How do I set up compound taxes for my invoicing?

Set up your tax settings

To configure the taxes for your practice:

1. Go to Settings > Invoicing.
2. Add your taxes by entering their name and percentage.
   

Compound tax option

If your province uses a compound tax, you can enable it by selecting the option in Settings > Billing.

What is a Compound Tax? A compound tax combines the federal sales tax (GST) and the provincial sales tax (PST) into a single harmonized sales tax (HST). This applies only in certain Canadian provinces.

Important for professionals in Quebec: In Quebec, GST and QST must be applied separately. Do not enable the compound tax option, as this may cause calculation errors on your invoices.

Check your tax settings

Before issuing invoices, make sure your tax settings follow the tax regulations of your province. Incorrect settings could affect the accuracy of your billing.

Once your taxes are set up, they will be applied to:

• Taxable services billed to clients.
• Expenses and revenues where taxes apply.

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