How to Create Tax Rules
Last updated
Was this helpful?
Last updated
Was this helpful?
In this Wise Option tutorial, we learn to create tax rules, customizing criteria like branch, invoice type, and country, and assigning tax percentage and type, ensuring accurate invoicing based on specific conditions.
Estimated Time to Complete – 10 Minutes
Before beginning, make sure you have:
Logged into your Wise Option account.
Necessary user permissions to access Task Files.
Click the tabs below based on the version of the Wise Option software you need instructions on.
For visual learners or those who prefer step-by-step guidance, we offer a concise instructional video below.
Open the task file
Locate and select the "Task Rule" label.
Click on the green plus button to initiate the creation of a new tax rule.
Type in a title for your tax rule. Consider being specific, such as mentioning the state or type of tax (e.g., "Vermont State Tax").
Customize based on your requirements. For instance:
Choose a specific branch for which the tax rule applies.
Select an exception based on invoice type (e.g., dispensed invoices) (This requires IMPACT)
Consider scenarios like after hours versus regular hours (This requires IMPACT)
Set exceptions for profit centers or specific locations (This requires IMPACT)
Define criteria based on the customer's billing address country.
Select the appropriate tax type (e.g., state tax).
Choose between "Percentage Before" or "Percentage After" based on your country or state's tax rules.
Example of Percentage After:
If using "Percentage After," the tax is applied after the item cost is calculated.
For instance, if the item costs $10 with a 10% sales tax, the tax is $1, and the total invoice amount is $11.
Example of Percentage Before:
If using "Percentage Before," the tax is applied before calculating the item cost.
For example, if the item costs $10 with a 10% sales tax, the tax is $1, and the total invoice amount is $10.
Save and Review:
Save your tax rule settings.
Review your created tax rule.
Repeat or Modify as Needed:
If necessary, create additional tax rules or modify existing ones based on different criteria.
Further Learning:
Explore additional videos for more examples of tax rules.
8.25% City Sales Tax (Percentage After)
8.25% City Sales Tax (Percentage After) -only for dispensed invoices
2% State Tax (Percentage After)