Video Walkthrough
Finding Your Tax Item Settings
Navigate to your settings by clicking the cog in the search bar at the top right of the screen.
Then, select Tax Items in the left settings menu.
You will then see a list of your tax items.
Click edit in the action bar at the bottom right of your screen to make changes.
How Taxes are Structured in 3C Connect
Tax Item Name & Rate
A tax item name is a tax rate for one specific city, county, state, region, etc. It can be updated to reflect the most current rate by adding a rate and using a new effective date.
Tax Item ExampleBob lives in the City of Seattle, King County, Washington State.Washington has a tax rate of 6.5%, King County has a tax rate of 0%, and Seattle has a tax rate of 3.6%.You sum up these tax rates, which gives you 10.1% for this area.You create a tax item name called "Seattle", and create a tax rate of 10.1% effective today.Hypothetically, in 2022, the Seattle tax rate changes to 3.7%.In this case, you create a new tax rate under the same "Seattle" tax item with the new sum of 10.2% effective January 1st 2022.
If you delete a tax rate, it disconnects it from any existing work orders. A warning dialog will appear. The work order prices will not be affected.
Each customer's sites are assigned a tax item from your list. This tax item will be used on any work orders you create. The current tax rate for that tax item will automatically be selected for the work order. If you change the tax item on a new work order, the site tax item will also change.
To delete a tax item, select it in the list with the checkbox, then click the cog at the top right of the table and select the option to delete it.
Deleting a tax item will disconnect taxes from sites, and will disconnect all rates from work orders. A warning dialog will appear. Existing work order prices will not be affected. You should avoid deleting tax items as much as possible, unless you've made an error.
If the account is connected to QuickBooks, a specific warning about QuickBooks will be shown. In QuickBooks General Settings, each tax rate must be mapped to an entry in order to get a correct synchronization.
Effective Date
The effective date is used to update tax rates while keeping deprecated rates for tracking purposes and older work orders. By adding an accurate Effective Date, you can easily denote which tax rate should be currently used. The tax rate with the most recent effective date will be used when creating new work orders. Changing the effective date of any tax item has no effect on previous work orders.
Overriding Taxes
Activating Tax Overrides
Taxes can be overridden by a dollar amount, but to do so, you must activate it in the Work Order Settings page by navigating to Settings > Work Orders.
Once override taxes setting is activated, you will see an option to override taxes when editing work orders.
Specific tax rates can still be assigned from your tax items, but the tax can be overridden. It's important to assign a tax rate if you decide to synchronize with QuickBooks.
The tax percentage will not be displayed anymore when taxes are overridden. This also applies on the PDF version of the invoice.
QuickBooks Desktop
QuickBooks Desktop cannot contain a custom tax value. This following warning will show when saving work orders:
This warning can be turned off in the QuickBooks General Settings by navigating to Settings > QuickBooks Desktop General Settings.