Tax Authority Publ

In order for an account or subscriber to be taxed, they must deliver or subscribe to a publication that is associated with the tax authority in question. Use this option to link a publication to a certain tax authority. Or, you may declare a publication exempt from a certain tax authority.

You must cover all distribution methods in taxing. For example, if only home delivery carriers are taxed, then you would need a tax authority publication for all single copy types to show they are exempt.

To link a publication to a tax authority:

1. Select Tax Authority Publ from the Taxes menu to display the Tax Authority Publication screen.

   
2. Click the Add icon and complete the following fields.

   Field	Type	What to enter
   PRODUCT	setup	Enter the publication for which you are defining tax information.
   TAX AUTHORITY	setup	Enter a tax authority that applies to this publication.
   TAX TYPE	predefined	Indicate whether this is an account or subscriber tax.
   DISTRIB METHOD	predefined	Indicate the distribution method for this tax record. For accounts, enter a user-defined route type, single copy type, account type, or “*” for all. For subscribers, enter mail, a user-defined route type, or “*” for all.
   START DATE, END DATE	date	Enter the date range during which the tax is applicable for this product.
   EXEMPT REASON	setup	If this product and distribution method are exempt from this tax authority, enter the tax exempt reason code (see Exempt Reason). For example, a religious newspaper may be exempt from taxes.
   COLLECTION ACCOUNT	setup	Specify the general ledger account to which subscriber and account tax dollars should be credited. If an exemption reason is entered, this field will be inactive.
   MESSAGE	open (30)	If this is a subscriber tax, you may enter a message for renewals, such as “Minnesota Sales Tax Included”.
   TAX CHARGE CODE	setup	If this is an account tax (as indicated in Tax Type), enter the charge code. Charge codes must have previously been defined (see Charge/Credit Code for details).
   TAX RATE TYPE	predefined	This field is active only if TAX TYPE is “account”. Some states discriminate between taxing the wholesale or retail cost of the publication. Indicate whether the account wholesale or retail rate is taxable. Retail and wholesale rates must have previously been defined. See Account Rates for details.
   OVERRIDE TAX PERCENTAGE	yes/no	If this field is checked, then the Sales Tax Percent entered below will be used instead of the sales tax percent defined with the tax authority. This will allow subscriber tax rates to vary by publication.
   SALES TAX PERCENT	decimal (2.4)	If you checked the Override Tax Percentage field above, enter the override tax percentage here.
   REMIT ON DELIVERY	yes/no	If taxes are remitted on delivery (rather than collection) check this field. See the User Manual for more information on taxes remitted on delivery (earned taxes).
   EARN TAX GL ACCT	setup	If taxes are remitted on delivery, they will initially be credited to the Collected Tax account. Then, when the Tax Liability report is run in update mode, the “earned” tax will be moved to the Earn Tax GL account defined here. If your taxes are not remitted on delivery, this field will not be open.
   EXCL TRANS COST	yes/no	If the taxes on the subscription delivery cost (transportation) can be exempted for this tax authority, check this field. See the User Manual for more information on exempting the transportation cost.

3. Click OK to save the tax authority/publication link in the database, or Add Another to save the existing record and add another tax authority/publication link.