How do I handle taxes in SalonTouch

Taxes are a fact of life.  With the introduction of the Federal Tan Tax for UV tanning going into effect July 1st 2010 it has become a bit more complicated.  We have 

SalonTouch Pearl

Tax Rate Setup

1. Click Setup
   
   
2. Click Register. 
   
   
3. Click Tax Rates on the left side.
   
   
4. You can use any other available tax entry that is not currently in use. We recommend using Tax #4 as it very rarely used. For the description enter either FedTx, TanTx, TTax or any description that will make sense to you on reports.  There is a limit of 5 characters for this field.
   
   
5. Enter the decimal amount of the tax in the Amount Column i.e. since the Federal Tan Tax is 10% you will enter .1 and 10% will appear in the % column.
   
   

6. Click Save at the bottom.

Tan Services Tax Setup

1. Click Setup.
   
   
2. Click Rooms.
   
   
3. Select the room you wish to apply the tax to.
   
   
4. At the bottom, there is a list of taxes.  In our example Tax 4 is the Federal Tan tax and Tax 1 is the State Sales Tax.  We have applied both taxes to any upgrade surcharges for this room.

5. Click Save at the bottom.

EFT Service Tax Setup

EFT Register Setup 

1. Click Setup.
   
   
2. Click Register.
   
   
3. Click EFTs on the left.
   
   
4. You will need to check the boxes for the applicable taxes that are going to be the default for EFT drafts and EFT Freeze drafts.
   
   
5. The example below will apply the State Sales Tax and Federal Tan Tax from the above example by default to all EFT services.  If a service such as red light therapy or massage does not apply a tax, you will need to individually change the tax settings on that service.
   
   
   
   
6. You will also want to check off the settings for "Print only the last 4 account numbers." and "Print the draft amount including tax."  under the When Printing EFT contracts section.
   
   

   
   
   With these options checked the EFT contract will print the draft amount plus the draft tax amount and not display the full account information for PCI security purposes.
   
   

7. Click Save.
   
   
   

EFT Tan Services Tax Setup using the Tanning Module

1. Click Setup.
   
   
2. Click Tan Services.
   
   
3. Select the EFT tan service to modify.
   
   
4. Click the EFT tab.
   
   
5. Click Add to enter a new Draft amount and apply taxes to it.
   
   

   

     

6. Click Apply to close the Window.
   
   

7. The example below shows the 10% Federal Tan Tax (Tax 2) being applied to a service, but not the State Sales Tax (Tax 1).
   
   
   

   

   
   
8. You can also modify the Draft amount or the taxes by clicking on the dollar amount and editing it.
   
   
9. The draft amount can be broken down into subtotals, each with their own tax settings. You can use this to breakdown the portion of the draft amount that is taxable with the new Federal Tan Tax.  The example below shows a "Double Dip" service where the fair-market value of the UV service is taxed, but the fair-market value of the spray tan portion is not.
   
   
   

   

   
   

10. Click Save then close the window or return to the service list by click List on the left side.

5. Click Save at the bottom.

EFT Service Tax Setup

EFT Register Setup 

1. Click Setup.
   
   
2. Click Register.
   
   
3. Click the EFTs tab.
   
   
4. You will need to check the boxes for the applicable taxes that are going to be the default for EFT drafts and EFT Freeze drafts.
5. The example below will apply the State Sales Tax and Federal Tan Tax from the above example by default to all EFT services.  If a service such as red light therapy or massage does not apply a tax, you will need to individually change the tax settings on that service.
   
   

   
   
   

6. Click Save.
   
   
7. Click on General on the left.
   
   
8. Click Options.
   
   
9. Click Options 5 tab.
   
   
10. Place a check mark in options 56 and 57.
    
    

    
    
    With these options checked the EFT contract will print the draft amount plus the draft tax amount and not display the full account information for PCI security purposes.
    

EFT Tan Services Tax Setup using the Tanning Module

1. Click Setup.
   
   
2. Click Tan Services.
   
   
3. Select the EFT tan service to modify.
   
   
4. Select "This is an EFT Service" from the EFT Service drop down.
   
   
5. Click Add New Draft + Tax to enter a new Draft amount in the row that appears and apply taxes to it.
   The example below shows the 10% Federal Tan Tax (Tax 2) being applied to a service, but not the State Sales Tax (Tax 1).
   
   

   

     

6. Click Save.
   
   

7. You can also modify the Draft amount or the taxes by clicking on the dollar amount and editing it.
   
   

8. The draft amount can be broken down into subtotals, each with their own tax settings. You can use this to breakdown the portion of the draft amount that is taxable with the new Federal Tan Tax.  The example below shows a "Double Dip" service where the fair-market value of the UV service is taxed, but the fair-market value of the spray tan portion is not.
   
   
   
   

9. Click Save then click cancel to return to the list of tan services.