Tax Direction - Mixed payments | IFS Community
Question

Tax Direction - Mixed payments

  • 22 March 2021
  • 3 replies
  • 88 views

Userlevel 6
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We have an issue with occasionally selection the wrong tax direction for a payment, Tax received or Tax disbursed.

 

Is there anyway to set up IFS so that dependant on whether or not payment is received or sent then correct tax direction is defaulted?


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3 replies

Userlevel 5
Badge +10

Hello, Stephen-

 

Have you checked the setup in the tax codes table?   You should be able to define this by incoming/outcoming types.

 

Best-

Christy

Userlevel 6
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Hi Christy

 

I have the below on tax codes, what fields would I update and what do I update them to to define this?

 

 

Userlevel 6
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Hi Stephen,

Assuming that you are trying to make tax payments using ‘Mixed Payments’ window, by way of ‘Direct Cash Payment’, I would like to share following.

Accordingly, the tax direction getting fetched here depends on the logical account type of the selected account.

 

For the accounts with the Account Type as ‘Asset or Cost, the default tax direction would fetched as ‘Tax Received’ where as for the accounts with the Account Type ‘Liabilities, Revenues or Statistics’ the default tax direction would be ‘Tax Disbursed’.

Also, as Christy mentioned above, you could control this using the ‘Tax Codes’ window. And, you may use the field ‘Tax Type’ for this purpose.

 

Accordingly, under this scenario, tax direction will get updated as follows,

  • No direction – when the connected tax code’s tax type is set to ‘No Tax’
  • Tax Received or Tax Disbursed – these directions would get fetched if the tax type for the tax code is Tax or Calculated Tax. However, the exact tax direction to be displayed depends on the logical account type. So, as I mentioned previously, for the accounts with the Account Type as ‘Asset or Cost, the default tax direction would fetched as ‘Tax Received’ where as for the accounts with the Account Type ‘Liabilities, Revenues or Statistics’ the default tax direction would be ‘Tax Disbursed’.

Hope this would help you! 

Best Regards

Sugandi