NetCash Automation Rules - Transaction Creation with Tax Code
Overview
NetCash enables users to source the Tax Code onto transactions that are created using automation rules to create transactions. This feature is meant to be used for companies that operate in countries where the tax amount is included in the transaction amount shown on bank transactions, for example Australia's GST, regardless of whether the transaction was a purchase or sale. When that is the case, the amount from the bank transaction is the Gross Amount rather than the Net Amount and needs to be handled differently than how the NetCash transaction creation normally works.
Step-by-step process
- All the steps for creating an automation rule to create transactions are the same as the steps in this article about the Automation Rules for Transaction Creation. The only difference is in setting the transaction template.
- If a company has Tax Codes in their NetSuite environment, then they will see the Tax Code column as an option to set on the transaction template tab of the Create Transaction Automation rule.
3. On the Offset Account the user should set the proper Tax Code for transactions that will be created from this automation rule. NetCash will lookup the Tax Rate and Tax Account based on the Tax Code setup in the users NetSuite environment. When a Tax Code is filled out on the transaction template, NetCash will take the amount on the bank transaction and set that as the Gross Amount on the Offset Account transaction line. NetCash will then use the Tax Rate associated with that Tax Code to calculate the Tax Amount and the Net Amount that should be used for the debit/credit on the Offset Account transaction line.
NetCash will use whatever the user has set up for each Tax Code. If the Tax Code information is setup incorrectly or if the user selects the wrong Tax Code then the tax amount will be incorrect on the transaction created by NetCash. NetCash does not verify any tax information provided by the user.