Set up a sales tax settlement periods by completing three tasks: create the sales tax settlement period, set up the period length, and create the individual settlement periods.
Create the sales tax settlement period
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If necessary, press CTRL+N to create a line for the new sales tax settlement period.
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In the field, enter a unique code for the settlement period.
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In the field, enter a name or description of the settlement period.
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In the field, select the sales tax authority that receives the reports and payments that are related to the settlement period.
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In the field, select the terms of payment that reflect the requirements of the sales tax authority of the settlement period.
Example
Your company settles sales taxes every quarter, and the sales tax authorities expect settlement 14 days after the close of the quarter.
The sales tax settlement periods and deadlines are:
Settlement period
Deadline for reporting
January 1 -March 31
April 14
April 1 - June 30
July 14
July 01 - September 30
October 14
October 1 - December 31
January 14, the following year
Because you must settle your sales taxes on April 14, you select a value in the field that is equivalent to "Net 14 days". On April 10, you run the job. The resulting due date for the settlement of sales taxes is April 14.
To calculate sales tax for the first quarter, you must set the field on the periodic job to the last day of the settlement period, which is March 31.
Set up the length of the period
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In the form, click the tab.
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In the list, select the length of the interval that you need.
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In the box, specify the number of units of the interval that make up the sales tax settlement period. You can enter any number.
Create the individual settlement periods
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In the form, click the tab.
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In field, enter the first day of the first sales tax settlement period.
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In field, enter the last day of the first period.
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Click to create additional periods. The date fields are filled in automatically based on the setup of the period length.
Example
In the year 2006, your company settles its sales taxes every quarter. You would then create the first period by entering January 1, 2006in the field and March 31, 2006in the field. To create the other quarters of the year, click three times.