How to Configure Sales Taxes in Acumatica

Follow these Steps to Configure Sales Taxes in Acumatica:

How to Define Sales Tax Rates

  1. Configure the Tax – Define the tax rate details; each tax is reported to a specific tax agency:
    1. Select Taxes > Profiles > Taxes
    2. Tax type: Sales
    3. Calculation rule: Inclusive Line-Level (method of tax calculation)
    4. Tax agency (created in the step above)
    5. Date when the tax becomes effective
    6. Tax rate
    7. Reporting Group: Taxable Sales
    8. Categories: Taxable
    9. GL Accounts: Update to appropriate accounts
  2. Define the Tax Zone – Define the groups of taxes that are applicable in a particular territory; these will be assigned to each customer location:
    1. Select Taxes > Profiles > Tax Zones
    2. Default Tax Category: TAXABLE
    3. Applicable Taxes: The state, county, and/or city taxes that will be used when the customer location is assigned to this zone. For example: TXHARRIS has taxes for TXSTATE and TXHARRIS

Configuring Acumatica Sales Taxes - Tax Zones

Additional Information and Setups

Check out these additional tips that may be applicable to your Acumatica Cloud ERP configuration.

How to Add a Vendor Tax Agency

Create a vendor account for the tax agency.  Mark Vendor is Tax Agency within the Vendor Properties group on the General tab and update the Tax Agency tab appropriately.  If a new tax agency is created, see notes below for setting up the reporting needs for the agency.  These reports must be setup prior to setting up taxes.

Configuring Acumatica Sales Taxes - Configuring Tax Agencies

Configuring Acumatica Sales Taxes - Configuring Tax Agencies

How to Configure a Vendor Tax Agency Report

If a new tax agency (vendor) is added, you will need to configure the tax report required for this tax agency.

  1. Report Settings
    1. Select Taxes > Preferences > Report Settings.
    2. Report Lines – the required number of rows in which the value will be recorded
    3. Reporting Groups – the required reporting groups; this is the link between a particular tax and a particular line of the tax report. Must have at least one output reporting group.
  2. Reporting Groups
    1. Select Taxes > Preferences > Reporting Groups.
    2. View and edit reporting groups for each tax agency
    3. Examples:
      1. Input: VAT
      2. Output: Sales tax, Use tax

For more information about Sales Taxes and Sales Tax configuration, see the following article in the Acumatica Cloud ERP help:
https://help.acumatica.com/Help?ScreenId=ShowWiki&pageid=e81ed34c-1c6d-4a8b-9903-1f326e615bd9

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