When you publish an item to Xero, Dext Prepare will send the Tax value and Tax rate that was extracted from the submitted paperwork.
You can specify how the software behaves when displaying and publishing tax information to ensure that items are described in the correct way to suit your Xero account.
Showing your tax rate lists
After integrating, Dext Prepare will import all of the Tax Rates you’ve set up in Xero. You can display this list of Tax Rates on the Item Detail page by:
- Going to Business Settings, then Connections on the main menu bar to the left.
- Click Manage next to your Xero connection.
- Switching the ‘Use tax list’ setting to Yes.
You can then select the relevant tax from the dropdown in the Tax section on an item’s Item details page.
Publishing tax data
You can specify whether tax on submitted items should be calculated in Dext Prepare or Xero using the ‘Publish tax data’ option in Dext Prepare.
Change the tax settings by:
- Going to Business Settings, then Connections on the main menu bar to the left.
- Click Manage next to your Xero connection.
- In the Publishing tax data section, you can choose from three options for how tax will be applied to items when published to Xero:
You’re presented with 3 options:
- Allow Dext Prepare to decide with exceptions
Dext Prepare will always extract the tax value from submitted paperwork. After the item is published, the software’s extracted tax rate will always be displayed in Xero, unless;
- The tax value of the item is 0.
- The tax amount field is blank
- The default tax rate for a category (nominal code) in Xero is zero-rated
- Allow Xero to Calculate
Dext Prepare will extract the tax value from submitted paperwork but when this is published Xero will overwrite this value and recalculate the tax according to the tax rate of the category (nominal code).
- Allow Dext Prepare to decide
The software will always extract the tax value from submitted paperwork. After the item is published, Dext Prepare’s extracted tax rate will always be displayed in Xero.