Setting up tax rates allows you to select the specific tax codes used in your company's accounting.
By default, Envoice includes common tax codes. Depending on your location, you can customize these to match your local requirements. You can edit, delete, or add new rates as needed.
If Envoice is integrated with your accounting software (e.g. QuickBooks or Xero) and imports tax codes automatically, the default Envoice codes will be replaced. In this case, you will manage your tax rates directly in your accounting software, and manual editing within Envoice will be disabled.
How to add or edit a tax rate manually
Log in to your Envoice account.
Go to Settings and choose Accounting.
Select TAX RATES.
To add a new rate, click Add new.
To edit an existing rate, click the pencil icon (Edit) at the end of the row.
To delete a rate, click the trash can icon (Delete) at the end of the row.
| Field | Description |
| Tax rate | The tax percentage used in calculations. |
| Code | The corresponding tax code used in your accounting software. |
| Name | A short description of the tax rate to be displayed in the system |
| Reference to tax law | A reference required on invoices for zero-rated or tax-exempt transactions. |
| Taxation principle | Select from the dropdown whether it is taxable not a turnover (e.g., interest, late fees), or tax-exempt (e.g., rent, insurance). |
| Purchase tax account | The account in your accounting software where purchase invoice tax amounts are booked. |
| Sales tax account | The account in your accounting software where sales invoice tax amounts are booked. |
| Tax to expense rate is freely selectable | Check this box if the company reclaims less than 100% of input tax on certain purchase invoices (e.g., when using proportional tax accounting). |
| Default rate for this tax rate | Check this box if this is the primary tax code used in Envoice for this specific tax percentage (multiple codes can exist for a single rate). |