Tax Tables define Sales Tax amounts based on the following factors:
- Store Location
- Date of the Transactions
- Customer Type
- Types of Inventory Items
- Shipped or Picked Up
- Dollar amount purchased
- Any combination of these factors
Tax Tables contain four main components.
Tax Tables are assigned to Customers using the Customer Database record Tax Table field. Each Tax Table contains at least one Tax Formula. The formula defines the Sales Tax to be charged (for items which are defined by Tax Codes).
Tax Codes are assigned to Inventory items using the Inventory Database record Tax Code field. Tax Codes define the items for which Sales Tax should or should not be charged by the Tax Formula.
Tax Formulas define the amount of Sales Tax to charge. Each Tax Formula applies to a specific Tax Code. Tax Formulas are contained in Tax Districts, which in turn are contained in Tax Tables.
Tax Districts may be thought of as the entities to which the store must pay Sales Tax (i.e. State, County, City, etc.). Using Tax Districts with their respective Tax Formulas (rates) enables Sales Tax reports to show the different tax amounts collected.
The Tax Table's Tax Formula defines the amount of sales tax that should be collected for the items defined by the formula's Tax Code when they are sold to the Customers assigned to the Tax Table.
Note: When an item is sold, Keystroke identifies its Tax Code, looks at the Customer's Tax Table to see if the Tax Code is included in the Tax Formula, and then uses the applicable Tax Rate.
Tax Table S (for retail Customers) contains 2 Tax Districts.
The first is District S which contains a Tax Formula defining a 6.25% State Sales Tax that applies to Tax Code T (Taxable items).
The second is District C which contains a Tax Formula defining a 2.50% County Sales Tax that applies to Tax Code T (Taxable items).
Together, the 2 Tax Districts in Tax Table S collect 8.75% in Sales Tax.
So... retail Customers are charged 8.75 in Sales Tax for taxable inventory items.
Setting up Tax Codes
Applying Tax Codes to Inventory Items
Setting up Tax Tables
Setting up Tax Formulas
Applying Tax Tables to Customers
Tax Table Example
When Tax Rates Change
Configuration Manager Contents