The taxes section is where you can set up taxes that are available to be linked to rate plans throughout the system. Taxes can also be linked to items for sale and fees. The primary screen of the taxes section shows a list of taxes that have been added to the system.
The first column displays the tax name, the second column shows the tax description, and the third column shows the tax amount. To create a new tax, click “Add Tax.” To make changes to an existing tax, click on the tax name to drill down into its settings.
In the “Text Settings” section, enter a description for the tax (e.g., “Sales Tax”). In the “Amount” text field, enter a numerical value representing the tax amount. Next, select what that amount represents from the dropdown options: “Percent,” “Dollar,” “Dollar per Night,” or “Dollar per Night per Guest.” For example, if you set the tax amount to 10 and select “Percent,” it means the tax rate is 10%.
If your tax rate is set to change in the upcoming month, make sure to set the “Start Date” and “End Date” for both the existing tax rate and the new tax rate. This ensures that your tax rates reflect the correct amount during the transition period.
The “Start Date” defines the first day this tax is effective, and the “End Date” defines the last day the tax will be applied. Both dates are particularly useful when tax rates change due to local government adjustments or annual updates.
The “Sort Order” field allows you to adjust the order in which the tax will be displayed on both internal pages and public reservation pages when showing various taxes to the guest. You can use this field to prioritize how taxes are presented based on their importance or relevance to your pricing structure.
In the “Rate Plans Applying This Tax” section, select which rate plans should apply this tax. It is important to note that taxes can also be linked directly to individual rate plans in their settings. If no rate plans are selected, the tax will not be applied to any rate plan. A tax can only be applied to a rate plan when at least one rate plan is selected.
Since taxes are linked to rate plans, and rate plans are then linked to rooms, make sure the applicable rate plans are selected for the tax to be properly applied to rooms.
If you need to delete a tax, you can find the “Delete” link at the bottom of the tax settings screen. This allows you to remove a tax from the system when it is no longer needed.
It is possible to add either a split tax structure or a standard tax. The split tax allows you to set part of the taxable amount to be taxed at one rate and the remaining taxable amount to be taxed at a different rate. The standard tax taxes the entire amount to be taxed at one rate.
This option is only available for the standard tax. The items you can select are taxable fees and items for sale.
You can add as many tax types as you need.
The tax is automatically calculated if you have linked items for sale or fees to the tax.
Founded in 2007, ReservationKey was created to offer a simple, yet powerful and affordable solution for managing reservations and displaying availability online. Our goal is to deliver top-quality software that fulfills our users' needs - simple, efficient, and budget-friendly.
