How to Define Tax Types in Payables
About direct and indirect taxes read here . Payables uses five types of taxes: Sales. Used to record sales tax charges on invoices and taxable invoice distributions. Use. A tax you pay directly to a tax authority instead of to a supplier. Suppliers do not include use taxes on invoices. By assigning use taxes to invoices, you can create a record of the taxes you owe to tax authorities. Review your use tax liabilities by running the Use Tax Liability Report. Offset. A negative-rate tax you use to offset a positive tax to allow you to record and report on zero-rated taxes. For example, an office in an EU state paying an intra-EU invoice can assign a VAT tax and a corresponding offset tax to an invoice, so it can record and report VAT taxes without actually paying any to the supplier. User-defined (VAT, GST). You can define in the QuickCodes window in Payables as many tax types as you require for your tax authorities and tax rates. Payables...