In this video, we walk you through the process of invoicing ESC sales tax when it's added to an order after the initial sales tax has been processed. We demonstrate how to add an ESC to an existing order and ensure the sales tax is correctly applied. It's crucial to follow the steps we outline, especially when selecting the tax authority and invoice date.
Invoicing ESC Sales Tax After Initial Payment
Key Steps
Access Point-of-Sale Reports
Navigate to the Point-of-Sale reports section.
Click on the "Tax" tab and locate the sales tax report for the relevant order (e.g., Order 3448).
Open the Invoiced Order
Click on the order number (e.g., 3448) to open the existing invoice.
Add ESC to the Order
Select the ESC badge from the options available.
Choose the appropriate ESC from the list.
Set the tax rate for the ESC (e.g., 5%).
Apply the ESC to the order.
Process Payment for ESC
Select the payment method as "Cash."
Review the balance owed for the ESC.
Process the payment to finalize the addition of the ESC to the order.
Return to Tax Report
Go back to the tax report section to verify the order details.
Confirm that the ESC has not yet been invoiced.
Invoice the ESC
Click on "Add to Invoice."
Select the order (e.g., Order 3448) that you want to invoice the ESC to.
Click "Confirm" to proceed.
Fill Out Invoice Details
Choose the appropriate tax authority for the ESC.
Set the invoice date (this can differ from the original order invoice date).
Assign a reference number for tracking purposes.
Select the AP trade account for the transaction.
Post the invoice to the operating savings or operating account as needed.
Enter the remaining balance and save the invoice.
Finalize the Process
Ensure that the ESC tax has been recorded as paid.
Double-check all entries for accuracy.
Cautionary Notes
Always verify that the ESC tax rate is correctly set before applying it to the order.
Ensure that the correct order number is selected when invoicing the ESC to avoid misallocation.
Be mindful of the invoice date and reference number to maintain accurate records.
Tips for Efficiency
Familiarize yourself with the Point-of-Sale system to navigate quickly between reports and orders.
Keep a checklist of the steps to streamline the process and avoid missing any critical actions.
Regularly review and reconcile invoices to ensure all ESC charges are accounted for and accurately reflected in financial reports.