Adding a Tax Code

Summary:

Tax Codes are Quipli’s objects for managing taxes on orders and invoices and represent a combination of Tax Jurisdictions and their rates. Each Tax Code is assignable to an order during order creation and when updating the order. Automatic tax code setup for new and existing tax codes is available through our TaxJar integration.

Note: This feature can only be used with Tax Options → Tax Code Setup under General Settings > Options > Tax Options > Tax Code Setup.

1. Go to Accounting → Tax Codes

   

2. Select the Tax Jurisdictions tab and click the Create a tax jurisdiction button.

3. Enter the tax jurisdiction name as you want it to appear, then enter the Allocated Percentage for the applicable tax rate (for example, 7.5%). 

Tip: If you leave the General Ledger Account blank, a new GL will automatically be created and mapped to this jurisdiction for you. For help with Tax Categories, see our Tax Categories article for setup guidance. When finished, click Create.

4. Navigate to the Tax Codes tab and click the Create a Tax Code button to start adding a new tax code.

5. Enter the name for the tax code as you want it to appear, then select one or more jurisdictions from the Tax Codes dropdown that make up this tax code (many tax codes include multiple jurisdictions). When finished, click Create.

Note: You can repeat this process to create as many jurisdictions as you need before moving on to create the tax code.

Note: If you are using TaxJar, each location needs a default location configuration for pickup orders, which sets the tax code that will be used automatically for that location. Deliveries will use the automatically created tax code and do not require a location configuration. If no default location is set up yet, create one before finishing your tax code setup.

For QuickBooks Online (QBO) Users

If you’re a QuickBooks Online (QBO) customer and your QBO account is linked to Quipli, you may see some tax codes appear in red on the Tax Codes page. This means they still need to be assigned a tax code from QBO. 

To resolve this, set up the tax code in QuickBooks first. Once it’s created, return to Quipli and use the dropdown in the tax code setup to link or match it to the correct QBO tax code. For more details on how this works, see our QBO Setup Article.

Configure Default Location (if needed)

If you don’t have a default location set up yet, follow these steps:

1. Go to the Default Location Configuration tab.
   
   
2. Click Create A Tax Location Assignment.

3. Select the location you want to set as default and choose the appropriate tax code (e.g., Tampa, FL Tax (7.5%)).
   

4. Click Create to confirm.