Taxes Setup page (output accounts)
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Purpose of the page¶
This page allows you to set up the target accounts for the taxes defined for the various fiscal policies. You can also distinguish the tax impact of the current year from the tax impact due to any change in the tax rate compared with the previous year.
If a fiscal policy provides for several taxes, it is very useful to define a different output account for each tax.
Fields in the Attributes tab
| Campo | Descrizione |
|---|---|
| Regime fiscale | Regime fiscale tra quelli configurati nel sistema |
| Imposta | Imposta tra quelle configurate nel sistema |
Fields in the Deferred and prepaid taxes tab
IMPORTANT: if variation accounts have not been created for the Normal “Debits for deferred taxes” and “Credits for prepaid taxes” accounts, you cannot view the annual tax impact and the impact of any change in tax rate separately on the balance sheet account. However this distinction is maintained on the P&L tax rows related to the journals. Even if the accounts for the annual impact and the percentage variance are the same, two rows are still written, specifying the annual impact and the rate change impact in the Notes field.
| Field | Description |
|---|---|
| Deferred Taxes P&L | |
| Annual impact account - debit | - P&L account on which the system registers the annual impact depending on whether the value has a debit or credit sign |
| Annual impact account - credit | |
| % variance account - debit | - P&L account on which the impact of the adjustment to the tax fund/credits for prepaid taxes, resulting from the change in the rate compared with the previous year, depending on whether the value is registered as a debit or credit amount |
| % variance account - credit | |
| Debits for deferred taxes | |
| Normal account | - Balance sheet account on which the payable for deferred tax is registered |
| Variation annual impact - debit | Variation account of the Deferred taxes fund account, depending on whether the value has a debit or credit sign, on which the tax adjustment due to the impact of the year’s taxes is registered. This typically coincides with a variation account of the Deferred taxes fund. To keep track of both the impact of the year and the impact of the fund adjustment due to the FX rate, ad-hoc variation accounts identifying those variations must be created. |
| Variation annual impact - credit | |
| Variation % variance - debit | Variation account of the Deferred taxes fund account, depending on whether the value has a debit or credit sign, on which the tax adjustment due to the change in rate compared with the previous year is registered. |
| Variation % variance - credit | |
| Credits for prepaid taxes | |
| Normal account | Normal balance sheet account on which the amount receivable for tax is registered. This account may coincide with the Deferred taxes fund if no distinction needs to be made between receivables and payables. |
| Variation annual impact - debit | Variation account of the Credits for Prepaid taxes account, depending on whether the value has a debit or credit sign, on which the tax adjustment due to the impact of the year’s taxes is registered. This typically coincides with a variation account of the Credits for Prepaid taxes account. To keep track of both the impact of the year and the impact of the fund adjustment due to the FX rate, ad-hoc variation accounts identifying those variations must be created. |
| Variation annual impact - credit | |
| Variation % variance - debit | Variation account, depending on whether the value has a debit or credit sign, of the Credits for prepaid taxes account on which the tax adjustment due to the change in rate compared with the previous year is registered. |
| Variation % variance - credit |
Fields in the Direct Taxes tab
The necessary fields for defining the accounts for generating the adjustments related to direct taxes for the year, as well as the value of the tax credits and the carry forward of tax losses are set up in this tab.
| Field | Description |
|---|---|
| Direct taxes | |
| Taxes | P&L account on which the taxes are booked |
| Accrual - credit variation | Variation balance sheet account on which the accruals for the tax that has already accrued but has not yet been recognised are booked |
| Tax loss | - P&L account from which to read the negative result for the year. This may correspond to the P&L account used to book the net result for the year. |
| Tax loss spreading: No. of years | Specifies the number of years for which the tax loss for a specific tax period can be deducted from the taxable income in subsequent years. If set to zero, there is no spreading. |
| Direct taxes monthly splitting rule | Monthly splitting rule to be applied to the taxes for the year: - based on statutory result. Monthly splitting takes place on the basis of the statutory result for every period of the year. - based on weight. Monthly splitting takes place on the basis of the “Weight for direct taxes monthly splitting”. |
| Weight | Weight by means of which the monthly splitting of annual taxes is obtained. It is possible to choose from among all the types of weights present in the weights list (accessible from the administrator-user’s web interface) See . |
| Accounting | |
| Accrual - debit variation | Variation BS account of monthly accruals write off for the booking of tax at year end |
| Tax fund | Balance sheet account from which to read the tax debit/credit |
| Tax fund: variation account | Variation account of the Tax fund normal account used for booking the year’s taxes at the end of the debit/credit year |
| Tax credits | |
| Tax credit account (P&L) | P&L contra-entry on which to define the tax credit |
| Tax credit account (BS variation) | BS variation account on which to define the tax credit |
Fields in the Direct Taxes - Payments tab
| Field | Description |
|---|---|
| Holidays | Allows you to shift the tax payments that fall on a holiday to a work day based on what is specified in the selected holiday. |
| Bank - credit variation | Variation account of the standard bank account for the down payments and tax balances |
| Down payment | |
| Credits due to down payments | Balance sheet account for credit with the tax authorities for tax down payments |
| Statistical account: prev. year tax | Reference tax account of the previous year used for the calculation of down payments of the first year of planning. In subsequent years, the system uses the direct taxes account. |
| Credits due to down payment variation | Variation account of the Credits due to down payments account defined during the down payment of taxes |
| Bank - debit variation | Write off variation of the banking account for down payments if the balance of the tax fund is in credit |
| Tax fund: down payment write off | Credit variation of the tax fund account for the down payment write off if the balance of the tax fund is in credit |
| Down payment % | Percentage down payment to be paid |
| Day | Day on which to pay the tax down payment |
| Period | Period in which to pay the tax down payment |
| Balance payment and down payment write off | |
| Down payment write off method | Write off method for the down payment made during the year. - Fiscal year end: the amount payable to the tax authority is written off with the balance of the credit due to down payments on 31/12. - Balance payment: the amount payable to the tax authority is written off with the balance of the credit due to down payments made upon the settlement of the tax liability. |
| Credit write off variation for down payments | Write off variation of the credits due to down payments account that the system uses at year end or upon payment of the tax balance, in order to make a sort of account transfer and move the balance of the down payment account to the tax fund |
| Tax balance payment fund | Debit variation of the Tax fund account entered upon the tax balance payment. This is understood to be the difference between the down payments made the previous year and the value of the taxes due for the previous year. |
| Day | Day on which to pay the tax balance |
| Period | Period in which to pay the tax balance |