Paying Sales Tax

EBMS includes a step by step payment wizard to pay the sales tax that has been collected from customers. The payments can be based on an accrual or cash method. The payment method must be set within the tax rate record before proceeding with the Pay Sales Tax wizard.

These tools can be used in connection with the TaxJar SmartCalc sales tax calculation tool.    This section can be ignored if the TaxJar > AutoFile tool is used to pay sales taxes.  

  1. The first step is to properly set up the tax agency as a vendor. This step can be ignored if the vendor has already been created.
    1. Open the tax agency vendor. See [Financials] Vendors > Adding a New Vendor of the main documentation for more details on creating a new vendor.
    2. Click on the terms tab of the vendor and set the proper terms.
      .
    3. Set the discount terms to the proper percentage if the tax agency gives the tax collector a percentage for the collection costs. The Discount and Due settings shown above are the appropriate settings if the state gives a 1% discount and the payment due date is the 20th of the month.
    4. Set the proper terms so the sales tax is paid by the due date.
    5. Save this vendor by clicking OK.  Enter the vendor ID into all sales tax rate tables that are paid to the specific tax agency. This step must be completed before launching the next step - Pay Sales Tax wizard.
  2. Launch the Pay Sales Tax wizard by selecting Sales > Sales Tax > Pay Sales Tax from the main EBMS menu.
  3. Select each Tax Agency that is to be paid by clicking on the Select column.  
  4. Click the Calculate button to open the following Unpaid Sales Tax list:
    .
  5. Review the tax values for each Tax Table associated with the selected Tax Agency. Click Next to open the following dialog:
  6. Enter any necessary Penalty fees.
  7. View and process the payment expense invoice by selecting the invoice and clicking on the View button.
  8. Reports can be printed to list the transaction detail by selecting the appropriate report from the Print button. Review [Main] Reports > Print Button for instructions to add specific sales tax reports to the Print button.
  9. Repeat for each sales tax invoice. Click Finish to complete process.