VAT

[edwardcateuse]

I am slightly confused about how VAT functions. I went through the help manual but its not very clear.

Say I make a tax class for purchases for Vendor & item as
19%
9%
for both

When I go to tax rates and select transaction type purchases I am given a table as under
Item tax class | 19% | 9% | 0%
19% | | |
9% | | |
0% | | |

Can you please tell which of the following tables are correct
1st table
Item tax class | 19% | 9% | 0%
19% | 19 | |
9% | | 9 |
0% | | | 0

2nd Table
Item tax class | 19% | 9% | 0%
19% | 19 | |
9% | 9 | |
0% | 0 | |

The manual somehow says the 2nd but that does not make sense and either way I put it the system does not like to calculate taxes for some strage reasons. So I thought I'll start with the basics.

Hope you can point me in the right direction. I truely appreciate the help I have received so far on this forum wihtout which Accpac would have been a nightmare considering the support we get from our suppliers.

 

[edwardcateuse]

the requirement has come because of the need to add some more tax codes. As we are working in Romania there have been some tax changes which we need to incorporate.

 

[ettienne]

The tax tables are a matrix, so where 19% and 19% intersect the rate will be 19, where 9% and 9% intersect it will be 9, and the others will be 0.

 

[ettienne]

Your 1st table is correct.