Tax Rates
This article goes over how to create a tax rate as well as sub tax rates if you are in an area with multiple taxes.
Topics in this article include:
To begin, go to Pricing > Tax Rates from your Rental Essentials menu options.
Enter your tax rate description in the "Create a new tax rate" field. Enter the tax percentage rate in the percentage field next to the description field. Click Save.
Note: If this is a combined tax percentage, enter the total tax percentage rate. The next section will show you how to break these down.
Once this new tax rate is saved, you have the option of editing it to add any sub-rates. To add sub-rates, click the pencil next to the new rate.
Now you have the option to add a second sub-rate and split the total percentage amount.
Once those have been defined, click Save and now you have your tax rate set up appropriately.
If a tax rate name changes or an amount change, you will need to delete the incorrect name/rate and add a new rate with the correct information.
Configure Default Tax Rates
Now that your tax rates are set up, you can next define your default tax rate.
To get there, go to Configuration > Company Configuration > Tax and Payment Options.
This is where you’re going to choose the appropriate tax rate from your default tax drop downs. You will have the option to set the taxes on rental items, damage waiver and sale items.
Damage Waiver
If you have a damage waiver percentage amount you charge the customers for all your rental items, be sure to enter the percentage amount in the damage waiver percentage field.
Note: It’s up to your state, city or county whether you charge tax on your damage waiver. Please consult with your local state, city, or county tax assessor for further direction.
If taxes are included in the prices that are given to your customers, be sure to check the prices include taxes option. If taxes are additional, you won’t want to check this option.
Most importantly, don’t forget to click Save to keep your changes.
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