retained (reverse charge) taxes on supplier credit notes for this tax rate.

Enter the default GL account code used to track AP discount amounts for this tax rate. The account must be a valid, active account of type Standard.

The accounts defined for the tax rate are used during payment processing if they exist. See Discount Accounts per Tax Rate for details.

Enter the default GL account code used to track AR discount amounts for this tax rate. This must be a valid, active account of type Standard

The accounts defined for the tax rate are used during payment processing if they exist. See Discount Accounts per Tax Rate for details.

Enter the default GL account and sub-account codes used to track suspended tax in customer invoices. Suspended taxes are applied to customer invoices only when the invoice amount has been fully or partially paid.

This must be a valid, active account of type Tax Control. You must define a sub-account for suspended tax accounts. The account you enter must be valid on its own and in combination with the sub-account.

Enter the default GL account and sub-account codes used to track suspended tax in customer credit notes. This must be a valid, active account of type Tax Control. You must define a sub-account for suspended tax accounts. The account you enter must be valid on its own and in combination with the sub-account.

Enter the GL account code used to track delayed tax in supplier invoices. Delayed taxes are applied to supplier invoices only when the invoice amount has been fully or partially paid.

This must be a valid, active account of type Tax Control. Delayed tax accounts require sub-account analysis. The account you enter must be valid on its own and in combination with the sub-account.

Enter the GL account code used to track delayed tax in supplier credit notes.

This must be a valid, active account of type Tax Control. Delayed tax accounts require sub-account analysis. The account you enter must be valid on its own and in combination with the sub-account.

Tax Rate Maintenance contains a Withholding Tax Calculation and Electronic Declaration frame, which is only displayed for withholding tax types. See Withholding Tax Fields in Tax Rate Maintenance.