Address Update Tax Feature

The 'Update Tax' option allows you to automatically update the tax for all items and activities that have not yet been invoiced. This would be done after making changes to an Address ID's tax location.

Consider these three basic steps before using this feature:

  1. Tax Location:
    Are you?
    1. Changing to a new 'Tax Location' or
    2. Editing an existing 'Tax Location'
  2. Address ID Tax location setting:
    1. If creating a new Tax Location, change the Address ID's 'Tax Location' to the new one.
    2. If the Address ID's tax location was edited in Settings, there is no need to change the Address ID 'Tax location'.
  3. Use the Address ID 'Update Tax' feature to update Items & Activities not yet invoiced.

First Step:

  1. Tax Location:  One of two options:
    1. Enter a new Tax Location, proceed to #2.
      (Create one by clicking 'Add New' and follow the details Click HERE.)
    2. If the Address ID's 'Tax Location' was edited, proceed to the Second Step
      (Make the tax location changes at Settings->Tax Locations->Edit)
  2. Then update the Address ID 'Tax Location' within the Codes tab. 
    Click HERE for more details about Address ID Codes.

      Caution:  This step will only change the tax location for future Items using this address ID.  To change the Tax on Items & Activities not yet invoiced, proceed to the second step.

      Second Step:

      Within the Address ID details, an option to 'Update Tax' is available, here's how it works.

      Update Tax

      1. Select the Project side menu and select "Misc. Addresses"
      2. Select the Address ID you want to update the Tax Location for.
      3. Select 'Update Tax' option from the tabs menu across the top.
        (Remember that you must have already changed the Tax Location details as noted above.)
      4. Select the OLD Tax Location from the drop down.
      5. Select the 'Calculate Items & Activities' button
        1. A number will be added to the end of Items with Old Tax Location
        2. A number will be added to the end of Activities with Old Tax Location
      6. This number represents the total number of records that need updating.
      7. Select the 'Update Items' and/or 'Update Activities' buttons as required.  Repeat this step as needed until the Items and Activities calculated are both 0.

      Important: Only 50 records will be updated at a time, so you'll need to repeat this procedure until the Items and Activities calculated are both 0.

      Important:  This function only updates items that are not "currently" invoiced for this specific client. If you void an invoice for any reason, then re-invoice it, you will need to manually update the Tax Location where necessary.

      Keep in mind that "Inventory" is a client and may also need to be updated.

      Special Circumstances:

      If you have more than 1000 records that have not been invoiced yet, you will receive an error. The way to get around this is to:

      1. Create a new tax location with the new rate.
      2. Go to your biggest client with the most open items and change the tax location on that client.
      3. Use the Update Tax tab on that client and when the tax location is changed it will automatically update the tax rate as well.
      4. At that point you can either change the tax location for each client and update tax, or go ahead and try to change the rate on the old tax location and see if it will go through now that there are fewer items to update.