Tax rates in Dext let you categorise the tax applied to your cost and sales documents. You can add tax rates manually, set account-level defaults, apply them to individual items, and create supplier rules to apply them automatically.
This article is for Dext accounts that are not connected to accounting software. If your account is connected, tax rates are managed in your accounting software and synced to Dext automatically. For more details, see How to connect Dext to accounting software.
Important: Only Admin users can create and manage tax rates in Dext. This includes accountants and bookkeepers accessing a client account.
Add a tax rate
To add a tax rate to your Dext account:
Go to Business settings, then select Lists, then Tax rates.
Select the Costs or Sales tab depending on the type of rate you want to add.
Select Add tax rate.
Enter a Name for the rate. Optionally, add a Code, ID, and Rate %.
Select Add.
The new tax rate appears in your Tax rates list.
Edit or delete a tax rate
To edit a tax rate:
Go to Business settings, then select Lists, then Tax rates.
Select the Costs or Sales tab.
Select the tax rate you want to edit, make your changes, then select Save.
To delete a tax rate:
Select the checkbox next to the tax rate you want to remove.
Select Delete.
Set a default tax rate
A default tax rate applies automatically to every item that doesn't have a supplier rule or an individually assigned rate.
To set a default tax rate:
Go to Business settings, then select Extraction.
Scroll to the Tax section.
Select a default rate from the Default tax rate for costs or Default tax rate for sales dropdown.
Apply a tax rate to an item
To assign a tax rate to an individual item:
Open the item from your Costs or Sales inbox.
Go to the Tax field on the Item details page.
Select the rate you want to apply from the dropdown.
Note: If a default tax rate is set for your account, the tax amount is calculated automatically using that rate. If no default is set, Dext uses the tax amount extracted from the document.
To apply multiple tax rates to a single item, use line items. See How to manually create line items in Dext.
Create a supplier rule for tax rates
A supplier rule automatically applies a tax rate to every item from a specific supplier, without you having to set it manually each time.
To create a supplier rule:
Go to Costs, then select Suppliers.
Select the supplier you want to create a rule for.
Go to the Tax Rate field and select the rate from the dropdown.
For more on supplier rules, see How to use supplier and customer rules in Dext.