Purchase Order (PO) entry screen does not follow the taxability rules set in the Sales Tax District table and there is no column to indicate that an item on the PO is not taxable. In some tax districts, materials (cost type 1) are sales taxable but the freight on those materials is not taxable (we use another cost type for freight and that type is set as not taxable in the tax district table). We cannot control the calculated sales tax on the PO when it has a combination of taxable and nontaxable items.
The system should either include a column in the PO Lines grid for Taxable (Y/N) and follow that in the sales tax calculation, or follow the rules set in the sales tax district table.
by: Walt M. | over a year ago | Project Management
Comments
We are treated as retail in our sales tax structure. We purchase everything tax free with our resale certificate and collect taxes from our clients. We never have a reason to add sales or use tax to our purchase orders. The purchase order screen pulls the tax status from the client information that should never apply to our purchases. So I do agree that should be more flexibility for tax mark up on the purchase order screen. I has to create a report that would exclude the tax to keep from confusing all of our vendors.
I agree there should be an option to mark individual lines in a PO as taxable or non taxable. In our company, we add the freight charges as part of the cost of an item we pass on to the customer. If we enter freight in the "freight" box it does not get applied to the proper GL/department bucket. We do not pay tax on the freight so our only option at this time is to make a GL adjusting entry for the freight - not a good choice.
I run into this issue EVERY DAY while creating PO's. When creating PO's for a Rebuild of Motors (the parts are taxable, the LABOR IS NOT). I have Environmental fees on Equipment that I purchase that are NOT taxable. Also, Shipping and Freight costs are usually not taxable. Please create an easy way for us, the users, to decide what line items are taxable or NOT taxable.
What's the latest on this from the developers? Seems like there's a lot of support for this. And the original issue stems from a false premise that ALL cost types are taxable.
I have the same issue when I need to add delivery to a PO, which isn't taxable. It's so frustrating that there isn't an option for this.
New to Sage 100C. Totally agree that some items are taxable and some are not a PO. This definitely should be addressed.
Agree that some items are taxable and some are not a PO. This definitely should be addressed.
It would be nice to have a yes/no column on both POs and on the AP invoice screen. It's a common, basic need that should have been changed years ago!
I am reading this just now, and have to agree with all of the above comments. Purchasing rules for sales vs. use tax varying by state indicate that this must be user selectable. We have to override the tax district on every PO we enter. The PO tax district is programmed incorrectly for our needs.
Another user that also has to correct the tax figure on every PO due to shipping & handling being included in the calculation.
If there was an option to create part numbers that are flagged as non-taxable so that the system ignored those items when calculating the sales tax that would be helpful. Currently we have to override the sales tax on each invoice against the purchase order and then it is unclear if the system is properly distributing across the correct cost codes or equally distributing the sales tax per invoice. The distribution is not as important as having a flag to an AP clerk when we are charged sales tax on a non taxable item to then dispute with the vendor.
YESSSS!!!! This is so frustrating and ridiculous that if we have the cost type materials set to be the only cost type taxable that it STILL taxes the other cost types in the PO! FIX IT SAGE!!!
Delivered in version# 25.2