How it works

Map taxes to tax rates or current liability accounts.

If you are using taxes as a surcharge, a workaround solution introduced by Square, you need to select the appropriate sync behaviour so that it will sync as a revenue instead of a tax.

Setting up taxes

Square Taxes and Square Online / External Taxes

View and edit your tax mapping by following the steps below.

1. Sign in to your Amaka integration account.
2. Click the integration you would like to update.
3. On the left navigation panel, click on Settings → Tax Types.
4. Review and update the mapping by choosing a tax type or a current liability account from the dropdown.
5. Click Save + Continue.

We recommend mapping taxes to tax rates for any taxes reported and filed through Xero with your local tax authority. This is for your to fully utilise Xero’s tax reports capabilities.

We recommend mapping all other taxes to current liability accounts. This way, you can easily run account transactions or balance sheet reports to view the output tax due outside your local tax authority.

Tax groups

Setting up tax groups is optional. If your tax on sales is a combination of two or more tax rates, create a tax group and map it to a tax rate or current liability account. If you intend to map a tax group to a tax rate with multiple tax components, please ensure you’ve done this already in Xero.

1. Sign in to your Amaka integration account.
2. Click the integration you would like to update.
3. On the left navigation panel, click on Settings → Tax Types.
4. Click Add New Tax Group and select the tax rates included within the group.
5. Map the tax types to tax rates or current liability accounts.
6. Click Save + Continue.

Tax behaviour

Setting up tax groups is optional. If your tax on sales is a combination of two or more tax rates, create a tax group and map it to a tax rate or current liability account. If you intend to map a tax group to a tax rate with multiple tax components, please ensure you’ve done this already in Xero.

1. Sign in to your Amaka integration account.
2. On the left navigation panel, click on Settings → Surcharges.
3. Select Default from the dropdown for all taxes.
4. Select Surcharge from the dropdown for all surcharges.
5. Click Save + Continue.