Setting Up Taxes - Workflow

 

Step 1:  Designate taxable items in Sage Timberline® Office Estimating

Note

This method is appropriate when working with a handful of specific items. For a more efficient method of setting the Taxable flag on all items, use the Timberline Database Editor.

 

 

 

 

 

  1. In Sage Timberline Office Estimating select Database > Items > Rounding tab.

 

 

  1. Click the Taxable checkbox.

  2. Click OK at the bottom of the screen.

  3. Once all items are set as taxable, click Close.

 

Step 2:  Set the Taxable flag in existing standard house and option template estimates

  1. In Sage Timberline Office Estimating, from the View menu, select Spreadsheet Layout.

  2. Select the appropriate layout name and clickEdit.

  3. Click the checkbox in the Visible column for Material Tax.

  4. Click OK. Click OK again.

  5. Open a template estimate file.

  6. Click the checkbox in the Material Tax column for the first item.

  7. Highlight all items in the estimate, and right-click on the highlighted group.

  8. SelectFill Down. TheMaterial Tax checkbox shows a checkmark for all items in the estimate.

  9. Repeat steps 5 through 8 for each template estimate.

 

 

 

Step 3:  Set Up Tax Rates and Tax Tables in Sage Timberline Office Accounting

  1. In Sage Timberline Office Accounting, launch Accounts Payable.

  2. From Accounts Payable, select Setup > Taxes > Tax Rates.

 

 

  1. Enter the appropriate information and click Save.  

  2. Repeat these steps for each tax rate that is necessary for the taxing authorities in the areas in which the company will build.

  3. Select Setup > Taxes > Tax Groups.

 

 

  1. Enter the group name and description in their respective fields.

  2. Enter the appropriate tax rates for the group.

  3. Click Save.

  4. Repeat these steps for each tax group that is necessary for the taxing authorities in the areas in which the company will build.

 

Step 4:  Configure the Purchasing module Tax Settings

Open WMS and within Setup > Divisions, select Purchasing > Tax Settings. See the Tax Settings section for further instructions on setting up WMS Purchasing to support taxes.

 

 

Step 5:  Import Tax Tables from Sage Timberline Office Accounts Payable

Open WMS and from the Integration menu, select Timberline Accounting > Receive Tax Tables from Accounts Payable. The process starts automatically. See Receive Tax Tables from Accounts Payable.

 

Step 6:  Determine the Method for Calculating Taxes

There are four methods for calculating taxes:

 

To assign tax groups by job:

  1. In Sage Timberline Office Accounting, it will be necessary to set tax groups for each specific job. Select Job Cost > Setup > Jobs.

  2. Click on theNext button or the List button at the bottom of the screen and select the specific job.

  3. Press the Enter key twice to access the job information.

  4. Select the AP and GL tab.

  5. In the Tax Groups section, click in the Labor field, and click the List button at the bottom of the screen. Select the tax group to be assigned.

  6. Repeat the previous step for each material class in the job.

  7. Click the Save button.

  8. Once all jobs are assigned, click the Close button.

 

 

  1. Import the job information from Job Cost. See Share All Job Information with Job Cost.

 

To assign tax groups by area:

See Creating Areas - Purchasing.

 

To assign tax groups by vendor:

There are two methods for assigning tax groups by vendor, assigning them specifically to a vendor or by assigning a default tax group for all vendors. Follow the method that makes sense for the company.

 

Method 1 - Assign a Tax Group to each Vendor

    1. In Timberline Accounting, select Accounts Payable > Setup > Vendors.

    2. Click on the Next button or the List button at the bottom of the screen and select the specific vendor.

    3. Press the Enter key twice to access the vendor's information.

    4. Select the Terms and Defaults tab.  

    5. Click in the Tax Group field and click the List button at the bottom of the screen. Select the tax group to be assigned.

    6. Click the Save button at the bottom of the screen.

    7. When all vendors have been assigCooned, click the Close button.

 

 

    1. Import supplier information from Accounts Payable. See Receive Suppliers from Accounts Payable.

 

Note

Override the Vendor Tax Group - In some cases it may be necessary to override the tax group set up for a specific vendor in a specific community.  This may be accomplished by setting up a branch vendor. See Setting Up Suppliers.

 

 

 

 

 

 

 

 

Method 2 - Assign a Default Tax Group for all Vendors

 

See Default Vendor Tax Group under Setup > Division > Purchasing > Tax Settings.

 

To assign tax groups by item price:

 

Note

This option is only recommended for specific overrides, and is not intended for general use.

 

 

 

 

 

 

See Cost Management under Purchasing.

 

Related Topics

Use Taxes in Purchasing

Creating Areas - Purchasing

Default Vendor Tax Group

Default Tax Groups by JC Cost Category

Tax Group Audit Settings

Tax Group Retrieval Hierarchy