PropertyBoss provides a flexible tax structure that allows you to calculate and track taxes on rent, maintenance charges, late fees, and other transaction types. Tax rates can be created by jurisdiction, assigned to specific transactions, and reported on through the system's accounting and reporting tools.


Enable Tax Capabilities

Before tax rates can be created and used, tax functionality must be enabled.

  1. Navigate to Setup Preferences > Global Preferences.
  2. Select Use Tax Capabilities.
  3. Click OK.
  4. Log out and back into PropertyBoss if prompted.


Create a Tax Rate

  1. Navigate to Setup Preferences > Predefined Values > Tax Rates.
  2. Click New.
  3. Select Add New Tax.
  4. Enter the required information:
  • Name of Tax – The name of the tax being charged (Sales Tax, Use Tax, GST, etc.).
  • Tax Location – The jurisdiction where the tax applies.
  • Tax Authority – The government agency collecting the tax.
  • Rate – The tax percentage rate.
  • Piggyback? – Indicates whether the tax should be calculated on top of previously calculated taxes.
  1. Click OK to save.


Tax Rate List

The Tax Rate List displays all configured tax rates and includes the following fields:

  • Name of Tax – Identifies the tax type.
  • Tax Location – Defines the jurisdiction where the tax applies.
  • Tax Authority – Identifies the agency collecting the tax.
  • Rate – Displays the tax percentage.
  • Piggyback? – Indicates whether the tax includes previously calculated taxes.

The Default Tax Location is used for transactions and associations that do not have a specific tax location assigned.


Add Additional Tax Locations

A single tax can have multiple locations and tax authorities assigned.

  1. Open the desired tax rate.
  2. Click New.
  3. Select Add New Location to the Current Line.
  4. Select or create the new Tax Location.
  5. Select or create the appropriate Tax Authority.
  6. Enter the tax rate.
  7. Save the changes.


Assign a Tax Rate to a Transaction

Creating a tax rate does not automatically apply it to transactions. The tax must be assigned to the applicable transaction definitions.

  1. Open the tax rate.
  2. Click Change.
  3. Click Open Transaction Definition Window.
  4. Select either:
  • Lease/Prospect Transactions
  • Property/Unit Transactions
  1. Open an existing transaction or create a new one.
  2. In the Taxes section, select:
  • Tax on Transaction – The tax applied to the transaction amount.
  • Tax on Commission – The tax applied to commission amounts.
  1. Click OK to save.

 

View Transactions Using a Tax Rate

To determine where a tax rate is currently assigned:

  1. Open the desired tax rate.
  2. Click View Transactions Using This Tax.
  3. Review the list of transactions currently linked to the selected tax.

This can be useful when modifying tax rates or troubleshooting tax calculations.


Canadian QuickBooks Integration

For Canadian databases integrated with QuickBooks, additional tax settings are available:

  • QuickBooks Tax Code – Enter the tax code exactly as it exists in QuickBooks.
  • QuickBooks Tax Item – Enter the matching QuickBooks tax item exactly as it appears in the QuickBooks company file.
  • Assign Tax Accounts – Use Assign Tax Accounts to associate the tax with the proper tax liability account for each accounting file.


Tax Reports

PropertyBoss includes reporting tools to review taxes charged, collected, and paid. Navigate to Viewing Reports and run the appropriate report:

  • A251 – Taxes Charged and Collected: Provides a summary of taxes charged and collected during the selected reporting period.
  • A252 – Taxes Paid: Displays tax rates and the amounts collected and/or paid during the selected reporting period.


Notes and Best Practices

  • Tax rates must be assigned to transactions before taxes will calculate automatically.
  • Properties should be assigned to the appropriate tax location to ensure accurate tax calculations.
  • Multiple tax authorities can be assigned to a single tax location.
  • Changing a tax rate affects future transactions only and does not update previously posted transactions.
  • Review active transaction assignments before making changes to existing tax rates.