Tax Amount
This field defaults the tax amount for this item based on the tax basis and the specified tax code. You may override this value if necessary, but be aware that the tax basis and rate will not be updated to reflect the change.
Note: If you post intercompany invoices (e.g., the AR company in JC Company Parameters differs from the JC/JB company), and tax is applied to an invoice (billing), the tax liability remains with the AR company. For example, if JB Co #1 posts an invoice of $1050 (includes $50 tax), AR Co #2 receives a debit of $1050 to its Receivables account, a credit of $50 to its Sales Tax Payable account, and a credit of $1000 to its Intercompany Payables account. JB Co #1 receives a debit of $1000 to its Intercompany Receivables account and a credit of $1000 to its Contract Revenue account.
