How to Separate Sales Tax on a Daily Deposit in Quickbooks
Collecting sales tax and maintaining a separate account of tax funds from your daily receipts can be done automatically by QuickBooks. You need to do some work when you set up your company in the program and add regular customers so QuickBooks knows how much tax to charge and is able to maintain a separate account of the sales tax you need to send on to the state.
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Instructions
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1
Open "Company Settings" in the "Company" menu, and in the "Show" drop-down menu, select "Sales Tax."
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Check "Customers are Charged Sales Tax," and select how often you pay the sales tax you collect: monthly, quarterly or annually. Also select if you want sales tax to accrue "As of invoice date" or "Upon receipt of payment."
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3
Select "New" from the "Most Common Sales Tax" drop-down list. Enter a name for the tax item, such as the name of a state, a description if needed, and the rate of sales tax. Sales tax you collect goes into the "Sales Tax Payable" account. If you collect sales tax from more than one state, create a tax item for each state. Check the box for "Mark taxable amounts with 'T'" when printing if you want Ts next to taxable line items on an invoice.
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4
Open the "Items" menu, and for each new "item" you create for the products or services you sell, check the "Taxable" box if you collect sales tax for that item.
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Check the "Customer is taxable" box on the "Additional Info" page whenever you create a new customer listing from the "Customer:Jobs" menu. Select the "Tax item" on the same page to apply a single state's sales tax to all taxable items he purchases with an invoice.
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Deposit daily receipts by selecting "Deposit" under the "Banking" menu and record payments received. Your deposit will include any sales tax you collected since QuickBooks automatically adds taxes to invoices and sales receipts based on your settings and records them in the Sales Tax Payable Account. It also shows payments you make to sales tax agencies. The ending balance of the register shows your current sales tax liability.
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