New Invoice Style for Pennsylvania Sales Tax

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Pennsylvania Sales Tax Compliant Invoice Style

Overview

This feature introduces a new invoice style that calculates sales tax only on the taxable portion of the invoice, in compliance with Pennsylvania Department of Revenue guidelines. The enhancement ensures that non-taxable employee costs are excluded from tax calculations, providing accurate invoicing and adherence to Pennsylvania tax laws.

Key Benefits:

  • Guarantees compliance with PA tax regulations.
  • Improves accuracy in tax reporting and invoicing.
  • Reduces risk of overcharging clients by excluding non-taxable costs.

Functionality

1. Feature Addition

  • Where it appears:
    The new invoice style is available automatically for all customers with primary address in Pennsylvania.
  • New UI Elements: 
    • Option to select PA-Compliant Invoice Style during invoice setup.
    • Display of taxable amount, sales tax rate, and sales tax due on the invoice.

2. Behavior

  • When the PA-compliant invoice style is selected: 
    • Sales tax is calculated only on taxable items, excluding non-taxable employee costs.
    • Invoice displays: 
      • Gross Fee (Total Item Bill or Total Amount)
      • Taxable Amount
      • PA Sales Tax Rate
      • PA Sales Tax Due
      • Total Invoice Amount