Tax Settings
The Tax settings page allows you to set up and manage your sales taxes, non-sales taxes, tax groups, and tax identification numbers. Fiskl's flexible tax system supports multiple tax agencies in various currencies, accommodating single tax rates, multiple tax rates, and compound taxes.
Access Tax settings using the gear icon
on the top left menu or visit the Manage taxes page on the web dashboard.
When you create a new Tax Number / Tax ID a new Ledger Account is automatically created in the Chart of Accounts
TL;DR - Watch a walkthrough of the Tax Settings
Tax Configuration
The Manage taxes screen consists of three main sections:
1. Single Taxes
In this section, you can:
- View a list of all your taxes and their assigned tax numbers
- Add new taxes and assign them to a
Tax ID
- Designate taxes as either Sales or Non-Sales taxes
- Assign multiple taxes to a single Tax ID
The currency of the tax is determined by the associated Tax ID
.
For example when creating French VAT tax, you would apply for a French VAT number and assign the appropriate VAT rate to that EUR Tax ID.
2. Tax Groups
Tax groups allow you to:
- Create collections of two or more taxes
- Set up compound (stacked) taxes
Example of a tax group
Example of a compound tax group
3. Tax ID/VAT Numbers
In this section, you can manage your Tax IDs
(also referred to as Tax Agency numbers or Tax Number). Each Tax ID
is associated with:
- Country
- Currency
- Specific taxes
Each Tax Number
is linked to a corresponding Liability
Ledger Account with a matching name. All transactions involving taxes associated with that Tax Number will be automatically recorded as journal entries in this Ledger Account. When you create a new Tax Number, a corresponding Ledger Account will automatically be created in the Chart of Accounts
. If you rename a Tax Number, the corresponding Ledger Account will also be renamed.
Setting up Taxes
Follow these steps to set up your taxes:
- Navigate to the Tax settings page
- Choose the appropriate tab (Single taxes, Tax groups, or Tax ID/VAT numbers)
- Click the "Add" button to create a new entry
- Fill in the required information
- Save your changes
Remember: Regularly review and update your tax settings to ensure compliance with changing tax regulations in your jurisdiction(s). Consult with a tax professional if you're unsure about specific tax requirements for your business.