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Creating Sales Tax Definitions

If you have inventory (and, perhaps, even services) that you sell to customers, you may have to charge sales tax.

To be able to charge sales tax, you must have at least one sales tax defined in the Sales Tax Definition Maintenance dialog box. There are several ways to access this dialog box.

To create a sales tax definition:
  1. Choose Company > Manage Sales Tax Definitions.
    If you're managing customers, on the Detail tab of the Customer Detail dialog box, click the Tax Definition link.
    If you’re working with invoices, in the Invoices dialog box, click the Sales Tax Definition link.
  2. In the Sales Tax Definition Maintenance dialog box, to add a new sales tax, if necessary, click Add.
    By default, when you open this dialog box the first time, there is a blank row available.
  3. Type a Description for the sales tax.
  4. Specify the Rate (as a percentage) for this tax.
  5. Then select a Tax Account for the sales tax.
    If the correct tax account isn’t in the list, click the click here link at the bottom of the dialog box to add the correct account to your Chart of Accounts. (See Adding Inactive Accounts to the Chart of Accounts or Maintaining the Chart of Accounts.)
  6. Click OK.
To edit a sales tax definition:
  1. Choose Company > Manage Sales Tax Definitions.
    If you're managing customers, on the Detail tab of the Customer Detail dialog box, click the Tax Definition link.
    If you’re working with invoices, in the Invoices dialog box, click the Sales Tax Definition link.
  2. In the Sales Tax Definition Maintenance dialog box, make any necessary changes.
    If a tax account that you need isn’t in the list, click the click here link at the bottom of the dialog box to add the correct account to your Chart of Accounts. (See Adding Inactive Accounts to the Chart of Accounts or Maintaining the Chart of Accounts.)
  3. To save the change, click OK.
To delete a sales tax definition:
  1. Choose Company > Manage Sales Tax Definitions.
    If you're managing customers, on the Detail tab of the Customer Detail dialog box, click the Tax Definition link.
    If you’re working with invoices, in the Invoices dialog box, click the Sales Tax Definition link.
  2. In the Sales Tax Definition Maintenance dialog box, click the Description box for the sales tax definition to delete.
  3. In the confirmation message box, click Yes.
  4. To save the change, click OK.