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Quotes Taxes

This screen is accessed through the Scenarios screen.

Purpose
To assign taxes to a lease scenario.

Layout / How To
This screen is used to assign tax codes to the lease payment. Tax codes come from AMPTax master codes, which must be set up before they may be assigned to a quote. You may set up a master code through the main menu's Tools - AMPTax Maintenance item. See AMPTax Maintenance for more details on master codes.

The right side of the screen represent all of the tax codes which have been set up. To assign a code, simply check the first box for the code.

Then "A" check box is to distinguish between accumulating tax percentages to keeping them separate. For example, Milwaukee, WI has three taxes: state (5%), county (0.5%), and stadium (0.1%). These taxes add up to 5.6%. With the "A" boxes checked, ALMSys will calculate 5.6% of the base payment and then break that down by tax entity. Without the boxes checked, ALMSys would calculate each tax entity separate, and then add them together. The difference could be 1 or 2 cents between the two types of calculations.

In the US, taxes are accumulative and the "A" boxes should be checked. In Canada, taxes are separate and the "A" boxes should NOT be checked.

If you need to calculate a tax off of a reduced base payment (because it contains non-taxable amounts), then you may override the percentage by checking the Override Percentage in the grid, and then entering a percentage into the Override Percent field. This percentage would be the percentage of how much of the base payment is taxable. For example:

Base Payment = \$395.47
Tax Rate = 5.5%
Taxable Portion of Base Payment = \$110.73, or 28% (110.73 / 395.47 = .279995954)

In this example you would go to the tax rates that have been marked for usage, mark the Override Percentage box, and then enter 28 into the Override Percent column. (You can also be more precise and enter 27.99960 if you want.) As a result, the tax will calculate as \$6.09. (395.47 * .055 * .28 = 6.090238)

To speed up tax code selection, there is a Select by Group grid at the bottom, left of the screen. If your tax entity is defined here, then select it in that grid and click the Use button. See AMPTax Groups Maintenance for more details.