Brief Accounting 9 - British Columbia's April 1st transition from HST to GST & PST
In order to simplify the transition it is suggested that firms bill out as much WIP as possible prior to April 1st.
In Brief Accounting, slips dated March 31st or earlier will by default retain HST only. Slips dated April 1st or later will have GST and PST applied. There are processes for changing this should you wish to handle taxes differently than above.
There are a few setting changes required to get setup in Brief Accounting for the transition to GST and PST.
The following steps should be take on April 1st, 2013 - do not make these changes prior to April 1st, 2013.
1. Rename HST GL accounts and confirm setup of PST GL accounts
Select the GL module > Chart tab
Enter your HST Refundable GL number and click OK (Default is "1301". If you are unsure enter "1" and OK, then select from list)
Change the GL Description to "HST/GST Refundable" if it is not this already.
Click the Chart tab again and enter your HST Remittable GL number and click OK (Default is GL "2301").
Change the GL Description to "HST/GST Remittable"
You may or may not already have PST Payable and PST Commission GL accounts setup.
To check, click the chart tab, enter "All" and OK
You should have a 2000 series GL Account labeled "Provincial Sales Tax Payable" and a 4000 series GL Account labeled "PST Commission Income".
If you do not have these two accounts setup, create them. Click on link below for instructions on creating a new GL Account:
2. Turn on GST and PST settings:
a. Select the Company module > GLSetup tab > Tax drop-down on the top right
b. Uncheck the Use Historical VAT Data checkbox if it is checked
c. Change the VAT Name field to "GST"
d. Confirm the GL Refundable and GL Remittable are set correctly. You will not likely need to change.
e. Check the Use Historical VAT Data Checkbox
f. In the Prov Tax Name enter "PST"
g. Confirm the Commission and GL Payable accounts are set properly.
h. Check the Use Historical SST Data checkbox
i. In the Time & Billing Import/BE DataSync settings at the bottom, make sure both the GST and PST checkboxes are checked for Tax Time.
Also set the defaults for Tax Disburse.
Once the changes have been made, slips dated April 1st or later will default to GST & PST, rather than HST:
Please note: If you have slips dated prior to April 1st that you would also like taxed with GST/PST, here are the steps to modify those slips for a given matter prior to billing:
Select the Billing module > Time (or Disburement) tab.
Enter the file number for the slips you wish to modify and click OK.
A list of billable slips for that matter will be displayed.
IMPORTANT: You must filter the list of slips displayed so that ONLY THE SLIPS TO BE MODIFIED ARE LISTED. To do this:
Click on the magnifying glass icon on the column heading that you would like to use as the filter. For example, to filter by date so that only slips dated prior to April 1, 2013 are modified; click on the Date filter:
Once you filter, and only the slips you wish to modify are visible, click the Modify button:
Select the tax(es) you would like to apply to the slips. Select Payable. Enter the GST rate (note: The field on the modify button may be named HST). Click OK:
The slip(s) that were modified will then show taxes that were selected above: