Applying Purchases Tax to Estimates

💡 You will need to have your Purchases (Non-Remittable) tax rate configured under Settings > Tax Codes before this will have any effect on your estimates. Check out this article, Setting Up Your Tax Codes.

Navigate to Estimate>Costings use the Tax Selector drop-down to ensure correct tax code is selected. The Tax checkbox on each line item applies your configured Purchases (Non-Remittable) rate directly to that line item's Builder Cost.

You can enable or disable non-remittable tax on any individual costing line — useful since not every purchase will carry this component.

💡 Tip: For estimates with many line items, work through each cost category and toggle the checkbox as needed before sending your proposal.

When the Tax checkbox is toggled on for a line item, JACK calculates the builder cost as follows:

(Qty x Price Each) x (1 + Purchases Non-Remittable Rate) = Builder Cost

From there, markup and sales tax are applied on top:

Builder Cost + Non-Remittable Tax + Markup + Sales Tax = Owner Price

Sales tax percentage selected for the estimate, this will be applied to the owner price on top of the above calculation.

⚠️ Note: This checkbox applies non-remittable purchases tax to your estimate Builder Cost only. It is separate from any remittable purchases tax applied on Bills.

ℹ️ Refer to this link for more information on how Taxes get calculated through different areas of Jack. General: How Tax Flows Through Jack