If your business makes sales and purchases, you're probably very familiar with the concept of including tax on the transactions you conduct with your customers and vendors, and you know how important it is to track these amounts carefully.
To help you keep on top of taxes, MYOB AccountEdge uses tax codes. Each tax code represents a particular tax rate, which is used to calculate tax on your transactions. You'll set up taxes using the Tax Code List window which can be found by choosing Tax Codes from the Lists menu.
In AccountEdge, you can choose from three tax types:
This tax type is used for taxes that are made up of two or more tax codes or sub-taxes. You can use this code, for example, if the 8% tax rate you record on sales is the combined total of a 5% state sales tax rate and a 3% city sales tax rate.
This tax type should be used by importers bringing goods into the United States from other countries. Tax codes with this tax type are used to record the import duty payable on a purchase without changing the total amount of the purchase.
This tax type is associated with the tax recorded on sales and purchases of goods and services.
Before you can accurately track tax amounts on sales and purchases, you must set up tax codes that represent the tax rates your company uses. You can create as many tax codes as you like. If a tax rate changes or you wish to link a tax code to a different account, you can change the tax code information. A tax code can be deleted only if it's not in use on a sale, purchase or check transaction.
See Multicurrency and Tax Codes if you use AccountEdge's Multicurrency feature.
Step by step
To create tax codes