About Taxing

Taxing on the system offers you many choices.

Tax districts offer you a flexible method to handle special tax rates that do not apply to all your customers. You can set up taxing on the system in several different ways. Total tax can be entered in the Tax District window, or you can enter your state tax in the text-based L0) Global Master Parameters screen and set up additional taxing in the Tax District database. For more information, see About Tax Districts.

You can use the Item Tax Districts window to set up tax districts that work with item departments. This is a helpful feature for Furniture dealers who have taxable and non-taxable locations. For more information, see About Item Tax Districts.

You can also set up sales tax in several different ways. For more information, see About Sales Tax.

Address Taxability allows you to have a tax table on your server that you can update tax tables on a regular basis. This provides you with the flexibility of maintaining tax information for customers nationwide. Tax rates are not only different from state to state or city to city, rates may differ within a zip code or city limits. Address Taxability lets you set up individual items so that they can be taxed correctly. For more information, see About Address Taxability.

Additionally, there are three other taxing features. These include the tiered sale price taxing district, nesting combined taxing districts, and taxing single items at different percentage rates based on categories. These taxing features are a result of tax law changes in the state of Tennessee. However, these work for anyone who needs combined tax districts.

Tiered taxing districts let you tax a different tax percent on an item based on sell price. With this feature, you can set up a combined tax district with unlimited tax districts. Previously, you could only set up a combined tax district with not more than three tax districts. See About Tiered Taxing.

Nesting combined taxing districts lets you assign one combined tax district to another combined tax district. See Setting Up Nested Combined Tax Districts.

Note: Tiered taxing and nested combined taxing are available for both graphical and text-based users.

Furthermore, you can now assign tax categories by item. For example, you can tax non-processed food items at a different rate than processed food items. This is only set up in graphical. See Setting Up Item Tax Districts.