Tax Types

• Add a Tax Rate
• Edit a Tax Rate
• Tax Groups
• Add a Tax Group
• Edit a Tax Group

Tax Types define the tax rates that can be applied to sales and purchases. Each item on a sale or purchase can have its own Tax Rate.

You can also combine multiple Tax Types into a Tax Group to simplify applying multiple taxes at once (for example, GST + HST).

Add a Tax Rate

1. Click + Add to create a new Tax Type.
2. Enter a name (for example, UK VAT).
3. Enter the tax rate as a percentage.
4. Select the associated Nominal Account .
5. Click Save.

The Tax Type will be available for selection on sales and purchase items.

Edit a Tax Rate

1. Select the Tax Type you want to edit.
2. Update the required fields.
3. Click Save.

Changes apply immediately and will affect future transactions using this Tax Type.

Tax Groups

Tax groups allow you to group multiple Tax Types together so they can be applied as a single selection.

This is commonly used in regions where multiple taxes apply to the same transaction (for example, federal and regional taxes). Each underlying tax is still tracked separately for reporting purposes.

Add a Tax Group

You must create individual Tax Types before adding them to a Tax Group.

1. Open the Tax Group tab.
2. Click + Add.
3. Enter a name for the Tax Group.
4. Drag and drop the relevant Tax Types into the In Use section.
5. Click Save.

The Tax Group will now be available as a single selectable option when applying taxes.

Edit a Tax Group

1. Select the Tax Group you want to edit.
2. Make your changes.
3. Click Save.

Updates will apply to future use of the Tax Group.