withheld tax in invoices?

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withheld tax in invoices?

h0mer
hi,  I have a situation I can't figure out how to model: When I charge my clients (and consequently create invoices), I have to include two taxes: One is a sort of VAT, which is easily set as a percentage through a tax table, and automatically calculated in the invoice.

The other tax, however, is trickier. This is a withheld tax, since it is an amount that my customer has to keep from paying me and pay it to the government. I cant figure out how to associate this in order to have automatically calculated, since through the tax table I can't seem to asign 'negative' percentages, as in 'substract' from the total instead of adding. an example:

Cost of service: $100
VAT: 16% <-- Paid by myself
Withheld tax: %10 <-- Paid by my customer

Tax table: VAT, 16%

I create an invoice, for $100. Taxable, tax not included, tax table Vat, so tax is now $16. Invoice total: $116. This is ok but half right. What I need next is some sort other tax table, but 'withheld' or 'deductible', so I can select it and just like it knows the VAT is %16 added, it should know this is %10 percent substracted. Sort of like this:

Service, $100. VAT $16. Withheld $10. Total for invoice: $106. (cost + vat - withheld).

Please help me!! I try to manage with simply calculating VAT and including the deduction as a different process, but it is effectively cumbersome to manage by hand; besides, even though I create an invoice for $100 plus Vat, the amount actually received is $106 instead of $116 obviously, so when I process the payment, the difference results in that the invoice is never fully paid, so gnucash doesnt list it as such. I could also try setting the cost of the invoice to $90, as in including already the withheld tax, but then, the VAT would be incorrectly calculated, as it should be $100.

Any ideas? I will really appreciate the help.
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Re: withheld tax in invoices?

Derek Atkins
I'm afraid that GnuCash just doesn't support this.

-derek

Quoting h0mer <[hidden email]>:

>
> hi,  I have a situation I can't figure out how to model: When I charge my
> clients (and consequently create invoices), I have to include two taxes: One
> is a sort of VAT, which is easily set as a percentage through a tax table,
> and automatically calculated in the invoice.
>
> The other tax, however, is trickier. This is a withheld tax, since it is an
> amount that my customer has to keep from paying me and pay it to the
> government. I cant figure out how to associate this in order to have
> automatically calculated, since through the tax table I can't seem to asign
> 'negative' percentages, as in 'substract' from the total instead of adding.
> an example:
>
> Cost of service: $100
> VAT: 16% <-- Paid by myself
> Withheld tax: %10 <-- Paid by my customer
>
> Tax table: VAT, 16%
>
> I create an invoice, for $100. Taxable, tax not included, tax table Vat, so
> tax is now $16. Invoice total: $116. This is ok but half right. What I need
> next is some sort other tax table, but 'withheld' or 'deductible', so I can
> select it and just like it knows the VAT is %16 added, it should know this
> is %10 percent substracted. Sort of like this:
>
> Service, $100. VAT $16. Withheld $10. Total for invoice: $106. (cost + vat -
> withheld).
>
> Please help me!! I try to manage with simply calculating VAT and including
> the deduction as a different process, but it is effectively cumbersome to
> manage by hand; besides, even though I create an invoice for $100 plus Vat,
> the amount actually received is $106 instead of $116 obviously, so when I
> process the payment, the difference results in that the invoice is never
> fully paid, so gnucash doesnt list it as such. I could also try setting the
> cost of the invoice to $90, as in including already the withheld tax, but
> then, the VAT would be incorrectly calculated, as it should be $100.
>
> Any ideas? I will really appreciate the help.
> --
> View this message in context:
> http://www.nabble.com/withheld-tax-in-invoices--tf2384579.html#a6646740
> Sent from the GnuCash - User mailing list archive at Nabble.com.
>
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--
       Derek Atkins, SB '93 MIT EE, SM '95 MIT Media Laboratory
       Member, MIT Student Information Processing Board  (SIPB)
       URL: http://web.mit.edu/warlord/    PP-ASEL-IA     N1NWH
       [hidden email]                        PGP key available

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Re: withheld tax in invoices?

Maf. King
On Wednesday 04 October 2006 20:44, Derek Atkins wrote:
> I'm afraid that GnuCash just doesn't support this.
>
> -derek

Just a thought,

Can you do this manually?
PITA I know, but you can put in a negative line on an invoice -

so you get something like:
widgets sold qty:1 unit:$100 tot:$100 taxable:X tax:$16
withheld tax qty:1 unit $(-0.1*taxable total)  tot:-$10  taxable:_ tax:0.00

just a random cent or two.

HTH,
Maf.


>
> Quoting h0mer <[hidden email]>:
> > hi,  I have a situation I can't figure out how to model: When I charge my
> > clients (and consequently create invoices), I have to include two taxes:
> > One is a sort of VAT, which is easily set as a percentage through a tax
> > table, and automatically calculated in the invoice.
> >
> > The other tax, however, is trickier. This is a withheld tax, since it is
> > an amount that my customer has to keep from paying me and pay it to the
> > government. I cant figure out how to associate this in order to have
> > automatically calculated, since through the tax table I can't seem to
> > asign 'negative' percentages, as in 'substract' from the total instead of
> > adding. an example:
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