Master Records > Sales Tax Code

Sales tax codes are necessary for the system to compute sales tax when recording sales orders, customer invoices and vendor purchase orders; therefore, the system allows you to define and use sales tax codes in the Sales Order, Accounts Receivable, and Accounts Payable modules.

In creating sales order and customer invoices, the default sales tax code used by the system is the sales tax code set up in the customer record for whom you create the sales order or invoice. For purchase orders, the default sales tax code is the sales tax code set up for the warehouse used in the particular purchase order.

Note: When you update the tax rate for an existing sales tax code, the change immediately affects all customer records that have that code, but will not affect the rate on existing sales invoices, sales orders or quotes or purchase orders.

Sales Tax Code

Sales Tax Code

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