Vendor and Services Tax Configuration

The Tax policy controls which products, adjustments and services are taxed. The policy is located in Administration -> Policies -> Finance -> Taxes

You can create a Policy by Organization, State/Province or for Specific Buildings. We recommend always having an Organization Policy in place to ensure proper taxation occurs by default.

The Tax Policy is broken down into several tabs:

Taxes

Vendor Services

Products

Lease Adjustments

We will review each Tab in detail.

Taxes:

Name: This is where you would add the NAME of the tax in question: Example: Sales Tax, or VAT, HST, etc.

Compound: After you have created more than one tax, if your local law requires you to COMPOUND the tax you can check this box. Create several taxes first before clicking the compound box

Tax Rates: Here is where you enter in the tax % rate. If you know taxes are changing in the future you can add an expiration date and enter the new tax rate and the system will be able to distinguish when the tax rate changes. If you do not know leave the dates blank for the tax rates to take effect immediately.

Applied To: If taxes setup above apply to ALL (No Exceptions) check the box below and ALL charges will be taxed. If only certain products or certain services are taxed leave the CHECK BOXES EMPTY and follow the next instructions.

Lease Adjustments: Check ALL Lease Adjustments are taxable 

Products: Check if you ALL Products are taxable (Example: Commercial Rent)

Vendor Services: Check if ALL Vendor Services are taxable (Example: Landscaping, General Contractors, etc-- ALL No exceptions!)

The "Taxes" tab allows user to define all taxes that are used in the system. The other tabs specify where exactly each tax is used. So if you did not check a box below follow these instructions for proper configuration

 

Vendor Services:

*** ASSUMING YOU DID NOT CHECK THE APPLIED TO BOX MENTIONED ABOVE***

 Assuming you need to set taxes for Various Vendor Services you will +ADD All the Vendor Services that are taxable. You would then add the applicable tax to each service so the system understands the defined tax by service. Not entering a tax here would not add a tax to vendor services invoices.

Leave the FROM and TO date empty if you want the taxes to be applied immediately. You can change/edit the taxes if the tax rates change by adding a new tax rate when it applies. 

Tax_2.png

 

Products:

*** ASSUMING YOU DID NOT CHECK THE APPLIED TO BOX MENTIONED ABOVE***

Assuming you need to set taxes for certain Products (Example would Commercial Rent) +ADD All Products that are taxable. (If you do not see the product you want here then the missing product was not configured first). You would then add the applicable tax to each PRODUCT so the system understands the defined tax by Product. Not entering a tax here would not add a tax to product. (Example, if there is no tax on Residential Rent, do not configure Residential Rent).

Leave the FROM and TO date empty if you want the taxes to be applied immediately. You can change/edit the taxes if the tax rates change by adding a new tax rate when it applies. 

Tax_3.png

Lease Adjustments:

*** ASSUMING YOU DID NOT CHECK THE APPLIED TO BOX MENTIONED ABOVE***

Assuming you need to set taxes for certain Lease Adjustment (Example would Tenant Damage Charge Back) +ADD All Lease Adjustment Categories that are taxable. (If you do not see the Lease Adjustment you want here then the missing Lease Adjustment was not configured first). You would then add the applicable tax to each Lease Adjustment so the system understands the defined tax by Lease Adjustment. Not entering a tax here would not add a tax to product. 

Leave the FROM and TO date empty if you want the taxes to be applied immediately. You can change/edit the taxes if the tax rates change by adding a new tax rate when it applies. 

Tax_4.png

 

All Vendor Services, Products and Adjustments which are not added in this policy will have no tax.

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