Teapplix requires that you turn on Sales Tax in your company file, and create at least one sales tax item with none zero tax rate. Even if you don't charge sales tax, create a sales tax item with non-zero rate anyway. Otherwise, no orders will be exported.
When Teapplix exports an order, the "tax" line on the sales receipt will always show your in-state tax item that you selected on integration setup.
For an order where tax is charged, Teapplix will mark the "Customer taxable" bit to "tax". QuickBooks will then compute sales tax.
For out of state sales, Teapplix will mark the "Customer taxable" bit to "non". QuickBooks will keep tax amount to zero.
1. QuickBooks items created by Teapplix automatically are non-taxable. You can edit the item taxable status in QuickBooks afterwards, or create the item in QuickBooks first and not let Teapplix create it.
2. Customers created by Teapplix: Customer taxable bit is specific to a sales receipt. You can change it and not affect other sales receipts. Teapplix marks customer as taxable when the sales has a non-zero tax amount. Otherwise the customer is marked non-taxable.
It is important that you setup the tax item to have the correct tax rate for both state and local tax. Because Teapplix uses QuickBooks to calculate the tax amount, if your tax rate is wrong your order total will not match that from the order.
It is also important that you set up any "discount items" that keep track of fees as "Non taxable". These amounts do not change the sales tax calculations.
Teapplix currently can not handle situation where different tax percentages are charged on the order. You need to manually fix sales receipts after export in this case.
The tax rate is calculated by QuickBooks. Here's a step by step:
- create a new tax item with the correct rate
- in Teapplix use that new tax item; you must sync first for the item to show up in Teapplix list.
- for some orders exported incorrectly to QB, manually fix in QB the tax item so it uses the new rate.
Sales Tax as a line item
If you have sales taxes for multiple states, or your choose to charge multiple sales tax rate within your state, you cannot use QuickBooks to compute the tax, instead, you will enter the sales tax as an line item on the Sales Receipt or Invoice.
To select this mode, select "Enter sales tax as an line item" checkbox on QuickBooks integration setup.
Under this mode you need to provide the following information to Teapplix:
- The sales tax item or group to use at the bottom of the sales receipt, which must be 0% rate in this case or your total will be wrong. QuickBooks typically recommends that you create a tax item named "Tax Calculated On Sales Receipt" so that it's clear that the tax is not being applied by QuickBooks on the invoice or sales receipt.
- The sales tax item (we cannot use tax item group) to use to record the actual tax amount as an line item on the sales receipt or invoice.
For 2 above, Teapplix currently only allows a single tax item to be specified. There is no way to automatically map each sales receipt to different tax items. The amount of tax is as passed to Teapplix by the original order and should be accurate. If you desire to change the tax line to the proper tax item representing the proper tax agency or jurisdiction, you must manually edit the sales receipt or invoice after export to change to the proper tax item.