Colorado State may require for you to collect sales tax based on the city and county in which you are physically located. This “Home Rule” requires city tax to be collected only for your “Home” city and county tax to be collected only for your “Home” county. State tax is still required to all locations in Colorado. DynamicZip can help you setup and collect taxes accordingly for Home Rule type requirements.
The following example can be used to illustrate how this situation could be addressed and assumes that Colorado taxes have already been imported with the DZ Rate and Boundary Import window In this example the “Home” location is Loveland (Larime county), CO. To meet this example's requirements in Colorado we must:
Once we have made the above changes, county and city tax will only be collected for sales into Larimer County and Loveland City.
IMPORTANT: DynamicZip will no longer be configured to automatically maintain Colorado's county, county local, city, and city local taxes. We will need to manually monitor the Loveland and Larimer tax rates for any changes. If Loveland or Larimer tax rates change or if the tax details need to be added or removed from tax schedules (As a result of a change in ZIP Codes, city limits, etc.) Microsoft Dynamics GP will need to be updated manually.
Step 1 - Configure DynamicZip to import only the state and county taxes in CO.
Step 2 - Import sales tax for Colorado.
Step 3 - Add the Loveland tax detail back to the corresponding tax schedules.
Step 4 - Remove all the county tax details except Larimer.
Step 5 - Configure the Larimer county & Loveland city tax details to no longer be updated by the ZIPsales Import.
Step 6 - Reconfigure DynamicZip to import only the state tax in Colorado.
NOTE: There is another Loveland city tax detail (COSTLOVELAN002) which exists for Weld county addresses. If the Loveland's city tax must be collected for sales into Loveland (Weld county), CO then additional setup will be required. If you are subject to a situation such as this, then please email Kamp-Data technical support at Support@Kampdata.com.