Create a new tax group
The information provided in this topic applies to the enhanced taxes feature available in R21 and higher. If you are not using enhanced taxes, please refer to Overview: Taxes and tax groups. You must be an administrator to create or edit a tax group.
The Tax Group page makes it easy for you to create, define and manage your property's taxes from one central location. It displays the Tax Collection Configuration area, this is where you enter all of the taxes that are applicable during the tax group’s date range.
Think of a tax collection as a container that holds all the revenue classifications that apply to the same tax rate. All properties will have at least one collection for their base taxes (state sales tax, city sales tax, etc.), but you might also have a few additional tax collections if you have a liquor tax, occupancy tax, and so on.
Amadeus has already created a default and tax exempt tax group, your job is to add your property specific tax collections to each tax group. The individual taxes that you add to the default tax group will automatically be applied to the events and guestrooms in bookings within the tax group date range. Users can remove taxes by manually selecting the tax exempt tax group as needed. Please refer to Edit a tax group.
This does not happen often, but there are times regulations change and taxes need to be updated. If this is the case, please refer to Clone tax group.
In the rare situation that your property does require an additional tax group please follow the steps below.
To create a tax group
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In the Tax Groups section of the Property page, select New Tax Group.
The New Tax Group edit page opens.
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Enter a Name for the new tax group
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Confirm the Active check box is selected.
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(Optional) Enter a Description for the tax group.
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Enter a Start Date and End Date (if applicable). This date range applies to all taxes that are assigned to the tax group.
If you create an event, room block, or other income item that is outside the date range of the applied tax group, you are alerted with a message at the top of the detail page and a warning icon next to the record.
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Under Tax Collections, create a new tax collection.
- On the Percent tab, click Add to create a new row.
- Enter the tax collection name (for example, Standard Taxes) and press Enter.
The description does not display on the banquet check or booking check, this is for internal purposes only
Tax collections are created only for taxes with percentage rates.
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Under Taxes, enter the taxes that are part of this collection.
- Click Add to create a new row.
- Enter the Tax Name and Rate (percentage) and select what that tax applies to: Base, Admin, Gratuity, and/or Inclusive (in enabled for property).
- Select the Compound check box if this tax will be applied to a revenue value that includes previous taxes. For example, if an item price is 100.00, GST is 5%, and PST is 10%, compounding these taxes would be calculated as follows:
Taxes compound in the order they're displayed in the tax collection. If needed, you can reorder the taxes by clicking and dragging them into the correct position.
Select the Inclusive check box if this tax is included in the price of the menus or items that have this tax applied. In addition to menus and items, inclusive pricing can also be used for function room rental, guestrooms, packages, and other income.
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Under Applies To, select the revenue classifications (property and corporate) that the tax applies to.
All the taxes in this collection must apply to the same revenue classifications. Revenue classifications that have a different tax rate will need a new tax collection for those taxes. For example, you might have one collection called Standard Taxes which includes your state sales tax and city sales tax, both of which apply to all revenue classifications. You might also have a collection called Guestroom Taxes for your hotel occupancy tax which only applies to Guestroom (though this is not technically a revenue classification, it is treated as such on the tax group).
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Continue adding taxes to the current collection, as needed.
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To create an additional tax collection, follow steps 6 - 9.
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(Optional) To enter a flat rate tax, select the Occupancy tab.
- Click Add.
- Enter the Tax Name and Rate (for example, 2.00) and press Enter.
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Click Save.