The Taxes module uses date range selection and optional jurisdiction filtering to generate sales and use tax reports. Typically run for monthly periods to align with tax filing requirements.

The Print option (upper right corner) generates a comprehensive PDF report showing total sales, taxable amounts, tax rates, and remittance amounts for each jurisdiction. This report provides all information needed for electronic tax filing or manual remittance submission.

Report Sections

The Remit All button (upper right corner) initiates the automated remittance process, creating disbursement transactions for all jurisdictions shown in the tax report. This integrates with TRUE Accounting to generate journal entries automatically.

Remittance Process Steps

When you hover over jurisdictions in the tax report, your cursor changes to indicate clickable drill-through capability. Clicking on a jurisdiction displays all source transactions (invoices and bills) that contribute to that jurisdiction's tax obligation.

What You'll See

Multi-jurisdictional tax rates allow you to allocate a single tax rate across multiple government entities (state, county, city) and track remittance obligations separately for each jurisdiction.

Configuration Steps

1. Click the gear icon in the upper right corner of TRUE and select Company Preferences.
2. Navigate to the Taxes module from the preferences menu.
3. Click Create New Tax Rate or edit an existing rate.
4. Enter a Display Name (this name appears throughout TRUE for selection on invoices and bills).
5. Enter the total Tax Rate percentage (e.g., 7%).
6. In the Remit To field, enter the address of the tax authority (e.g., NC Department of Revenue).
7. Select the associated Vendor record for this tax authority.
8. Select the Tax Payable Ledger Account from your chart of accounts.
9. In the bottom section, add each jurisdiction (state, county, city) with their respective tax rate percentages.
10. Ensure the sum of all jurisdiction percentages equals the total tax rate.

Monthly tax reports provide a comprehensive view of all sales and use tax activity for a specified period, broken down by jurisdiction.

1. From the Financial workflow button, select Financial → Taxes.
2. Enter the Start Date (typically the first day of the month).
3. Enter the End Date (typically the last day of the month).
4. Leave the Jurisdiction field blank to view all tax obligations (recommended for comprehensive remittance).
5. Click the Search button to generate the report.
6. Review the displayed tax rates with their root-level totals and individual jurisdiction breakdowns.

The tax report displays a hierarchical view of tax rates and their jurisdictions with detailed obligation amounts.

Report Structure

The Remit All process creates disbursement transactions for all jurisdictions and integrates with TRUE Accounting for automatic journal entry generation.

1. Run your monthly tax report as described above.
2. Click the Remit All button in the upper right corner of the Taxes module.
3. Select the bank account to use for paying the tax remittances.
4. Review the disbursement transaction showing the vendor (tax authority), total amount, and line items for each jurisdiction.
5. Verify that each line item shows the correct tax payable ledger account.
6. Save the disbursement transaction.
7. Select the transaction and click the purple Accounting button.
8. Select Create Entries to generate journal entries in the unposted journal.
9. Navigate to TRUE Accounting → Unposted Journal.
10. Select all tax remittance journal entries.
11. Click Post All to post the entries to your general ledger.

The PDF export feature generates a comprehensive remittance report suitable for electronic filing or manual submission to tax authorities.

1. Run your monthly tax report with the appropriate date range.
2. Click the Print option in the upper right corner.
3. Review the PDF report showing total sales, non-taxable amounts, taxable amounts, rates, and remittance amounts for each jurisdiction.
4. Use this report to complete electronic tax filing forms or attach to manual remittance submissions.

Report Contents

The Taxes module is fully integrated with TRUE Accounting, automatically generating journal entries for all tax remittance transactions.

Integration Points

Yes, TRUE supports assigning different tax payable ledger accounts to each jurisdiction within a multi-jurisdictional tax rate, providing flexibility for financial reporting and statement organization.

Configuration

1. In Company Preferences → Taxes, edit your tax rate.
2. For each jurisdiction (state, county, city) in the bottom section, select a different tax payable ledger account.
3. Save the tax rate configuration.
4. When remittance transactions are created, each jurisdiction's amount will be posted to its designated ledger account.

Use Cases

TRUE provides drill-through capability to view all source invoices and bills that contribute to each jurisdiction's tax obligation.

1. Run your tax report for the desired date range.
2. Locate the jurisdiction you want to verify in the report.
3. Hover your cursor over the jurisdiction name - the cursor will change to indicate clickability.
4. Click on the jurisdiction to drill through to the source transactions.
5. Review the list of invoices (sales tax) or bills (use tax) that contribute to this jurisdiction's total.
6. Verify transaction details including record numbers, dates, customers/vendors, taxable amounts, and tax amounts.

Follow these recommendations to ensure accurate and timely tax remittance processing.

Monthly Workflow