Pre-tax Shipping

Pre-tax shipping is used for Quotes, Sales Orders, and Invoices that will automatically have shipping from a third party (Canada Post, UPS, etc.) to deliver the product.

Since these third

Steps

1 - Create A Product Named 'Shipping'

If you have not done so, please learn how to create a new product.

List the products departments and categories as the following:

• Department: Service OR Shipping
• Category: Service OR Shipping

Be sure to apply the correct tax rates for the departments related to shipping.

Be sure to additionally:

• List the Retail Price
• Change inventory Tracking to 'No' on the product statistics page
• Save the product
• Remember the product number

2 - System Settings

Under the Pre-tax Shipping in System General Settings:

• Enabled: Yes
• List the item number for shipping

3 - Using Pre-Tax Shipping

Create a new (Quote, Sales Order, Invoice). You will notice that the 1st product listed is 'Shipping' with the retail price listed. The Unit Price may be changed to a higher or lesser amount as the taxes will fluctuate with the price. 

Since the shipping is pre-tax you will notice that the applicable taxes to shipping will be added. 

How to use Post-Tax Shipping