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Default tax codes per nominal account

How to set up default tax codes for your ledger accounts in AccountsPrep.

Brian Carolan avatar
Written by Brian Carolan
Updated this week

You can assign default tax codes to your nominal accounts in your company’s chart of accounts. This tax code will apply automatically whenever you select a particular nominal account in your batch entries.


Defining your Default Tax Codes

Set up tax codes for multiple accounts.

  1. Go to the Accounting tab and select Chart of Accounts.

  2. Tick all the accounts from the list you want to set up with a specific rate.

  3. Under the tax column, select the rate from the drop-down list.

    Note: You can set up two default tax codes for your nominal accounts: Tax (R) for your receipts and Tax (E) for your expenses.

The rate will apply to all the accounts selected.

Set up tax codes for single accounts.

You can also set up the tax code default within the individual nominal account record itself:


Coding with Default Tax Codes Set Up

When you select a nominal account in your batch entries (bank statement, cash sales or expenses line) the default tax code will automatically populate.

You can still change that code when editing your batch.

Example: fast-coding a selection of bank payments


Additional Information

You can change the default tax codes at any time.

Changing a default tax code will only affect new assignments of nominal accounts to transaction lines.

It won't affect transactions that have already had nominal accounts assigned, whether posted or in draft.

If you add data "on-screen", make sure to enter the receipt or payment amount before you select the nominal account. When you select the nominal account before the amount, the system won't know whether to populate the default for a receipt or a payment.


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