Question

how to setup sales tax and tax code for new company in sage 50 canada edition

Answer 1

For setting up sales tax, follow following steps:

Go to Setup -> Settings -> Company -> Sales Tax -> Taxes

Fill in on the details pertaining to the country/region/province.

For Taxes paid on Purchases , Choose 'Acct to track tax paid on purchases.'

For Taxes collected on Sales, Choose 'Acct to track tax charged on revenues.'

Next below in Reports, Choose 'Yes' to generate accurate tax reports

Click on 'OK' to complete.

For setting up tax codes:

Go to Setup -> Settings -> Company -> Sales Tax -> Tax codes

Next, go to Code and type in the code (by choosing from available choices)

Double click on entered code and Tax Code Details pop-up appears.

In this pop-up, go to the Tax Column double click and select the appropriate tax

Check whether the Tax Status is correct. Available Alternatives are Taxable, Non-taxable, Exempt.

Type in the tax rates in the Rate Column

If you wish to record Tax in separate records, 'Is Refundable should be set' to Yes . Set GST / HST to Refundable

Click on 'OK' to complete.