Absolute Sales Tax Setup

Overview Absolute tax codes are manually assigned to customer accounts for precise tax management. This setup is necessary when tax boundaries do not align with zip codes or when specific state, county, city, and local tax rates must be defined.

Setup Details

1. State, County, City, and Local Tabs

   • Each tab must be populated with the appropriate tax rates and account numbers for each level of taxation.

2. Tax Rate

   • The standard tax rate for the level selected (e.g., 8.25%).

3. Rental Rate

   • The tax rate specific to rental transactions.

4. EQ Sale Rate

   • The tax rate specific to equipment sales.

5. Labor Rate

   • The tax rate specific to labor charges.

6. Tax Account # Field

   • The account number used for Sales Tax Liability.

7. Maximum Amount

   • The cap on the total sales tax for this tax code.

8. Description

   • Displays the description when the tax code is selected.

Special Tax Considerations

• County/Prov Tab - County Special Flag
  • A special setting used for states with unique tax structures, such as progressive tax rates in Tennessee for equipment sales.

Branch and Department Setup

• Branch Setup

  • Specifies if transactions should be taxed at the dealer's location.

• Department Setup - Tax at Dealer Flag

  • Indicates if a department's transactions should follow the dealer's tax code.

Customer Setup

• Customer Setup Window - Tax Codes Tab
  • Defaults to the zip code tax code unless overridden.
  • For customers using Absolute Tax Codes, check the flag and specify the individual tax codes for State, County, City, and Local.

Special Features

• Department Miscellaneous Charge Setup
  • Miscellaneous charges marked as Taxable will follow the setup in the Department Setup, regardless of Sale Code or Absolute Tax Code setup.