Define a code and a name for the tax code.

Rate of the tax code according to the definitions made in the table rows. This field is not editable.

Calculates tax for freight.

Indicates whether the tax code is subject to A/R postings, A/P postings, or both. You must choose at least one of the boxes.

When the checkbox is selected, you cannot select the corresponding tax code in any window or add any document with an inactive tax code. It is deselected by default.

From the dropdown list, specify the required tax type.

From the dropdown list, specify the required tax code.

Choose to define a tax on tax calculation. Then define the calculation method by choosing from the dropdown list the tax code that should be the base of the calculation.

Displays the tax rate of the tax code, in percentage.

Displays the rate of the tax code taking into account the tax on tax calculation.

If you did not define tax on tax calculation, the effective rate and the rate are identical.

G/L accounts defined in the Define Tax Type window for sales and purchasing tax postings

The non-deductible tax percentage defined for the tax code.

Non-deductible tax account defined for the tax code

The G/L account defined for the tax code, and used for deferred tax transactions.