Roger
Lum

    rogerlum@gmail.com

2005-06-01
0.7

# Categories

The Categories screen provides a summary of all the existing categories transactions are filed under. The categories are split into income and expense, and a balance is displayed for each category.

## Creating categories

To create a new category select a parent in the tree and right click to bring up the popup menu. Once open select the New Category option. This will open the account details dialog with the parent account selected.

Enter the category name any notes and click on OK to save the new category.

## Editing a Category

To edit a category, right-click on a category name, and choose "Edit". A window comes up, with two tabs, "General" and "Tax". The General tab allows you to edit the name of the category and change its parent category. Changing the parent category is also possible from the main category page by dragging the category to a different parent. The Tax tab enables automatic VAT assignment.

Thomas
Baumgart

    ipwizard@users.sourceforge.net

## VAT Support

You can turn an expense/income account into a VAT category, which means that it receives all the splits that actually make up the VAT payment towards the government. The percentage rate can be entered.

Categories can be assigned a VAT category, which allows KMyMoney to split up a transaction for a category into two splits, one for the category and one for the VAT. Depending on the setting of the gross/net amount switch, the amount you enter for the transaction is the gross or net amount.

Example: In Germany, there are three VAT percentages (0, 7 and 16%). So I have a main category "VAT paid" and three subcategories, one for each percentage rate. Next I have this on the income and the expense side so a total of 8 categories. For the goods I buy, I select one of the above mentioned categories as the "VAT category assignment".

When I buy goods, I enter them into a transaction. Let"s assume I have selected the gross amount entry method, once I enter the category and amount, KMyMoney will recognize that there"s a VAT assignment and calculates the VAT part, creates a second split with the VAT account and VAT amount and reduces the category amount.

The same applies to income categories but the other way around. Hope that makes sense.

## Deleting categories

To delete a category select it in the tree and right click to bring up the popup menu and select Delete. Deleting is only possible if there are no transactions under that category. If a parent category is deleted, all the sub-categories are moved up one level.