Reclaimable Tax on Multi-line Expense Reimbursements

[HeartlandACC]

Hello,

We're in Ontario, and therefore are eligible to reclaim a portion of our 13% HST paid on invoices. This is set up properly in PC+ for straightforward invoices, and the system calculates the relcaimable amount for us and sets it into the appropriate fund.

My question is related to creating cheques for expense reimbursements. Since the expense reimbursement cheque references multiple expense accounts, not every item in that cheque was subject to HST (i.e., food purchases). Therefore, the calculation for HST reclaimable doesn't apply to every expense line.

Do I need to manually calculate the amount of HST that can be reclaimed for each individual line, and balance the transaction manually for this to work? Or is there a way to indicate whether the item was subject to HST or not?

Thanks for your help,
Laura

[NeilZ]

Hello,

We're in Ontario, and therefore are eligible to reclaim a portion of our 13% HST paid on invoices. This is set up properly in PC+ for straightforward invoices, and the system calculates the relcaimable amount for us and sets it into the appropriate fund.

My question is related to creating cheques for expense reimbursements. Since the expense reimbursement cheque references multiple expense accounts, not every item in that cheque was subject to HST (i.e., food purchases). Therefore, the calculation for HST reclaimable doesn't apply to every expense line.

Do I need to manually calculate the amount of HST that can be reclaimed for each individual line, and balance the transaction manually for this to work? Or is there a way to indicate whether the item was subject to HST or not?

Thanks for your help,
Laura

As far as I know, there is no way to indicate which lines are subject to HST or not. My suggestion, is if someone is buying items for the church, they should separate items and have separate receipts. This would involve preparing separate cheques, but it may be easier than trying to pick and choose and manually calculating tax.

[HeartlandACC]

Hi Neil,

Thanks for your reply. We ended up creating a spreadsheet that calculates the tax payable and reclaimable on each individual receipt so that we can reimburse them all at once. A little more leg work for our staff, but it gets the job done!

Thanks again,
Laura