This topic is in reference to the Acme Office Supplies sample company data.

 

The sample data uses Multiple Location / Multiple Rate Sales Tax.

 

With this type of Sales Tax:

•Tax Classes get assigned to Items.

•Tax Locales get assigned to Customer locations (point of delivery; in store or delivered to somewhere).

•Tax Rates (%) are determined by looking at both the item and the point of delivery.

 

You can configure Acme for one of two Sales Tax Types; Single Rate or Multiple Location / Multiple Rate. Single is pretty self explanatory, Multi is for GST, VAT and Multi-VAT.

 

Sales Tax Rates

6.5% general sales tax for State of Minnesota.  “MN”

0.5% additional general tax for City of Rochester with. (6.5 + .05) “ROCH-GEN”

9% Minnesota Ice Melt “MN-ICEMELT”

 

Rochester add-on tax is only applied to General Merchandise, not Ice Melt.

MN-ICEMELT tax is a special tax on products that are used to melt ice. Minnesotan's like things cold.

 

Tax Exempt Classes

We set up three classes to group tax exempt sales on the Sales Tax Report:

•Governmental Entity

•Reseller

•Non-Profit

 

Instead of using Tax Exempt Classes, some set up a Rate(s) = 0.00, that works too.

 

Walk-in tax Location Code

this is set to “MN” on each POS Terminal record.

All taxable customers will be taxed via this Location Code unless the ticket is marked for Delivery and the Delivery Address has a different Location Code.

 

Location Code Samples: