Booking of combined tax within a Tax Group
I have created a Tax Group to combine two different taxes existing in Spain for certain small companies:
• Value Added Tax, which is a positive tax
• Withholding Income tax, which is a negative tax
So, when I create a bill from a supplier who is subject to that tax group, Zoho Books calculates correctly the net amount payable to the supplier. However, both tax types, the positive and the negative, are booked over the same book account, the VAT payable account, which is, accountingwise wrong. Even being calculated from the same tax base, both tax types are conceptually different because the positive is a Sale Tax and the negative is an Income Tax. Both are declared and payed separately so, we have to have a separated control of them and I have to book a reclass entry to keep control of both.
Have you foreseen a way to book both tax types in different book accounts? Reclassing every single invoice is a really nasty work!
Thank in advance for you feed-back and best regards,