Hi Ryker,

I am afraid you are confused with Taxes and Tax Codes.

In Setup, Settings, Company, Sales Taxes, Taxes, this is the location for you to setup your tax names like GST, PST or HST.  Since you have already setup your tax names as per your screen shot, there is no need to setup GP in that window because this is a tax code, not a tax name.  For your information, you do not need to have an account setup for PST to track tax paid on purchases.  As you have known already, PST is not refundable, so it is treated as part of the expense.

In Setup, Settings, Company, Sales Taxes, Tax Codes, this is the area where you will setup your tax code, which is GP in your case.  As per your screen shot, I see you have already setup a code GP with GST - 5% and PST - 7% as the description.  Please make sure you double click the GP code to bring up the Tax Code Details window and confirm with your setting as per the screen shot below:

If for any reason you need to have a separate line to record PST paid on purchase, again, you can go to back to the Tax Code Details window and change the Is Refundable column for PST from No to Yes.  For the account, it is up to you to continue to use 2375 HST Paid on Purchases or go to your chart of account and create a new account just for PST Paid on Purchases.  

For information of how to create a new account, you can follow the link below:

How can I create an account in the chart of accounts? - KB 15436

Hope this helps

You are right in that PST is treated as an expense - it would be posted to the same account number that you posted the item purchased. When you have corrected your tax codes as per Keith's help above then your journal entry for a tool that was purchased for 100.00 would look like this:

G/L5555 Tool Expense - 107.00 (100.00 for tool itself and 7.00 for PST)

G/L 2375 GST/HST Paid on Purchases - 5.00

Acct Payable - 112.00