Tax Tables

Tax Table Setup Example
For the standard Florida 6% tax table the first entries look like this:

Our tax table entries would look like this:

•Both the rows and the columns in the grid are tax amounts, not amounts of sale.
•The rows are cents of tax – 0 through 9.
•The columns are groupings of the tax amounts.
o So in the second column, row 0 is .10 cents, row 1 is .11 cents, etc
To figure out the set up:
Our tax table has a column of .00-.09 and rows 0-9.
Basically, you have to use the tax table provided by the state to figure out how many pennies of a sale amount it takes to get to the next penny of tax.

Florida does not charge tax on anything below 10 cents.
So the 0 row in our grid, in this case, is .09 cents because there is no tax until you reach
.10 cents.
The next row works like this:
The top of the next tax bracket is .16. To get from .09 to .16, one has to add .07 cents. Thus, row 1 would be .07 cents.
It takes 7 cents to get from .09 to .16, which is the top of the next level. So we fill in .07 in the 1 row indicating that a sale from .10 to .16 will require a penny tax.
The next row works as such:
The top of the next tax bracket is .33. To get from .16 to .33, one has to add .17 cents. Thus, row 2 would be .17 cents.
It takes .17 cents to get from .16 to .33, which is the top of the next level. So we fill in .17 in the 2 row indicating that a sale from .16 to .33 will require a two penny tax.
You keep going until you hit the break point, which is the point it starts repeating in the table. The break point will vary, depending on the percentage and that particular tax table. In the table, find the point where it starts repeating and then build your table in WinPRISM up to that whole dollar amount. Whole percentages tend to break around
$1.00.
The break point needs to be a whole dollar amount, and in this example, falls in the .84-
1.09 range. When you figure out what to put in the tax table on WinPRISM, you only want to figure to the whole dollar amount, $1.00. Florida uses 6% tax on whole dollar amounts, and uses the tax table to figure tax on fractions of a whole dollar (the change).
For the .84-1.09 entry in the Florida Tax Table, if you follow the jump from .83 to 1.09 it is actually .26, however, you cross the 1.00 mark in there. You actually enter the cents it takes to get from .83 to 1.00, or 17.
To set everything up:

1. Set up the tax table, based on their tax table. (There are different ones in certain counties of Florida).

2. Set up the tax code, making sure that you select Florida for the state and the

   1. Florida Tax Bracket for the Tax Type.

1. Bracket system – A method of calculating the tax amount due on transactions that are a fractional part of $1. All taxable transactions are taxable at the rate of 6 percent. Six percent is charged upon each $1 of price and the appropriate bracket charge is used to calculate tax on any fractional part of $1. As far as we know. Florida is the only state using brackets, so it is the only one you will set a tax type of "Tax Bracket". All others will be set to "None"

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1. Set up the appropriate tax code group(s).

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1. Finally set up the Item Tax Type with the appropriate tax code group attached: