July 1, 2010 the current Provincial and Federal sales tax in British Columbia will change to a combined Harmonized Sales tax of 12%. This tutorial demonstrates the steps required to add the new rate and deactivate the PST as no longer valid.
NOTE: HST IN NOVA SCOTIA WILL INCREASE FROM 13 TO 15 %. IF YOU HAVE NOVA SCOTIA HST SET IN YOUR TAX TABLES, THIS WILL REQUIRE AN ADDITIONAL LINE BE ADDED FOR THE NEW 15% RATE EFFECTIVE JULY 1, 2010.
Step 1 Add to the existing GST Tax Table (Typically Tax 2) the new HST Rate with an effecitve date of July 1, 2010. This can be created at any time prior to July 1, 2010 as the new 12% rate in the tax table will respond to the Date of July 1, 2010.
Step 2 - Add to the existing PST Tax Table (typically Tax 1) the new rate for PST of 0%. This will deactivate the PST being charged.
Step 3 - additional modifications to the Tax tables will be made if Refunds occur in your business. This modification is demonstrated in the tutorial.
Step 4 - Inventory that will not require the full 12 % rate and is exempt from the provincial portion of the HST will require an additional rate be set up in the tax tables. This is available in tutorial format from the Self Help within System Five.
Any items that were previously GST exempt, will become HST exempt. Some items may need to be manually updated to set the tax appropriately.
Note: this article is also publicly available at http://wiki.wws5.com/share/BC_HSTchange1006180747.html
Created by Charlene Scott at 04/12/2009 12:45:07 PM