Applying sales tax to freight on PO's

I would like the freight on our Purchase Orders to have tax applied. This would help balance the value between inventory and finance. Is there a current workaround for this?

I agree, would be a big help!

Great Feedback option. The current workaround for this would be to add a separate line item and post a non-file line for freight. Then it will apply the tax per the vendor.

The work around doesn’t work for us as we need to include the freight in the part cost.

I add the freight to the cost of the part and add a note in either the PO line note or master note.
I agree that being able to indicate if the freight is taxable would be a extremely helpful!

It would be nice to have a yes/no switch for sales tax on freight for each PO, not as a system config option. Some vendors charge tax on freight, some don’t. I think the reason is that some vendors (more every day) have errors in their invoicing process and treat freight like a part. At one time freight had sales tax included, like labor usually does, and wasn’t subject to double sales tax. Maybe this has changed. And although this might sound strange, the user should be able to manually input the tax rate for freight if desired.

It would also be nice to have freight expense reported separately instead of choosing it as a miscellaneous reportable item. After all, freight is a cost and it does matter. As any online shopper knows, a lowball price with a high freight bill is no bargain. Being able to monitor freight costs by part and by vendor could be a useful tool when making purchasing decisions.

Last thing to contemplate is a customizable PO line that could be used for freight, or environmental fees, service charges, other charges that are not parts or labor or tax, and that the user would like to track for various reasons. Perhaps a drop-down menu, with user customization possible, to allow a PO line to be categorized as desired. As vendors increasingly tack on environmental fees, shop supplies, service calls, disposal fees, etc., it’s useful to track these trends and monitor them for abuse.

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