Error "Sales Tax code must be entered if the account is a Sales Tax account"

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Hi,

I am getting the error "Sales Tax code must be entered if the account is a Sales Tax account" when I am trying to post using Receipt Journal in Accounts receivable. In General Ledger journal, there is an option of Sales Tax code under general tab but in Receipt Journal there is no option like that. So as a work around, I am changing the type of my GL account to null while posting and putting it back as "Sales Tax" after posting. I know it is wrong but not sure what is the implication going to be but if anybody can suggest me why the error is coming and what is the permanent solution for that.

Thanks in advance.

Dhanoop R.Warrier

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Sohaib Cheema 49,438 User Group Leader on at

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Accounts Receivables Parameters >> Ledger and Sales Tax >> Payment Tab >> Prepayment Journal Voucher

Here there is a field ‘Sales tax on prepayment journal voucher’

Un-mark this one

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Sohaib Cheema 49,438 User Group Leader on at

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apologies my answer is regarding prepayment validation of SalesTax. Its something else you are receiving error

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André Arnaud de Cal... 301,020 Super User 2025 Season 2 on at

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Hi Dhanoop.

Can you explain why you need to post on a Sales Tax account directly? If you change the type there will be a transaction without Tax transaction record. I don't know if this intended or not, so please specify your scenario.

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Hi Andre,

The GL account I have mentioned is Tax Payable. In my environment Ledger Posting accounts are configured as VAT control account. So we are directly posting to Tax Payable and Tax Receivable. So you are saying in that kind of environment the GL account Tax Payable doesn't need the account type "Sales Tax".

I hope I am clear.

Thanks,

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André Arnaud de Cal... 301,020 Super User 2025 Season 2 on at

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Hi Dhanoop,

Is this Tax Payable your settlement account? (Amount posted by Sales tax payment process). So you are paying to the authorities? In that case you can indeed remove the account type. It was only needed for setup the settlement account.

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Community Member on at

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Hi Andre,

Thanks for the reply. No the Tax Payable account is not my settlement account. So I can remove the account type "Sales Tax" from the account Tax Payable.

Thanks for the help.

Dhanoop R.Warrier

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André Arnaud de Cal... 301,020 Super User 2025 Season 2 on at

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Hi Dhanoop,

I think you misunderstood my words. Only when it is the settlement account you can remove the account type "Sales Tax".

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