1. Create sales tax codes in the form. For more information, see Set up and use sales tax codes.

  2. Click > > > .

  3. Click CTRL + N to create a line for a new sales tax group, and enter a unique code for the sales tax group in the text box. You can also enter a name for the sales tax group in the text box, but this is not mandatory.

  4. Notice that default values exist in the following drop-down lists on the and tabs. These fields are therefore mandatory, and you can either accept the default values or select a more appropriate value for the sales tax group.

  5. On the tab, attach the sales tax codes that apply to the selected sales tax group.

    Note Note

    If the company operates in the United States, you can also attach sales tax jurisdictions that contain sales tax codes to the sales tax group. For more information, see United States sales taxand Set up sales tax groups for jurisdictions.


    The description and the percentage/amount of the sale tax code are entered automatically.

  6. If the sales tax code on the sales tax group is used for tax exemption, intra-community VAT, or use tax, select the appropriate check boxes. Enter a value in the lookup field, if appropriate. For more information, see the field descriptions in About sales tax groups.

  7. On the tab of the form, attach a sales tax group to each customer. This is the default sales tax group for transactions that involve the customer. Like all defaults, the sales tax group can be changed on individual transactions if necessary.

  8. On the tab of the form, attach a sales tax group to each vendor. This is the default sales tax group for transactions that involve the vendor. Like all defaults, the sales tax group can be changed on individual transactions if necessary.

  9. On the tab of the form, attach a default sales tax group to each ledger account to which purchase or sales that do not include a customer or vendor are posted. An example might be a ledger account for office equipment.

Note Note

For reporting purposes in some countries/regions, you may have to create a sales tax group that contains a single sales tax code with a sales tax percentage/amount of zero. This sales tax group is applied to customers that are exempt from sales taxes and to ledger accounts to which sales taxes do not apply, such as bank accounts.


See Also