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Issue with Canada Input tax Codes GST PST HST

Greetings Gurus,

 

I have the following issue w.r.t setting up input taxes in Canada and I am looking for some help.

I have already researched a lot in the forums/threads and my situation is unique so please do not critise saying I should look through the existing threads as I have already done that.

I am suppose to configure Input (A/P) tax codes for Canada for the following providences and the rates are also undermentioned.

 

Description

Name

GST

PST

HST

Yukon Territory

YT

5.00%

Northwest Territories

NT

5.00%

Nunavut

NU

5.00%

British Columbia

BC

5.00%

7.00 %

Alberta

AB

5.00%

Saskatchewan

SK

5.00%

5.00 %

Manitoba

MB

5.00%

7.00 %

Ontario

ON

 

13.00%

Quebec

QC

5.00 %

9.98 %

Newfoundland

NL

 

13.00 %

Prince Edward Island

PE

 

14.00 %

Nova Scotia

NS

 

15.00 %

New Brunswick

NB

 

13.00 %

 

Following are the tax codes that I configured:

 

GJ           A/P, GST applicable, PST exempt

HJ           Input Tax HST Only

IJ             A/P, GST applicable, PST applicable

PJ            A/P, GST exempt, PST applicable

SJ            A/P, Self assess GST and PST

 

The way I have configured these in the system is that since GST is federal tax, I have put the following percentages :

 

CA00:  5 %  ( Since this is configured at federal level so it appears for both GJ, IJ )

 

Eg: CAYK: This gets its GST value from CA00 ( which is correct) ( VST: 5 %)

Eg: CABC: VST: 5 % (GST) and NVV 7 % (PST)

Eg: CAON: Since this has only HST taxes, I configured 13 % Flat for Acc Key VSH

 

Now the problem that I am facing is that if user selects the correct tax code for the above providences, its all good BUT if a user selects tax code GJ by mistake for Ontario instead of HJ, it gets 5 % because GJ is set up at federal level which is incorrect because for Ontario there is only HST taxes.

Similarly if a user selects a tax code for example IJ for New Brunswick ( CANB), system gets 5 % tax rate but it shouldn’t because CANB has only HST taxes. But because CA00 is set up as 5 % , system retrieves that rate for these region as well.

 

Please help me with your expertise with the solution for the above issue wherein I am trying to figure out how to either configure the system in a way that it gives me error if a user selects a wrong tax code for a given providence or if it is possible to restrict users to only select the correct tax code for these jurisdictions

I really appreciate your time and help.

 

Rgds

Rahul


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