Tax Code

Use up to three characters to enter a code for the tax record you're creating.

Each time you enter a transaction in the Sales or Purchases window, you'll be able use this tax code to assign this tax to the transaction you're creating.

Description

Enter a description for the tax code you've entered. We recommend that your description be short and easy to remember.

Tax Type

Select the tax type that applies to the tax code you're creating. In MYOB AccountEdge, there are three tax types:

• Import Duty - This tax type should be used by importers bringing goods into the United States from other countries. Tax codes with this tax type are used to record the import duty payable on a purchase order without changing the total amount of the purchase order. (The import duty is treated as a separate transaction since the duty is payable to the federal government, not to the company supplying the goods.)

• Sales Tax - This tax type covers most of the taxes you'll collect or pay. This tax type should be used for state, county and city taxes on retail sales.

• Consolidated - This tax type is used for tax codes that are made up of two or more other tax codes. For example, if you're required to charge both a state sales tax and a local (city or county) sales tax on the sales you make, you can use a consolidated tax code that combines tax codes for both these tax rates.

Code column

Enter a tax code you wish to include in the consolidated tax code, or click the search icon to display a search list of tax codes to choose from.

Description column

This column displays the description for each of the tax codes you entered in the Code column.

Rate column

This column displays the tax rate assigned to each of the tax codes you entered in the Code column.

Total

This field displays the total tax percentage that will be applied to line items that are assigned this tax code.

New button

Click this button to open a new Tax Code Information window and create a new tax code.

OK button

Click this button to accept the entries you've made in this window.