IGIC is the Canary Islands General Indirect Tax, which is an indirect tax similar to Value Added Tax (VAT) that applies in the Canary Islands.
IGIC is applied to the delivery of goods and the provision of services carried out in the Canary Islands territory, as well as to the importation of goods.
From Ulyses cloud you can configure this tax, and in this article we will see how to work with it.
Operations with IGIC Taxes in Folios
Activating IGIC from Individual and Group Reservations
Activating IGIC
The first step when starting to work with IGIC is to configure the property.
To do this, go to:
Property Configuration > General > Property > Preferences
And activate the INVOICING WITHOUT TAXES option
Creating IGIC Taxes
Once the option to work with IGIC is enabled in the property, the second step will be to configure the IGIC tax types you will work with.
In Ulyses Cloud, IGIC tax types are considered products with the TAX subtype.
To configure them, go to:
Property Configuration > Product > Products > TAX > New TAX
In our case, we have configured two types of IGIC, one at 7% and another exempt, at 0%.
When creating a new IGIC tax, you should set up its configuration in a similar way as you would a VAT tax.
You will have the option to add a specific value from the chain, or create it from scratch from the property in question.
The fields you need to complete are the following:
- Code: Unique identifier for the tax.
- Name: Name of the IGIC tax.
- Classification in the production report: Categorization in reports related to production.
- Start and end date: Time period during which this tax will be active. If you leave these fields blank, the tax will be considered valid indefinitely, that is, it will not have a specific start or end date set.
- Percentage (%): The percentage of IGIC tax that will be applied.
- Price: If instead of applying the tax as a percentage, you want to set a fixed amount as IGIC tax, you must enter that value in this box.
Once you have created the IGIC tax, you will have the possibility to enable or disable the option that allows you to modify the charge name directly from the product folio.
Options for IGIC Products
The available options for each IGIC product are as follows:
- Show action history: This option will allow you to see a record of all actions and changes made in relation to that particular IGIC product. You can review the history of modifications, cloning, or other relevant events.
- Clone: By selecting this option, you can create an identical copy of the current IGIC product. This is useful if you want to create a similar tax without having to set up all the details again from scratch.
- Copy to property: This option will allow you to duplicate the IGIC product and copy it to another property in the chain.
- Copy to chain: Similar to the previous option, but instead of copying it only to the same property, you can copy it to the chain.
- Deactivate: By selecting this option, you will deactivate the IGIC product. This means that the tax will not be applied to new products or services, but will remain in the records for historical reference.
- Replace: This option will allow you to replace the current IGIC product with another. You can use this if you want to change the tax to another existing one in your configuration.
- Delete: By choosing this option, you will permanently delete the IGIC product from your configuration.
Assigning IGIC Taxes to Products
Once you have created and adjusted the IGIC tax, the next step is to assign it to each product.
To do this, go to:
Property Configuration > Product > Products
Find and select the specific product to which you want to apply an IGIC tax type.
Assign to that product one of the previously configured IGIC taxes. You can choose one of the taxes defined in the "Tax" category or select the "No taxes" option if you want to apply an exempt IGIC tax.
This process will ensure that each product is associated with the corresponding IGIC tax according to your configuration. Keep in mind that this assignment is crucial for the tax to be correctly applied in invoicing and in operations related to that product.
Operations with IGIC Tax in Folios
Once you have created and configured the IGIC taxes according to your preferences and assigned them to each product, you will be ready to work with them in your billing operations and transactions. The IGIC taxes will be automatically applied to the corresponding products during the sales or service process.
From a folio, you will have the option to choose whether you work with products subject to taxes or tax-exempt products.
This choice can be made from the options menu that appears next to the modification box in the folio.
There are two options available:
-Convert to Tax Free: This option applies to products that have an exempt IGIC tax type configured. By selecting this option, the products included in the folio will be considered tax-exempt.
-Convert to Taxable: By choosing this option, the products in the folio will once again be considered subject to taxes. This means that the corresponding IGIC taxes will be applied to the products according to the configuration.
Activating IGIC from Individual and Group Reservations
It is also possible to enable these options to be applied in the folio directly from the stay options.
Or from the group reservation options
This will leave the folios of those reservations ready to work tax-free or with IGIC taxes. The following label will appear to notify the user of the billing mode: