Import a trial balance

TABLE OF CONTENTS

• Import a trial balance from Xero
  • Instructions
• Disconnect Xero
• Import a trial balance from Excel
  • Instructions
• Troubleshooting
  • Excel
  • Xero

Overview

Preparing a tax return in TaxLab starts with importing the source data for your entity. There are two ways to do this, importing from Xero if an entity uses this as their accounting system or importing from Microsoft excel if an entity doesn't.

Import a trial balance from Xero

If an entity uses Xero as its accounting system, you can link TaxLab and Xero directly, to import trial balance data for the tax calculation. This integration also assigns accounts and completes tax return disclosures using Xero reporting codes.

Before importing a trial balance from Xero, check the Financial Statement Template on the Settings page. To ensure the reporting codes transfer correctly from Xero, use the IRD Minimum Financial Reporting Requirements template for New Zealand or the Australian Financial Statements template for Australia.

You can locate this information by selecting the "More menu" (3 dots, underneath your TaxLab icon) > select Settings > Financial Statement Group section.

Instructions

1. From the entity’s income tax calculation.

2. Select Workpapers > Accounts.

3. On the Trial balance page, select the arrow next to Import > select Import from Xero
   

4. Import from Xero pop up window, select Manage Connections > select Add a Xero Ledger Connection.
   

5. Log in to your Xero account.

6. Select the organisation(s) you want to connect to.

7. Select Continue with (1) organisation(s).
   

8. This will redirect you back to TaxLab. Select the appropriate entity under Import From This Xero Ledger.

9. Additional import options:

   • You can edit the date the data is included until. This is useful if you are completing a part-year return, or simply want to compare different time periods.

   • Round accounts to zero decimal places on import. Select this option if you would like to efile this tax return in AU.

   • Select the Import Reporting Codes check box.

     • If selected, the system will import reporting codes from Xero, automatically assign accounts, and complete tax return disclosures. If not selected, you must assign accounts manually. Once assigned in year one, the account mapping will automatically carry over to year two.

     • If tax return mapping was updated directly in TaxLab in year one, leave Import Reporting Codes unchecked to retain that mapping. Selecting it will override the existing mapping with the reporting codes currently in Xero.

   • Clear the Clean import check box.

Disconnect Xero

1. In TaxLab, open the entity’s income tax calculation.
2. Select the Workpapers tab > Accounts.
3. On the Trial balance page, select the Import arrow > Import from Xero.
4. On the Import from Xero window, select Manage Connections and Disconnect this Ledger.

Note: A message displays in a yellow banner informing you that you were successfully disconnected. Click the Close button to close the message.

Import a trial balance from Excel

If an entity does not use Xero, and the return requires additional data beyond what the IRD holds, you can import the entity's trial balance using Microsoft Excel. You can also use this functionality to reimport updated figures as needed while working on a tax return.

Instructions

1. In Microsoft Excel organise the trial balance data into 4 columns: Account code, Account description, Amount and Reporting codes.

   Note: Reporting codes are optional, but are used for automated categorisation of the balance sheet and income statement, and IR10 if included.

2. Ensure there are no blank rows or columns and do not include total rows.
3. Select and copy the data (excluding column headers)
4. Open the entity’s income tax calculation.
5. Select Workpapers > Accounts.
6. On the Trial balance page, select the arrow next to Import > select Import from Excel.
7. In the pop up window “Import from Excel”, paste the trial balance data.
   
8. Optional import settings:
   • Clean import - Zero out all accounts before importing (only for re-importing), ensuring TaxLab matches the trial balance in Excel.
   • AU only - Round accounts to zero decimal places on import (recommended for e-filing)
   • AU only - Map accounts based on standard trial balance. This is recommended if you want the system to automatically assign the accounts to the tax return based on the standard reporting codes of your firm. If this is not selected, accounts will need to be assigned manually.
9. Select Import to [tax year] button
10. If successful, a green banner will show the number of records imported. Click Close.
    

Troubleshooting

Excel

• Ensure there are no blank columns or rows in your data
• Check each cell has only one line of information and remove any extra spaces
• Clear all formatting from your data to avoid compatibility issues
• Do not include headers when copying data into TaxLab

Xero

Error message: ‘Xero – You are not permitted to access this resource without the reporting role or higher privileges.’

• This error is caused by the Xero API and happens when the user importing from Xero lacks the correct permissions or is no longer a user in the Xero organisation. They must have access to run reports in Xero, or the connection may have expired if the original setup was done by someone who has left. Disconnecting and reconnecting the Xero ledger can resolve the issue.