Types in Tax Template
Types in Tax Template
In the master for Sales Taxes and Purchase Taxes, there is a column titled Type. Following is a summary of the meaning and application of each Type.
Actual: This allows you to directly enter expense amounts. For instance, Rs. 500 was spent on Shipping.
On Net Total: If you wish to apply taxes or fees to the Net Total, check this box. For instance, 18% GST was applied to each and every item on the Sales Order.
On Previous Row Amount: This option allows you to calculate a tax amount based on an existing tax amount.
The Education Cess is determined by the amount of GST tax.
On Previous Row Total: In the Total column, a cumulative tax is calculated for each Tax row. Total tax is calculated as Net Total plus Tax amount for the first row. Use this option if you wish to apply a tax to the Total Amount of another tax row.
If you choose Type as Previous Row Amount or Previous Row Total, you must also specify a Row No. whose Amount or Total should be included in the calculation.
On Item Quantity: This option can be used for taxes that are fixed or item-specific.