Work 365

Tax Rate Groups

190 views October 7, 2019 March 2, 2020 0

Tax Rate Groups

Group of taxes that are applied collectively based on country/region(s) users operate. Tax rates are specific within each country, for example, a state might have state tax + city tax (with different rates) which needs to be applied collectively towards a transaction.

In the above screenshot, we have the CA-US-Tax group which has two separate tax rates which will be applied as a whole if this is selected as tax rate on the Billing contract.

  • California State Tax – 5%
  • County Tax – 3%

Note: The best practice on naming the rates is to have a State/Region Tax% naming structure so that the invoice tax line item lists the tax % for the specific region.

To import tax rate groups:

  • Prepare a Tax Rate Group template. Reach out to if unsure on how to create this template.
  • Navigate Work 365 ➤ Taxation ➤ Tax rate groups ➤ Import Data ➤ Select file ➤ Submit

Tax breakup

When the taxes are calculated, the system stores calculations per tax rate which had been defined, and selected on the customer’s billing contract. This is used to generate tax reports for reference.

Additionally, on the invoice in Work 365, the subscription line items are broken down into the different tax rates.

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