Add Rate Dialog Box

Use the Add Rate function to add an additional rate to the tax schedule.

Location

To display the Add Rate dialog box, complete the following steps:

From the expense menu, click Settings > Tax Schedules.
On the Rates tab of the Tax Schedules screen, click Add Rate.

Dialog Box Fields

Field	Description
Effective Date	Click to the right of the field to select the date on which the rate will be effective. The default date is the current system date. The Effective Date, Expense Type, and Location field combination must be unique. Otherwise, the system displays an error message.
Expense Type	Select the expense type you wish to use for the tax schedule rate. The available options in the drop-down list are all active expense types set up in your system that are not already used for the selected Effective Date. The default value is Select. If you have not selected a value before you click the OK button, the system displays an error message. The Effective Date, Expense Type, and Location field combination must be unique. Otherwise, the system displays an error message.
Location	Enter the name of the location that you want to add. If you have not entered a value before you click the OK button, the system displays an error message. The Effective Date, Expense Type, and Location field combination must be unique. Otherwise, the system displays an error message. Note: This field will display only if you selected the Location Required check box on the Basic Information tab.
Tolerance %	Enter the tolerance % allowed. The system uses this percent to determine whether the overwritten tax amount on the Expense Report Wizard screens fall within a tolerable amount. The default for this field is based on the Tolerance % field on the Basic Information tab. Note: Whether the tax amount can be overwritten on the Expense Report Wizard screens is determined by the Modify Tax Amounts check box on the Expense Classes screen.

Rate 1

Field	Description
Percentage	Enter the percent you wish to use for your tax rate 1. The default value is taken from the > Rate 1% > field on the Basic Information tab.
Recovery %	Enter the percent you wish to use as your rate 1 recovery percent. The default value is taken from the Recovery % Rate 1 field on the Basic Information tab.

Rate 2

Field	Description
Percentage	Enter the percent you wish to use for your tax rate 2. The default value is taken from the Rate 2% field on the Basic Information tab.

Note: This field will display only if you select Two for the Tier field on the Basic Information tab.

Field	Description
Recovery %	Enter the percent you wish to use as your rate 2 recovery percent. The default value is taken from the Recovery % Rate 2 field on the Basic Information tab. This field will only display if you select Two for the Tier field on the Basic Information tab.
Calculation Method	Select the calculation method, either Standard or Additive, that you wish to use for the tax schedule rate. If the method is Standard, Deltek Expense multiplies the expense amount by the first-tier tax rate, and then in a separate calculation, multiplies the expense amount by the second-tier tax rate. For example, let's assume the expense amount is $100, the first tier tax is 10%, and the second tier tax is 5%, the Standard tax calculation would be as follows: Tax 1 = $100.00 x 10% = $10.00 Tax 2 = $100.00 x 5% = $5.00 If the method is Additive, the second-tier tax is multiplied by the result of the first-tier tax calculation, so using the example above, the Additive tax calculation would be as follows: Tax 1 = $100.00 x 10% = $10.00 Tax 2 = ($100.00 + $10.00) x 5% = $5.50 Total Tax amount = $15.50 The Additive Method is often used when calculating taxes in countries such as Canada, where provincial sales tax is calculated on the combined total of an expense amount plus the general sales tax amount. This column will display only if the tax schedule is set up as a Two-tier schedule.
OK	Click the OK button to add this rate to the Tax Schedule. The dialog will then close and the rate table will be refreshed with the new rate.

Field

Description

Recovery %

Enter the percent you wish to use as your rate 2 recovery percent. The default value is taken from the Recovery % Rate 2 field on the Basic Information tab.

This field will only display if you select Two for the Tier field on the Basic Information tab.

Calculation Method

Select the calculation method, either Standard or Additive, that you wish to use for the tax schedule rate.

If the method is Standard, Deltek Expense multiplies the expense amount by the first-tier tax rate, and then in a separate calculation, multiplies the expense amount by the second-tier tax rate.

For example, let's assume the expense amount is $100, the first tier tax is 10%, and the second tier tax is 5%, the Standard tax calculation would be as follows:

Tax 1 = $100.00 x 10% = $10.00
Tax 2 = $100.00 x 5% = $5.00
If the method is Additive, the second-tier tax is multiplied by the result of the first-tier tax calculation, so using the example above, the Additive tax calculation would be as follows:
Tax 1 = $100.00 x 10% = $10.00
Tax 2 = ($100.00 + $10.00) x 5% = $5.50
Total Tax amount = $15.50
The Additive Method is often used when calculating taxes in countries such as Canada, where provincial sales tax is calculated on the combined total of an expense amount plus the general sales tax amount.

This column will display only if the tax schedule is set up as a Two-tier schedule.

Click the OK button to add this rate to the Tax Schedule. The dialog will then close and the rate table will be refreshed with the new rate.

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