How do I set up compound taxes for my invoicing?

How do I set up compound taxes for my invoicing?

In the Invoicing tab, you can customize your fees and set up your taxes. You'll also find an option to enable or disable compound tax.

What is compound tax?
Compound tax combines the provincial sales tax (PST) and the federal goods and services tax (GST) into a single harmonized sales tax (HST). This simplifies tax management by applying one tax rate, but it's only applicable in certain Canadian provinces, excluding Quebec.

For practitioners in Quebec:
It's important not to enable compound taxes if you practise in Quebec. Quebec's tax system requires that the PST and GST be applied separately. Enabling this option by mistake could lead to incorrect tax calculations.

Be sure to configure this option correctly based on your province to ensure your invoices are accurate.


    • Related Articles

    • How do I manage tax application for multiple services on a single invoice?

      For precise tax management on various services added to a single invoice, Psylio offers a flexible feature. You can enable or disable taxes for each service as needed. Before you begin: If you provide taxable services, set up your billing information ...

    • How can I manage my taxes with Psylio?

      As a self-employed individual, you are required to file a tax return each year. Although consulting an accountant is always advisable, the Psylio platform provides features that can help you organize your finances and save time. Track your income and ...

    • How do I add taxes to my invoices?

      First, go to the Invoices section in the Settings tab: https://admin.psylio.com/organization/invoices Here you will be able to save the tax names and associated percentages.

    • How do I adjust my taxes so as to include them in my rate?

      You can refer to this tool: https://www.psylio.com/resources/outils-de-travail/calculatrice-tps-tvh?lg=en to help you configure your fees. Disabling the "Amount entered is before taxes" button will provide you with the subtotal to enter in the ...

    • Is it possible to send a receipt to the client as soon as the invoice is marked as paid?

      Absolutely! Here's how: Mark the invoice as paid by going to the Invoicing section of the client’s record. Find the invoice in question, click on the action menu on the right, and select Mark as paid. Check the "Send receipt by email" box at the ...