Tax Settings & Configuration

Overview

AIAccount offers flexible tax configuration options supporting GST, SST, VAT, and other tax regimes. Businesses can customize tax codes, calculation methods, and report languages according to their country's regulations, easily meeting various tax compliance requirements.

Key Features

  • Tax Code Setup — Manage all tax codes under "Settings > Tax Codes"; add custom codes to match local tax rates
  • Accrual vs Cash Basis — The system supports both GST calculation bases with flexible switching via reports
  • Custom Tax Labels — Modify the tax_name field in "Language Settings" to change the tax label on invoices to GST, SST, or VAT
  • Withholding Tax — For countries like Indonesia, withholding tax can be recorded directly during receipt or payment entry
  • GST Payables Account — Account 2-4000 GST Payables automatically aggregates all input and output tax amounts
  • Tax Rate Updates — Add or modify tax codes anytime to accommodate rate changes without affecting historical transactions

Step-by-Step Guide

  1. Go to "Settings > Tax Codes" to view the current list of available tax codes
  2. Click the enable button next to each code to activate the sales or expense tax codes you need
  3. To add a new tax code, click "Add New" and enter the code name, rate, and type
  4. In "Financial Settings", select the GST calculation method (Item or Subtotal)
  5. In "Financial Settings", set the default Tax Inclusive/Exclusive option
  6. To change tax labels, go to "Language Settings" and update the tax_name field

Important Notes

  • Default tax codes vary by country; the system auto-configures based on the country selected during registration
  • Do not delete used tax codes; deactivate them instead to maintain historical data integrity
  • Under accrual basis, GST reports are based on invoice dates; under cash basis, they are based on receipt/payment dates
  • After updating tax labels in Language Settings, newly generated invoice PDFs will use the updated labels