Defining Your Tax Settings

The Financial settings tab is only available if you have entered Canada in the Country field on the Agent information page, or have Canadian accounts. The Financial settings area allows you to specify the tax rates that will be used in income or expense calculations, and determine how the taxes will be calculated.

Note: The settings you specify here can be overwritten when entering your income and expenses.

To define your financial settings:

1. Open the Financials tab. How?

   1. From the [User name] menu in the top right, select Settings. Example:

      

   2. Click the Financial tab.

2. Click the Edit Tax Calculation Setup link.

3. Select whether you want to use GST or HST in your calculations.

4. If using GST, complete the following:

1. In the GST and PST Options section, select the default behavior you would like 8i to use:

   • Amount includes GST and PST: 8i assumes that both the GST and PST is included in the Amount field, and therefore first determines the Amount before tax, and then calculates the tax based on this value.

   • Amount includes GST only: 8i assumes that only the GST is included in the Amount field, and therefore first determines the Amount before GST, and then calculates the tax based on this value.

   • Amount includes PST only: 8i assumes that only the PST is included in the Amount field, and therefore first determines the Amount before PST, and then calculates the tax based on this value.

   • Amount is before GST and PST: 8i assumes that neither tax is included in the Amount field, and therefore calculates the tax based on this value.

2. In the Current [GST/PST] percent rate fields, enter your local rates as a whole number (i.e. if your local GST rate is 7%, enter "7").

3. In the PST is included on amount + GST section, select whether to calculate the PST only after the GST has been added to the entry amount.

5. If using HST, complete the following:

1. In the HST Options section, select the default behavior you would like 8i to use:

• Amount includes HST: 8i assumes that the tax is already included in the Amount field, and therefore first determines the Amount before tax, and then calculates the tax based on this value.

• Amount is before HST: 8i assumes that the tax is not included in the Amount field, and therefore calculates the tax based on this value.

2. Enter the Current HST percent rate.

6. Click the Save Tax Calculation Setup button when you are satisfied with your changes.