Invoicing with Multiple Sales Tax - Canada


C

cmuso

On customers purchase various goods, some of the items are subject to
PST and some items are subject to both PST and GST. How can I handle
this in PT. It appears to globally calculate the tax based on the
customer sales tax code. Is there something I am missing?
 
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J

John W.

cmuso said:
On customers purchase various goods, some of the items are subject to
PST and some items are subject to both PST and GST. How can I handle
this in PT. It appears to globally calculate the tax based on the
customer sales tax code. Is there something I am missing?
You are right. You can easily create tax codes and authorities to
handle PST/GST but this is applied at the customer level, not the item
level. You can also set up tax types that will make that line item
taxable/non-taxable. Sort of all or nothing. You coud assign a customer
a default tax code for the type of products he purchases. If he
purchases a product that differs from the default of his main order you
would have to enter a separate invoice for this item(s) and change the
sales tax code at the bottom left of the screen to the code that
applies the correct tax. Alternatively you could set the sales tax code
for either PST or PST/GST and mark any items not subject to the tax
code entered with an exempt tax type. Then manually calculate the tax
for the items marked expempt and enter this tax as another line on the
invoice. Which ever way you choose think about end of month and the tax
reports peachtree generates that you may need. You want to ensure you
still get the information you need on these reports.

-John
 
T

Ted

I think that a reading of the Peachtree manual would help here. What you need to do is to set up
the "Tax Authorities" and the " Tax Codes" just as the manual describes, with Tax codes for HST,
GST+PST, GST only, and finally, Exempt, applying the tax authorities accordingly. Apply the tax
codes to the customer records, and change them as might be occasionally required on the invoice.

With the appropriate GL codes configured, then you don't have any further problems. You would pay
your sales taxes according to your month/period end trial balance amounts.

The only deficiency is that your invoiced taxes aren't disclosed separately, but lumped together as
a total. If you have customers that require sales taxes to be shown separately, then set the sales
taxes up in inventory as non-stocking items, with the price being the tax rate, and the quantity on
an invoice as the accumulated amount of the invoice before the taxes are applied.

Most Canadian Peachtree users with whom I'm in touch use the native Peachtree "Tax Authorities" and
the " Tax Codes", and I've never heard of any complaints from them about sales tax auditors
complaining. In my experience, it's only Canadian Quickbooks accountants who might take offence.


On 26 Nov 2003 05:57:36 -0800, (e-mail address removed) (cmuso) wrote:

->On customers purchase various goods, some of the items are subject to
->PST and some items are subject to both PST and GST. How can I handle
->this in PT. It appears to globally calculate the tax based on the
->customer sales tax code. Is there something I am missing?


When replying, please remove {_Spam_Me_Not_} from the email address.
 
R

Rahman

I have to deal with a value added tax (VAT). How would you set it up? So
far I have not managed. I have one tax authority and two rates.
Unhappily there is no example for Canadian or International VAT. Thanks
for your help.
 
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T

Ted

If I remember correctly from reading the manual, you would set up multiple tax authorities, i.e.,
CCRA for the federal taxes, and PST (for B.C. as an example) and then in the tax codes, combine
these two authorities, i.e. CCRA and PST(BC) to create one tax code "GST + PST".




->I have to deal with a value added tax (VAT). How would you set it up? So
->far I have not managed. I have one tax authority and two rates.
->Unhappily there is no example for Canadian or International VAT. Thanks
->for your help.
->
->
->Ted wrote:
->> I think that a reading of the Peachtree manual would help here. What you need to do is to set
up
->> the "Tax Authorities" and the " Tax Codes" just as the manual describes, with Tax codes for HST,
->> GST+PST, GST only, and finally, Exempt, applying the tax authorities accordingly. Apply the tax
->> codes to the customer records, and change them as might be occasionally required on the invoice.
->> With the appropriate GL codes configured, then you don't have any further problems. You would
pay
->> your sales taxes according to your month/period end trial balance amounts.
->>
->> The only deficiency is that your invoiced taxes aren't disclosed separately, but lumped together
as
->> a total. If you have customers that require sales taxes to be shown separately, then set the
sales
->> taxes up in inventory as non-stocking items, with the price being the tax rate, and the quantity
on
->> an invoice as the accumulated amount of the invoice before the taxes are applied.
->>
->> Most Canadian Peachtree users with whom I'm in touch use the native Peachtree "Tax Authorities"
and
->> the " Tax Codes", and I've never heard of any complaints from them about sales tax auditors
->> complaining. In my experience, it's only Canadian Quickbooks accountants who might take
offence.
->>
->>
->> On 26 Nov 2003 05:57:36 -0800, (e-mail address removed) (cmuso) wrote:
->>
->> ->On customers purchase various goods, some of the items are subject to
->> ->PST and some items are subject to both PST and GST. How can I handle
->> ->this in PT. It appears to globally calculate the tax based on the
->> ->customer sales tax code. Is there something I am missing?
->>
->>
->> When replying, please remove {_Spam_Me_Not_} from the email address.


When replying, please remove {_Spam_Me_Not_} from the email address.
 

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