Tax Codes

Tax codes that are to be used in Accounts Receivable must exist in the Finance Tax Table Database (Finance Setup>Database Menu>Tax Table).

The GST is calculated based on the tax code set up on the GL account in Finance.

Programs which use GST in Accounts Receivable:

Invoice Entry

Misc. Cash Entry

Adjustments

Credit Note Entry

If PST is to be calculated, a PST tax code must be set up in Finance. This tax code should have a GL account set up in field 08 [LIABILITY/RECEIVABLE GL].

Each time this tax code is used in Accounts Receivable, the amount of tax will be posted to this GL account. It is important that the descriptions for these tax codes are entered the way you wish them to print on any invoices, statements or receipts. The most common format is GST for Goods and Services Tax and PST for Provincial Tax.