The Taxes feature enables organizations to configure, manage, and apply tax structures across customers, vendors, work orders, and locations. Most organizations configure taxes during initial setup, but they can be updated at any time to reflect jurisdictional rules or special customer/vendor requirements.

A tax is a named tax profile that can contain one or more individual tax rates. These rates are combined to form the total tax percentage used in calculations. This structure supports jurisdictions with layered taxes, such as state, county, or federal components.

​Example:

A “Nebraska Tax” profile might include:

Together they form a total applied tax of 8%.

Each tax profile can include multiple tax rates. A tax rate includes a descriptive name and a percentage value, which may include up to four decimal places. All component rates add together to form the total tax applied.

Each tax profile can determine what types of charges it applies to:

Users can configure any combination of these, reflecting local tax rules. Some jurisdictions tax everything; others might tax only parts or only certain types of charges.

Taxes are managed under Administration → Taxes.

New organizations are created with a default Zero Tax entry. Users then add their own taxes based on local law.

To create a tax:

The new tax is then available to assign to locations, customers, vendors, and work orders.

A tax can be opened to modify its name, component rates, or taxable items.

Taxes may be deleted as long as no system dependencies prohibit it. If a tax is deleted, any associated entity will need a new tax assigned.

Each shop location can specify its own default tax. This is necessary when operating across multiple states, provinces, or countries.

To assign a default tax:

Any new customer created from that location will inherit this default automatically.

Each location can have a unique default tax profile. This allows a multi-location organization to respect local jurisdictional requirements. For example:

When a customer is created, they automatically receive the location’s default tax.

The Create Customer modal does not include tax customization to streamline onboarding.

Once the customer exists, the Edit Customer view allows full customization:

Customer overrides take precedence over location defaults.

When a work order is created, the system applies tax based on the following logic:

The Finance tab on the work order displays a breakdown of all tax components and the total calculated tax.

Users may override the tax on a specific work order. This is necessary when work is performed in a different jurisdiction than the shop’s primary location.

For example, if a technician performs repairs across a state or provincial border, the work must be taxed according to the jurisdiction where the work was completed. In such cases, users manually select a different tax directly on the work order.

This override affects only that work order.

Part categories can be set as tax exempt. When a category is marked exempt, any part assigned to that category will not be taxed.

This is useful for:

To configure:

When a tax-exempt category is applied to a part:

When a vendor is created, it inherits the location’s tax. However, vendor tax behavior often differs:

Users can edit the vendor to assign the correct tax profile.

While receiving parts from a vendor, users can override the tax amount. This is necessary when:

Although overrides are supported, defining formal tax profiles is recommended for accurate reporting and exports.

Tax application follows a clear order of precedence:

This hierarchy ensures predictable and consistent tax behavior across all operations.