Exercise - Set up sales tax codes and sales tax groups

  • 15 minutes

In this exercise, you set up sales tax codes and sales tax groups.

Set up sales tax codes

You need to create sales tax codes for every indirect tax or duty that the legal entity is obligated to calculate, collect, and pay to sales tax authorities.

  1. Go to Tax > Indirect taxes > Sales tax > Sales tax codes.

  2. Select New on the Action Pane.

  3. In the Sales tax code field, enter a value.

  4. In the Name field, enter a value.

  5. Select a Settlement period to specify which Sales tax authority and in which intervals you need to report and pay this sales tax.

  6. Select a Ledger posting group to specify the main accounts to post sales tax to the general ledger.

  7. In the list, find and select the desired record.

  8. Expand the Calculation FastTab. Verify the fields that control how to calculate sales tax amounts.

  9. On the Action Pane, select Sales tax code.

  10. Select Values.

  11. Enter the value for this tax code.

  12. Select Save.

  13. Close the page.

  14. Select Save.

Set up sales tax groups and item sales tax groups

To set up sales tax groups and item sales tax groups, follow these steps:

  1. Go to Tax > Indirect taxes > Sales tax > Sales tax groups.

  2. Select New on the Action Pane.

  3. In the Sales tax group field, enter a value.

  4. In the Description field, enter a value.

  5. Expand the Setup section.

  6. Select Add.

  7. In the Sales tax code field, select the dropdown button to open the lookup.

  8. Select Save.

  9. Close the page.

  10. Go to Tax > Indirect taxes > Sales tax > Item sales tax groups.

  11. Select New.

  12. In the Item sales tax group field, enter a value.

  13. In the Description field, enter a value.

  14. Select Add.

  15. In the Sales tax code field, select the dropdown button to open the lookup.

  16. Select Save.