Activate Business Codes
Until Activated the only options are Reports.
Select the required Template.
Templates provided suggest Codes and Groupings for various tasks. Currently there is a Default blank template and a pro-forma template for use with the Australian GST & BAS reporting system.
Templates are a suggested guide only - please check with your accountant and modify to suit your circumstances.
Once activated all of the tabs will become available.
Activating Business Codes is simple.
Select the “Activate Business Codes” tab, select a suitable template and Activate.
If this tab is not to be found, then your Business Codes should already be activated.
Maintain Business Codes
Create or Modify codes
To create a new code, simply select [Create Code]. Fill in the required details and select the code type. To create a new code type, simply select [New].
Included rate
Codes may include a rate (calculated as a percentage of the transaction amount). Report columns “Tax Amount” are generated in response to this Business Code.
Note: The rate is NOT stored against the transaction and represents the current rate applied to the allocated code. This allows you to update your reports quickly by altering the code, instead of needing to modify each transaction. More on this below…
Rates can be of either sign (+ / -).
Positive percentage rates are “inclusive” and are based as a simple percentage of the transaction amount i.e.
TaxAmount=InclRate * TransAmount / 100
Negative rates are “exclusive” i.e. the transaction amount shown applies after the tax has been deducted at the nominated percentage of the original sum. The following applies for rates less than 100%:
TaxAmount=abs (InclRate) * TransAmount / (100 - abs (InclRate) )
Rates are currently limited to the range -90 to 99%
Making codes inactive
Business codes can be made Inactive by checking “Code is no longer active” in the Modify Code window. Inactive codes show in the summary with a grey dot prior to their description.
Making a code inactive prevents its being applied when importing or categorising transactions. It does not effect previously categorised transactions or reports.
Where a code is used as a Category default (and then inactivated) that code will show coloured red in the Category default summary. You should review Category defaults and make the necessary adjustments.
Deleting codes
Codes cannot be deleted once they have been assigned to any transaction. Furthermore codes that are included within a Grouping cannot be deleted until they are removed from all Groups - they can then be deleted provided there are no associated transactions.
Enabled accounts
You can select certain accounts for automatic application of defaults on import or categorisation. These are called ‘Enabled Accounts’. To select those accounts - just click on the relevant line in the summary to change its status. This does not prevent the allocation of a code to any account or category - simply it will not be automatically suggested for non-enabled accounts.
Only currently active Banking, Credit Card or Loan accounts (i.e. active importable accounts) are displayed for selection.
Category defaults
Category defaults are set via the normal Category summary. This adds an additional column “Code” to show the current default setting. This default is the same across all enabled accounts and can be over-ridden at the Register and Search screens.
The default code is added as an extension of the normal category input. Note the extra field in the following:
What if code included rates change?
Consider the case where a taxation code requires a rate change. While you may simply change the code rate, this may invalidate previous transaction reports.
Instead you may wish to create a new code, change the default categories to the new code and then inactivate the original code.
Say GST went from 10% to 15%. To update the GST on all future transactions, whilst keeping it the same on all past transactions you could:
- Rename “GST” to “GST_past” (or similar), leaving the rate alone.
- Create a new “GST”, setting the rate as 15%. Use this “GST” for your new transactions.
Make sure the new code is added to any report Groups.
Codes are stored with transactions, not the rate. The rate x amount is calculated when you run a report.
