Handling Changes to MI Part Core Tax on Manager SE Estimate/R.O./Invoice

Summary: In Michigan parts are taxable, however a change  in 2017 Michigan law mandates taxes  no longer be collected on cores. However the core activity must still be recorded on the final invoice as TWO LINES, <core> AND <core return> and cannot be included in actual part cost itself.

This document is intended to assist in preparing invoices in Manager SE that comply with this tax change.

Part 1: How catalog part Transfer function adds <core> line [below]

Part 2: Handling taxable (retail) customers

Part 3: Handling non-taxable (resale or other tax exemption) customers

PART 1)

How catalog part Transfer function adds <core> line

1. A) During catalog transfer, Manager SE first asks the user to confirm if a core is to be included with the part; when the user answers ‘Yes’, the core value appears on the order as a separate line item (below).

 This is what Manager SE will provide from a catalog transfer: 1) part + 2) core:

However, this is what the final Michigan invoice will be expected to include: 1)part + 2) core + 3) core return:

1. B) At this time, Manager SE also reads the customer tax setting as it is adding these lines to the repair order.

PART 2)

Catalog Part for Taxable Customer / Vehicle = CORE IS TAXED. How to turn off tax:

1. Double-click on the <CORE> line to open ‘Part Item Edit’ window.

1. In the ‘Part Item Edit’ window, click the Tax button.

3. Change bullet selector to Non-Taxable and click OK.

PART 3)

Catalog Part for Non-taxable Customer / Vehicle = CORE IS NOT TAXED. Follow Process:

1. Click ‘OK’ as shown below; this opens ‘Part Item-EDIT’ window with confirmation box.
   
2. In confirmation box, click OK to permit accounting change. (Account entry is changed for you)
   
3. The end result is <core> $ recorded under Parts Revenue (non-tax). Click on Done.
   

The resulting Manager SE invoice with Part and required Core lines: