We collect Excise Duty 12.36% on net price and 5.5% VAT on excise duty.
How can I enter multiple taxes in invoice, there is no multi-tax option and compounding tax option.
You need to setup custom tax code under Tax Codes module in Settings tab.
Your tax code will have two tax components, VAT and Excise Duty. So when creating new custom tax code, click Add Component button on tax code form to have two lines.
Then fill out the form. Keep in mind, the tax rates must be entered as effective rates on tax-exclusive price.
So effective rate for excise duty will be 12.36% and effective rate for VAT will be 1.1236 x 5.5 = 6.1798%
Then use this tax code on any transaction including invoices.
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Please explain how to create multi tax.
E.g. we are using Excise duty and VAT.
Sub-total is 25,000, then Excise Duty(12.36%) is 3,090,
so including Excise duty sub total is 25000 + 3090 = 28090
Then VAT(5.5%) is 1544.95.
- Go to
Settingstab - Click
Tax Codes, then clickNew Tax Codebutton. - Click
New Custom Tax Code - Setup tax code as shown below
Then when you use tax code VAT+ED on invoice, you will get this:
not showing any option of Component Name
The layout is different now. Please see below.
this thing is not available now
still not able fix the issue
i have a scenario.
rate say Rs. 1000
Excise duty 6%=
Discount 5%=
VAT 5% =
G.Total=
so please let me know how to implement this in my billing system. this is a purchase invoice.
Excise duty and Sales tax (VAT) is computed after Discount has been effected. So if you understand the procedure above as suggested by @lubos just enter your discount and Manager will do the rest of the maths.
Discount is applied in the discount column while making the invoice.
For excise duty and vat set the tax like lubos mentioned in the above post
For excise dute set tax % as 6.
For VAT set tax % as 5.618
it would be 5.618 if the excise duty was 12.36 as in the earlier example.
The new scenario says excise duty 6%
Answer is
ED 6%
VAT 5.3%
image removed
Sorry my bad.
The discount is calculated on your subtotal (29504) and not on your subtotal+ED (31274)
@himayun19 You have shown us a screen shot from Tally ERP. Manager has a different work flow
Should the Reimbursement of excise duty paid by manufacturer end come before applying the discount? As it is, it is 6% of the total of the Dispovan items before discount is applied. I don’t know the taxation rules in your country but I think the 6% E. duty should be applied after the discount of 5% has been effected then after you can strike the VAT.
I won’t waste much time do your research and answer if it statutory to effect the reimbursement of the excise duty paid by manufacturer end on the line items before you effect the discount and then finally the VAT. I can bet the discount will have to be deducted before.
I think he did that, he calculated the discount on the sub total of the line items (dispovan items)
this is a vendor invoice , this invoice came from a supplier. i have to enter this in system as it is. please understand my position.
Recalculating revealed that, the discount wasn’t applied on the E.duty, VAT was however applied on the E.duty.
so here is how i did it with Manager, assuming the Excise duty is a non refundable expense.
I am trying a work around for the situation where the excise duty is refundable or treated like VAT.
I will update you with that soon. But be trying things out for yourself and see how it works, that how i learnt this app.
VAT is @ 5%, ignnore the decimal difference
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On the second thought i really really do not think the E.Duty should be treated like VAT, it is clear the biller is relaying E.Duty they suffered (were made to refund) on you the final consumer.
The situation above is different from the scenario we are on now
You are correct. The excise duty they have charged is not refundable in this case. They have just shown it as their expense which they have transferred as a cost to @himayun19
Only the VAT is refundable. The excise value needs to be recorded as an expense along with the bought items.
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