Introduction
In the course of doing business, there are times when you need to apply multiple taxes to a single transaction. For instance, you might want to apply a tax to the total value of items (e.g., NBT), and then apply another tax (e.g., VAT) on top of that. This guide will guide you on how to effectively apply multiple layers of taxes in Empress, using the user interface.
Introduction: Understanding Multiple Tax Application
The need to apply multiple layers of tax could arise depending on the tax laws of your country or the nature of your business transactions. The Multiple Tax Application feature in Empress allows you to configure your tax settings to include multiple layers of taxes. This feature significantly simplifies your tax calculations and ensures accuracy in your financial transactions.
How to Apply Multiple Taxes in Empress
To apply multiple layers of taxes in Empress, you need to make adjustments in your Sales Order or Invoice under the Sales Taxes and Charges table. Here’s a step-by-step guide:
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Choosing the Type of Tax: In the first row, select the type of tax as On Net Total.
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Applying the First Tax Layer (NBT): Still in the first row, select or add a new tax, naming it as NBT. Set the tax rate at 2%.
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Applying the Second Tax Layer (VAT): In the second row, select the type of tax as On Previous Row Total. Select or add another new tax, naming it as VAT. Set the tax rate at 15%.
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Referencing the First Row: To link the VAT to the NBT-inclusive total, expand the second row and add the Reference Row # to 1.
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Saving the Document: After setting up the tax structure, save the document. You can view the final look of the tax structure by clicking on the print preview.
Using these steps, you can apply multiple layers of taxes in Empress. The principles outlined in this guide can be used to apply any tax structure, regardless of the specific tax types or rates. Always double-check your tax settings before finalizing transactions to avoid discrepancies.
Conclusion: Enhancing Business Processes with Multiple Tax Application
The Multiple Tax Application feature in Empress provides a streamlined way to apply multiple layers of taxes to your business transactions. This ensures accuracy and compliance with tax laws, ultimately enhancing your financial operations. For further assistance, consider reaching out to Empress Support or explore other user-friendly resources available within the Empress platform.