Calculation Method

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Calculation Method determines how the tax is to be applied to Invoices and Credit Memos. ObjAcct provides both a simple and a compound method for calculating tax.

 

Taxable Sales Subtotal is a 'simple' tax method. The tax will be a percentage of the Subtotal of Taxable Items.

 

Sales Tax Subtotal Plus Taxes is a 'compounding' tax method. This tax is computed on the sum of the Subtotal of Taxable Items, plus any simple taxes.