Client Deposits > Client Deposits Explained | 100% Client Deposit

100% Client Deposit

If your firm invoices your clients 100% for all items prior to ordering, then you can skip this section.

In general, if the client deposit percent for an item is less than 100%, then the sales tax for that item will not be included in the client deposit calculation. The rational for this is that most firms do not want to collect sales tax until the item ships or is received at the warehouse or is installed. That is when the item is invoiced, the client deposit is applied and the sales tax is applied.

However, if you want the client deposit amount to include the sales tax for items that have a 100% client deposit, then DesignSmart can do this, but it is necessary for a switch to be turned on by The Smart Designer technical support team. Please email Support if you want this switch turned on.