Sage 100

One of our customers who ships products into Canada from the US would like to know if anyone has modified Sage 100 to capture the Canadian duty tax (tariff) during the SO Invoice process. They will manually enter the duty either as a UDF on Totals tab or as misc charge on the Lines. What they have in mind is if a customer purchases $1,000 of merchandise with a duty tax of $200, $1,200 posts to AR, $200 posts to an A/P liability account, and $1,000 posts to revenue. Later they will cut a check out of A/P to remit the $200 to the Canadian authority that collects the duty.

Can you create a miscellaneous item code -- use the account# of your AP liability account?

I have a script that adds a MN surcharge for certain items that goes to a liability account (I wouldn't use the AP account) and they then remit a check against that account I think quarterly, maybe yearly? I should add, I didn't write the script. It was written by the partner I mentioned here: https://90minds-com.socialcast.com/messages/14055700?ref=stream

I failed to include that they would also like for the SO invoice update process to create an AP invoice for the duty liability. (And I can't help but hear Beavis and Butthead every time I type duty!)

So you do want the script automatically adding the surcharge on the SO invoice and then put an invoice into AP Invoice Data Entry? The script could recalc the surchage if the purchase total changed and also update the AP invoice. How about putting the AP invoice number in a UDF field on the Sales Order Invoice?

@MyronStevenson Yes, all of those ideas would do the trick. If it automatically added the surcharge, wouldn't it also be necessary to create logic for the calculation of the tax?

How complex is the calculation logic for the duty liability? I'm with others that you use a misc item on the sales order invoice. I would set up a separate process to create AP invoices. Too much automation can cause more trouble than it fixes. You have more control over when the invoice creation process runs and what is included with a separate process.

Why can't you use the Sales Tax functionality by setting up specific codes for Canada? You can specify a specific GL account for these codes. Modify the Crystal invoice to change the wording on the sales tax text to print the specific Canadian verbiage when that sales tax code or schedule is used

I don't think the sales tax function will work. The rate can vary by product and could be a percentage plus a fixed amount.

If a tariff code is used based on the item number, using sales tax function may not be ""complex"" enough.

The rates also vary by province. John - do have the formula they are using now to calculate the duty?

And our sales tax structure is difficult???????

Canada sales tax is easier than US (IMHO). It also includes free health care for Canadian residents.

Tip - If any of you take vacations in Canada and use a lodge or a tour guide, there are ways to get part of the sales tax rebated back to you. See the Canada Revenue Agency's website and do a search of GST rebate. Look for something relating to tours, tour guide and nonresidents.

Much of Canada is modeled after UK. I just spent a couple of weeks in London where you can theoretically get back the 18% VAT (Value Added Tax) you paid on your purchases. After commissions, fees, intentionally poor currency exchange rates, and a 1 hour long ""VAT Refund"" line at the airport, I really don't get back much of my VAT. I'm sure Canada is the same way.

In UK, health care is free but it comes at a serious price in terms of cost of living, inflation, quality of medical care due to being forced in a HMO type system. I hear the same stories out of Canada.

While people may think healthcare is not rationed here in the US, think again. Insurance companies do it all the time. Anyone ever had a precedure pre approval denied? Anyone ever had to switch doctors because their new insurance plan coverage didn't include their curent medical provider? Anyone every get turned down for a medicat device because it was deemed ""experimental"" although Medicare covers it and the hospital's own physical therapists recommend it as their best quality device AND the largest insurance provider in the state of VA covers it? The 64,000 question is why doesn't the HOSPITAL's insurance carrier cover it? Sounds like rationing to me!

I do not understand why people think that a bureaucracy whose purpose is to provide the greatest good for the greatest number of people is inherently worse at providing health care than a bureaucracy whose only goal is maximization of shareholder wealth.

A bit like Sage.......