Lesson 6 of 6
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How to Create a Tax Withholding Category

In Parsimony.com, a tax withholding category can be created to define the withholding tax percentage and other details related to withholding tax. The following is a lesson description on how to create a tax withholding category under Taxes in Parsimony.com:

  1. Log in to Parsimony.com and click on the Taxes module.
  2. Click on the Tax Withholding Category tab.
  3. Click on the New button to create a new tax withholding category.
  4. Enter the name of the tax withholding category.
  5. Select the withholding tax account to be used for this category.
  6. Enter the percentage of withholding tax to be applied.
  7. Enter any additional information related to the tax withholding category, such as a description or notes.
  8. Click on the Save button to save the new tax withholding category.

After creating a tax withholding category, it can be assigned to vendors or customers as needed. The withholding tax percentage will be automatically applied to any transactions involving the vendor or customer.