A tax is an amount that businesses are required to pay to the public sector either on product purchases (e.g. VAT) or based on their income or assets.
Tax categories
Elorus categorizes the taxes into 3 types. Each type differs in the way that it affects the payable amount.
VAT/GST Taxes
VAT taxes are levied on the price of each product/service entry included in an invoice.
See how to add a VAT/GST tax in the related article
Withholding tax
Withholdings and deductions are typically state-imposed requirements that oblige the recipient of an invoice to withhold or deduct a tax amount from the payment and remit it to the state. As a result, the total invoice value needs to be distinguished from the amount payable.
See how to add a withholding tax in the related article.
Simple taxes
You can create your own tax by selecting the specific category. Then, define whether the tax will be a fixed amount, a variable amount, or a percentage, and specify if its value will be positive or negative.
See how to add a simple tax the related article.