Handling Taxes

Locations:

Locations are used to identify the applicable taxes for your area. This is purely based on your location. In the majority of cases this will suffice as

eg:   San Bernadino County

You set your current location for tax purposes under the Taxes tab of the Options Dialog.


Tax Groups:

Tax groups are used to group taxes for certain products or fees. As each of these items may only be assigned a single tax group, you will need to consider how to best group the taxes.

eg:   San Bernadino County

-   Buy and Use Tax

This example would be useful if all items that are classified as falling under a sales or consumption tax share the same rates.

Alternately, you may wish to break up the taxes further buy creating groups as required for different classification of tax for your location.

eg:   San Bernadino County

-   General Goods

-   Services

-   Electrical

-   Big Ticket

-   ... etc.

Taxes:

Taxes refer to the individual tax items that make up a tax group.

eg:   San Bernadino County

-   Buy and Use Tax

-   San Bernadino County      0.5%      (Account - see below)

-   California State      7.25%      (Account - see below)

Tax Accounts:

For accounting purposes, Martial Class™ uses accounts in the ledger to track taxes you need to pay on money collected. This means you may simply open the nominated account to see at any time what taxes are due. This is configured as follows:

eg:   San Bernadino County

-   Buy and Use Tax

-   San Bernadino County      0.5%      San Bernadino Tax Account

-   California State      7.25%      California Tax Account