The new use tax feature in V22.1 is a good start. However, a couple of items for some companies:
1. The posting accounts that need to be set up: the Direct Cost account for use tax does not allow for departmentalizing. So although an A/P invoice using the Use Tax district will job cost the ENTIRE amount of the invoice including the calculated use tax, a Department Income Statement does not reflect the use tax (i.e., $100 A/P invoice w/$7 use tax = $107 job costed, $100 to that job's department income statement)
2. Some states have $ value limits on use tax on individual invoices. The tax district tables does not take this into consideration (only limits on Sales Tax)
3. The posting accounts that need to be set up: Only allows for an account in the O/H range to be entered into the O/H Cost field. Some companies have moved ALL overhead accounts down to the Administrative range of accounts. Need to be able to select an account in either range.
by: Kathy G. | over a year ago | Accounts Payable
Comments
The use tax feature is a good start, I also need to designate a specific account, but I want to designate the cost code and cost type. Easier to reconcile if use tax has it's own cost code and you know what account it was posted to.