Easily Identify System and Custom Tax Rates in Wafeq



Managing taxes accurately is crucial for compliance and financial reporting. In Wafeq, organizations automatically get pre-configured tax rates based on the country's tax authority guidelines. These are known as system tax rates, and they ensure accurate VAT reporting. However, users have the flexibility to create their own custom tax rates when needed.

To help users easily differentiate between system and custom tax rates, Wafeq now offers clear visual indicators across various sections of the platform. This enhancement helps prevent mistakes and ensures that VAT reports reflect accurate data.

What are System and Custom Tax Rates?

System Tax Rates

These are pre-defined tax rates created by Wafeq based on official tax authority regulations that Wafeq supports (e.g., Purchase VAT, Sales VAT, Exemptions, Zero-rated tax rates). These rates are used in VAT reports and cannot be modified in terms of type or rate. However, some tax authorities may have additional tax types, such as Withholding Tax, which Wafeq may not currently support.

Custom Tax Rates

These are tax rates created by users to fit specific business needs. Unlike system rates, custom tax rates cannot be included in VAT reports at all.

Where Can You Identify System and Custom Tax Rates?

Wafeq provides several ways to differentiate between system and custom tax rates throughout the platform:

Tax Rate Page

A Wafeq logo (W) next to the tax rate name indicates a system tax rate, meaning:

• You cannot edit the type (sales/purchase) or the rate.
• You can rename or add a description if needed.



If no icon is present, it means the tax rate is custom, and you have full control to edit it.

A lock icon signifies a custom tax rate that is already in use, restricting modifications to name and description only. If it is no longer used in any document, full edit options are available again.

Tax Rate Creation & Edit Modal/Page:

• When creating or editing a tax rate, you will see whether it is marked as "System" or "Custom" at the top.
• Warnings and restrictions on what you can or cannot change will also be displayed.



Dropdowns (Edit Forms & Filter Dialogs):

• In selection dropdowns, a Wafeq logo appears next to system tax rate options.
• Once selected, the badge next to the tax rate will also display the Wafeq logo.





Document Sheetviews:

• When viewing invoices, credit notes, or bills, system tax rates will show with the Wafeq logo next to their name.



Report Sheetviews:

• In tax reports and tax report detail views, system tax rates will be clearly identified with the Wafeq logo.

Why Is This Helpful?

• Avoid Mistakes: Users can quickly distinguish between system and custom tax rates, ensuring correct application in transactions.
• Accurate Reporting: Only system tax rates are considered in VAT reports, preventing discrepancies.
• Easier Troubleshooting: Wafeq support can identify potential issues more efficiently, helping resolve discrepancies faster.
• Improved User Experience: Clear visual indicators simplify tax management and prevent unintended errors.

With these new enhancements in Wafeq, identifying system and custom tax rates has never been easier. This ensures compliance, reduces errors, and makes tax reporting seamless. Start leveraging these updates today to optimize your financial workflows!