Visionary 360 Blog

Using tax codes to separate billing for multiple sites

A client has a single agreement covering recurring services being delivered to multiple locations, but they prefer the billing for services and products outside the agreement be separated out based on the company site. 

What do you do if your client wants additional billing split on separate invoices? 

Other than creating separate companies and agreements for each client location, or sifting through scores of individual tickets and time entries each month to manually create separate invoices, how can this be done? 

Try using tax codes! Associating unique tax codes with different company sites allows ConnectWise Manage to separate out the billable records on a per site basis automatically.  

In Manage, billable records for a single company can be separated using one of two methods: separate agreements or separate tax codes per site.  

While both methods accomplish the same thing, using tax codes does not require the creation of multiple companieskeeping your data reflecting the actual number of clients you have.  

Plus, creating a new tax code is much simpler that adding new companies and agreements.  A unique tax code only requires a new Tax Code name; the sales tax percentage, agency, and exemptions can be shared across many tax codes. 

For example, your client has 2 sites and wants all additional billing to be separated out by site. This company is using the tax code “State Tax” at a rate of 6.25%.  

Here’s how to create site specific tax codes to allow their sites to bill separately:

  1. Navigate to System → Setup Tables
  2. Select Invoicing In the “Category” column and Tax Code in the “Table” column.
  3. Open the tax code record.
  4. Hit the “clone” button at the top of the page.
  5. After cloning the tax code, change only the name of the tax code.
  6. Create as many uniquely named tax codes as needed. 
                  

  

Once all your tax codes have been created, 
associate them with a company site.  

  1. Navigate to a Company record.
  2. Select the Sites tab.
  3. Open the site record.
  4. Using the drop-down in the Tax Code filed, add the new tax code record.

  

Even though the site has a different tax code than the Company, it is still covered under the recurring services agreement.  

When time records are available on the invoicing screen, the records will be split out based on the tax codes and can be invoiced separately.