The Sales Tax Code List holds every tax rate your company uses — GST 5%, HST 13%, PST 7%, QST 9.975% — and the tax groups that combine them, such as "GST + PST 12%" for British Columbia. These are the codes you pick in the Tax column of invoices, bills, cheques and card charges, and the codes items carry.
The list decides the percentage. Which return each rate's tax belongs on is decided separately, by mapping each rate to a tax account in Accounting Setup (see Which tax each rate is). Add a rate here, then map it there.
Opening the list
Lists ▸ Sales Tax Code List. The screen is headed Taxes — Tax rates applied to products.
The list
Each row shows the rate's name, its percentage, and Tax group for a group. A group shows the combined percentage of its rates. On the right of each row:
| Control | What it does |
|---|---|
| Pencil | Edit the rate or group. |
| Bin | Delete it, after asking you to confirm. |
| Default tick box | The tax every new item starts with. Tick one rate to make it the default; ticking another moves the default; unticking leaves no default. |
The default is remembered on this computer.
Add a tax rate
- Choose Add Tax.
- In Tax name, type a name that says what it is, for example "GST@5%" or "HST ON 13%".
- In Rate (%), type the percentage, for example 5 or 9.975. A 0% rate is allowed, for zero-rated supplies.
- Choose Add.
Add a tax group
A group combines two or more rates charged together, so one code on a line charges both.
- Choose Add Tax.
- Turn on Tax group (combine rates) (for example "BC TAX = GST 5% + PST 7%"). This is available once you have at least two rates.
- Type the Tax name, for example "BC TAX".
- Under Combine these rates:, tick the rates it is made of. Combined rate shows the total.
- Choose Add.
A group's tax is split back into its rates when it posts, so each part reaches its own account and its own return.
Change or delete a rate
- The pencil opens Edit Tax Rate (name and rate) or Edit Tax Group (name and the rates it combines). Choose Save. Changing a rate's percentage also recalculates every group that contains it.
- The bin deletes the rate after you confirm.
Documents already saved keep the tax they were saved with. A change affects new lines only.
Messages you may see
| Message | What to do |
|---|---|
| Enter a valid tax rate | Type a number of zero or more in Rate (%). |
| Select at least 2 rates to combine | A group needs two or more rates ticked. |
| No tax rates yet. Tap 'Add Tax' to create one (e.g. VAT@10%). | The list is empty. Add your rates. |
Permissions
The role needs the Taxes permission ("Tax rates").
Tips
- After adding a rate, open Company ▸ Accounting Setup and map it under Which tax each rate is. An unmapped rate shows Guessed from name, and its tax may land on no return.
- Name rates by what they are and where: "PST BC 7%" rather than "Tax 2". The name is what you pick on every line.
- Set a usual tax on the expense accounts you use often (see Add, edit, merge or make an account inactive), so cheque and bill lines fill in the right code.