Skip to main content

Manage Taxes

You can keep track of the taxes used on items and invoices so that you stay organized as you go.

  • Tax settings are applied automatically based on your set country, but you can make changes by going into your settings and editing your tax rates. 
  • After taxes have been set up at the account level, taxes can be turned on and off at the document level. 
  • When creating an invoice, you can apply the taxes you’ve set up at the item level, which then will be incorporated in the invoice subtotal amount. 

Editing Taxes

iOS and Android

On the Account level:

  1. Tap the Profile icon in the top right corner of the home screen
  2. Tap Tax and currency
  3. Tap Add tax
  4. Edit the Tax label (e.g. Tax, VAT, GST,  etc.)
  5. Tap Rates and specify the standard tax rate, and add any additional tax rates
  6. Tap Tax type and select whether the tax is exclusive or inclusive 
  7. Tap Accumulative of… and select which other taxes you would like this new tax to be accumulative of (If applicable. Accumulative taxes are able to be applied on top of one another)
  8. Toggle on or off whether to automatically apply the tax to all items
  9. Tap the back arrow in the top left corner to save your tax
  10. Toggle on or off whether to apply withholding tax and set a rate (a withholding tax is a portion of tax that will be deducted from your invoice, usually paid to the government or a third party)

On the Invoice level:

  1. On the invoice creation screen, scroll down to the subtotal and tap on the tax you wish to edit (VAT/GST/etc)
  2. On Tax calculations, indicate whether the tax is exclusive (tax not included in cost of goods/services) or inclusive (tax included in cost of goods/services) 
  3. Specify the rate or add new rates 
  4. Tap Save 

Alternatively, you can edit the tax rates of specific items on an invoice by,

  1. Tap on the item
  2. Tap More options
  3. Tap the tax you would like to edit
  4. Choose the rate you would like to apply
  5. Tap Save 

Web

  1. Click on your Company name in the upper right corner
  2. Click on Account & settings
  3. Click on Tax and currency
  4. Click on Add tax
  5. Edit the Tax label (e.g. Tax, VAT, GST,  etc.)
  6. Enter the standard rate percentage for the tax and click on Add rate to add any additional tax rates
  7. On the line labeled Tax type, select whether tax is exclusive (tax not included in cost of goods/services) or inclusive (tax included in cost of goods/services)
  8. Toggle on or off whether to automatically apply the tax to all items
  9. Next to Accumulative of, select which other taxes you would like this new tax to be accumulative of (If applicable. Accumulative taxes are able to be applied on top of one another)
  10. Click on Save tax 
  11. Select whether to enable withholding tax (a withholding tax is a portion of tax that will be deducted from your invoice, usually paid to the government or a third party)
  12. Click on Save 

On the Invoice level:

  1. On the invoice creation screen, click Edit on the tax you wish to edit (VAT/GST/etc) on the left side on the screen
  2. Under Tax calculations, indicate whether the tax is exclusive (tax not included in cost of goods/services) or inclusive (tax included in cost of goods/services) 
  3. Specify the rate or add new rates 
  4. Click Save 

Alternatively, you can edit the tax rates of specific items on an invoice by,

  1. Click on the item
  2. Click on TAX, parts or labor, discount 
  3. Click on the percentage dropdown next to the tax you wish to edit and choose the rate you would like to apply
    • You can also uncheck the box next to the tax to remove the tax from that item
  4. Click Save 

Reporting Taxes

Gathering your information is half the battle when it comes to tax time, and we make it easy by bringing all your business reports together in one place. The tax report helps give you an overall look at your tax totals monthly or quarterly within a given year. Easily view past invoices by month, quarter or year, and see which have been paid and which are still outstanding. With just a few taps, you can print your taxes, or send them straight to your email. 

The tax report helps give you an overall look at your tax totals monthly or quarterly within a given year. By looking at the numbers for the past two years, notice when you are earning the most, and least, revenue. Think about when it makes most sense to stick to basic expenses or to invest in new equipment or new advertising campaigns. You can also be smart about when to stash cash to help cover expenses during the slower months.  

To view and sort your Tax Report,

iOS and Android

  1. Tap More
  2. Tap Reports
  3. Tap Report list
  4. Tap Taxes
  5. Below Taxes, tap the blue link with the year on it
  6. Choose the tax year(s) and view (monthly or quarterly) you would like to see a report for
  7. Tap Apply
  8. To export yourself a copy of the report, tap the logo of an arrow in the top right corner and choose whether to send yourself a CSV or PDF file of the report. The report will then be emailed to you

Web

  1. From the navigation menu, click on Reports
  2. Click on Report list 
  3. Click on Report types dropdown and select Taxes
  4. Choose the tax year(s) and view (monthly or quarterly) you would like to see a report for 
  5. To export yourself a copy of the report, click on click Export at the top right of the report, and choose whether to send yourself a CSV or PDF file of the report. The report will then be emailed to you

Helpful Tips

  • Any changes made to taxes will be applied to future invoices only; historical invoices will not be affected.
  • Any products with specific tax rates set will not be updated.
  • When you run a business, there are certain services or items that you sell that might be tax eligible and paid by the customer, and that money is owed to the government. Depending on where your company is located, the government may impose certain taxes at a specified rate. Invoice2go offers tax options so that you can tax your customers on the products or services that you sell. Make sure you confirm with your local government or municipality to ensure what taxes you need to incorporate into your invoices.
Powered by Zendesk