Tax Entities are the tax authorities your business collects for and remits to — a state department of revenue, a county, a city. Each tax entity stores the sales and use tax rates you apply, the Chart of Accounts accounts where those taxes accrue, and the authority's address details for reference. Once set up, tax entities drive the tax applied on invoices, purchase orders, and other transactions.
Where to Find Tax Entities
From anywhere in include GO, click the Settings icon in the left sidebar. In the Settings sidebar that opens, under the Financial Setup section, click Tax Entities.
Navigation path: Dashboard → Settings → Financial Setup → Tax Entities
The Tax Entities Grid
Like most settings pages in include GO, Tax Entities is a grid you edit right in the table itself — click a cell, type, save. There is no separate create or edit dialog.
Grid columns
| Column | What it shows |
|---|---|
| ID | An auto-generated identifier badge. Read-only. |
| Name | The tax entity's name (e.g., CO State Sales Tax, Denver City Tax). |
| Description | A brief note about what this tax entity covers. |
| Account # | Your registration or account number with this tax authority (for reference). |
| Sales Tax % | The percentage applied to taxable sales. |
| Use Tax % | The percentage applied for use tax on purchases. |
| Use Tax Accrual Account | The Chart of Accounts account where use tax is accrued. Searchable dropdown. |
| Sales Tax Accrual Account | The Chart of Accounts account where sales tax is accrued. Searchable dropdown. |
| Address Line 1 / City / State / ZIP ⁄ Postal Code / Country | The tax authority's mailing address, kept for reference and remittance paperwork. |
| Status | Active or Archived badge. Read-only — change it with the right-click menu (see below). |
Column headers can be sorted and filtered like other grids in include GO.
Adding a Tax Entity
Right-click anywhere in the grid and choose Add New Tax Entity. A new editable row appears pinned at the top of the grid, with the cursor already in the Name cell — the same pattern as the Chart of Accounts page.
- Type the name, then Tab or click across the row to fill in the description, account number, rates, accrual accounts, and address.
- Click the green checkmark (✓) on the right side of the row to save, or press Enter.
- Click the X to cancel and discard the new row.
Only the Name is required to save; everything else can be filled in later by editing the row. New tax entities start as Active.
If something's wrong: a validation message appears and the row stays in edit mode. The most common issue is a missing name.
Example: Setting Up a State Sales Tax
| Cell | Value |
|---|---|
| Name | CO State Sales Tax |
| Sales Tax % | 2.9 |
| Sales Tax Accrual Account | 21000 - Sales Tax Payable |
| Address / City / State | The Colorado Department of Revenue's remittance address |
Editing a Tax Entity
Click any cell on an active row and type the new value. Save and cancel buttons appear on the right side of the row while you're editing — click the checkmark (or press Enter) to save, the X (or Escape) to discard. Each change is saved as soon as you confirm it.
You can also right-click a row and choose Edit to start editing it.
Note: Archived tax entities can't be edited. Activate them first if you need to make changes. Changing a rate affects future transactions only — past transactions keep the rate that was in place when they were created.
Archiving and Activating
Right-click a row to open the context menu:
| Action | When you'll see it | What it does |
|---|---|---|
| Add New Tax Entity | Always | Starts the inline add row at the top of the grid. |
| Edit | On active rows | Puts the row into edit mode, same as clicking a cell. |
| Archive | On active rows | Hides the tax entity from active use. A confirmation box appears first. |
| Activate | On archived rows | Restores the tax entity to active. |
Permissions
Anyone with settings view access can see this page. Adding, editing, archiving, and activating tax entities require the settings manage/update permission. If the grid is read-only for you, ask an administrator to check your role.
Tips & Best Practices
- Create separate tax entities for state, county, and city taxes if your jurisdiction has layered tax rates.
- When a rate changes, update the rate and note the change date in the Description — or create a new entity for the new rate if you want the old one preserved side by side.
- Fill in the accrual accounts before you start posting transactions — they determine where collected tax lands in your general ledger.
- Record the authority's address so remittance paperwork is always one click away.
Common Questions
Where did the create dialog go? Tax Entities now uses the same inline grid editing as Chart of Accounts and the other Financial Setup pages. Right-click and choose Add New Tax Entity instead.
Why can't I edit a row? Either the tax entity is archived (activate it first) or your role doesn't have the settings update permission.
What's the difference between sales tax and use tax here? The Sales Tax % applies to taxable sales you invoice; the Use Tax % accrues tax you owe on purchases where the vendor didn't charge it. Each has its own accrual account column.
Related Topics
- Chart of Accounts — Set up the accrual accounts referenced in tax entities
- General Ledger Configuration — Map the Sales & Use Tax Payable account used across purchasing