How do I add taxes?

Countries have their own tax recording requirements. With Zolmi your tax will be automatically calculated for every invoice created, in line with your account personal settings.

1. Adding New Taxe and Tax Groups

- Go to Settings and select Taxes.

- Click Create Tax, add a New Tax or Tax Group and click save.

- After adding your taxes click Default Taxes and apply the default tax rate to your products and services.

- Save changes. This will automatically apply the tax rates to all products and services.

NOTE:

If any of the products or services you offer are tax-exempt, you can adjust or remove the tax rates in your Inventory and on individual Services. Tax group names are for your reference only, and won’t display on invoices. However, each of the taxes you create will display individually.

Once taxes are applied, they'll be calculated on all newly created invoices. They cannot be applied to invoices that have already been issued.

2. Tax Calculation

Before you issue your first invoice please make sure your taxes are being applied correctly. For example, in the United States, taxes are typically calculated on top of sales (taxes exclusive) but in many other countries, taxes are included in the sales price (tax inclusive).

To manage your tax calculation:

- Go to Settings and select Taxes.

- Click Change Tax Calculation and select either Include Tax (in the retail price) or Exclude Tax. Your taxes will now be calculated automatically with every bill you send to your clients.

NOTE:

Changing the way your taxes are calculated will have a big impact on your sales. Make sure you understand how taxes should be applied in your country.