# Custom tax code accounting **URL:** \ **Category:** Uncategorized\ **Created:** [December 20, 2016, 2:24pm UTC](https://forum.manager.io/t/custom-tax-code-accounting/8088 "2016-12-20T14:24:55Z")\ **Posts on this page:** 1\ **Showing post:** 2
**Author:** ![Tut](https://sea1.discourse-cdn.com/flex019/user_avatar/forum.manager.io/tut/32/3286_2.png) [@Tut](https://forum.manager.io/u/Tut)\ **Post date:** [December 20, 2016, 2:34pm UTC](https://forum.manager.io/t/custom-tax-code-accounting/8088/2 "2016-12-20T14:34:13Z")
First, do not hijack topics. Your question had nothing to do with tax reconciliation. When you bury a question in another topic, you probably will not get answers. So I have moved it to this new topic. Second, are you sure you need custom tax codes? There are built-in tax codes for more many countries. It is always better to use a built-in code if you can. See this Guide: > [@Setting up tax codes](https://forum.manager.io/t/setting-up-tax-codes/5513): > > Tax codes are available under the Settings tab to track obligations for sales tax, goods and services tax, value added tax and other taxes imposed by a country or regional tax authority. [image] When you are using tax codes, you will be able to select a tax code for each transaction line. For example, if you receive 1,100 which includes 10% tax, it can be recorded as follows. Similarly, if you spend 550 which includes 10% tax, it will be recorded like this: By using tax c… Third, if you really need custom tax codes, you still must use the `Tax payable` account. That is the only way the software will work. So you will have to delete the `Sales tax liabilities` account you created. Before you can do that, you will have to recategorize every transaction you have ever entered that used it, because Manager will not allow you to delete an account with existing transactions. Fourth, if your custom tax codes have multiple components or are paid to different tax authorities, see this Guide: > [@Work with multi-component custom tax codes](https://forum.manager.io/t/working-with-multi-component-custom-tax-codes/7171): > > Multi-component custom tax codes present several accounting challenges. Individual tax components may be: Levied by different tax authorities Payable to tax authorities on different dates Subject to rate changes at different times Applicable to different customers Effective only for certain categories of goods or services Basic instructions for creating multi-component custom tax codes are contained [in another Guide](https://forum.manager.io/t/tax-codes/8901). Read that Guide first. Those instructions are adequate for simple situations… --- _[View the full topic](https://forum.manager.io/t/custom-tax-code-accounting/8088)._