Synder Summary Sync is a powerful tool designed to help accounting professionals and businesses automate their bookkeeping processes, saving time and reducing errors. However, there are some specific features of Synder that users should be aware of to get the most out of the tool. In this article, we will discuss how to use Synder to assign taxes to Journal Entry lines, generate tax reports in QuickBooks Online (QBO), and sync tax rates for tax filing.
Tax mapping by state or country for Balance Sheet
In order to map taxes by state in Synder Summary Sync follow the steps below:
1. Go to your Synder account and open an organization you want to set up
2. Go to Mapping menu on the left hand side
3. Enable “Group by region” setting and wait for the mapping to update. Click the “Reload” button to refresh the page.
4. Map the new mapping lines according to your needs. For all the states where you have nexuses and have to pay taxes you can allocate a specific liability account.
Note: The group by region setting will apply regions based on the shipping address in the transaction.
If you see “Unknown” value there – this means that shipping address doesn’t contain country or state details or they are unrecognizable.
If you see N/A (not applicable) – this means that there are usually no shipping addresses for the transactions from the group (for example adjustments will not have shipping address).
Note 2: US and Canada will contain breakdown by state, all EU and other countries will just have a country breakdown.
Note 3: the setting will apply not only to taxes but to all other mapping categories apart from Bank, clearing and AR accounts.
Once the mapping is done and saved you can synchronize Journal Entries to your books. The Journal Entry may look somewhat like this (depending on your mapping):
Balance sheet report will look like this showing each tax separately for each state/country according to your mapping:
Note:
The synced amounts will not show up in Tax liability reports in QuickBooks. In order to get the Tax liability report in QuickBooks (if this is what you use for tax reporting) read the second chapter of the guide.
Getting your tax liability report in QuickBooks Online
In order to get the tax liability reports in QuickBooks Online you need to mark the lines as taxable. In some QuickBooks country versions this is impossible to do via Journal Entries, only via Invoices or Sales receipts. Switch to the Synder Per transaction sync mode to post sales as individual invoices/sales receipts and have your tax reports updated accordingly. With Synder per transaction sync mode, you will be able to easily track taxes based on shipping address and get the up-to-date Tax liability report and see your taxable sales amounts.
Check out this guide to learn how to switch between Summary and Per transaction sync modes.
Once you switch to per transaction sync mode, Synder will post individual invoices/sales receipts to your books with the shipping addresses and exact tax amounts coming from the sales channels and payment processors. QuickBooks US will auto assign tax codes based on shipping addresses. Synder will identify the needed tax rates for QBO non-US and will assign them to the transactions.
Additionally, if you need to set up rules and assign specific tax codes, you can also do this using categorization rules in Synder.
Note: we strongly recommend checking your tax setup with a tax professional, the above guide is a technical guidance for Synder application.