Setting up and using Tax Rates | Quickbooks Online (QBO) setup

Julie Earnest
Julie Earnest
  • Updated

 

If using tax, items must be marked as taxable a tax rate set and a tax name created for each taxable item.

Tax Name can be anything (e.g. GST, VAT, etc.)

Setting a default tax

This applies the tax rate to all jobs and all rate plans

From the Admin > Services menu any item listed can be marked as Taxable and have a tax rate set. This can apply to incidentals, fees or services such as Interpretation. 

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Setting a tax rate per Rate Plan on the Incidentals tab

From the Admin menu > Rate Plans menu, select a rate plan and click on the Incidentals tab

Add an incidental, fee or service by clicking Add Configuration and selecting the item from the Type dropdown list.

Optional: Check the fixed description box and add a description name

Optional: Checking 'enabled' allows interpreters to see this incidental under the Incidentals dropdown list. 

Check Billable and/or Payable

Check the Taxable checkbox, enter a Tax Name and Tax Rate.

Save each line item on the far right of the line and save using the blue Save button on the rate plan itself.

This applies the tax to each item listed here (incidentals, interpretation, fees, etc.)

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If an interpreter needs a different tax rate:

From the Manage Contacts menu, select and edit the interpreter profile. On the General Configuration page, at bottom of page, check Registered for tax, and add a tax percentage and Save. 

This applies an override rate from the tax rate set on either the Services page or the rate plan Incidental page.

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Using Miscellaneous. Fee on rate plans for tax purposes

Creating a Misc. fee and naming it Tax and setting a percentage applies the tax to the interpretation only - not to any other incidental items or fees. 

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Tax and Quickbooks Online (QBO) UK/EU versions only*

Tax is set up, calculated and displayed in Interpreter Intelligence (II) invoices/payments, however this information does not push over to QBO. Tax calculation occurs in QBO independent of II and must be set up within QBO via Custom Rates, separate from the II program. 

The name of the tax set up in QBO is then entered into II via the Admin > Services page in the AR Tax and AP Tax columns

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The QBO tax name is entered on the rate plans themselves if the incidental and tax are rate-plan specific

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* US and Canadian versions of QBO

Interpreter Intelligence does not support enabling taxable items in II and pushing invoices/payments over to QBO with taxable line items. The push to QBO will fail. It is recommended to manage taxation in QBO only. 

For information around rounding with tax rates please see: Tax Unit Price and Line Total Rounding

 

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