MoneyWorks Manual
Adjusting GST/VAT/TAX Rounding
MoneyWorks calculates GST/VAT/TAX for every line item. This makes it very easy to enter transactions for items with different tax rates. It does also mean that the tax gets rounded per line item.
As of MoneyWorks version 9.0.2, you can choose between Round-Half-Even and Round-Away-From-Zero (round halves "up") for rounding half cent values.
Documents created in MoneyWorks versions before 9.0.2 will have Bankers' rounding set by default. (Banker's Rounding (also known as Round-Half-Even, meaning half-cent values are rounded towards an even whole number)‚ which reduces the incidence of accumulated rounding error). New documents created with 9.0.2 and later will default to Round Away From Zero.
Some other accounting systems use different rounding methods (often simply rounding all half cent values upwards), or calculate tax totals based on the entire transaction Net, instead of by line-item. When you receive an invoice from a supplier who uses one of these systems, the Tax total may differ by a few cents from that calculated by MoneyWorks. In such cases, it is desirable to make the Tax rounding (and hence the invoice total) match the invoice you have received.
When you find that a supplier invoice total, as calculated by MoneyWorks, differs by a few cents from the original invoice (due to Tax rounding):
- Choose Edit>Adjust GST Rounding, or press Option-⌘-A (Mac) or Ctrl-Shift-A (Windows)
The rounding of any half-cent GST values will be forced to match the invoice line-item gross values to add up to the total invoice amount entered.