Fix Sales Tax Issues in QuickBooks Desktop

Expert’s Recommended Solutions to Fix Sales Tax Issues in QuickBooks Desktop

in this blog’s section, we have described all the possible solutions that will help you deal with the sales tax issues in QuickBooks Desktop.

1st Issue:  Amount of Sales Tax Payable is Inappropriate in the Write Checks Window

Before you go further with the resolution, ensure that you are accessing the Pay Sales Tax window. Herein, you must also remember that you are not using write checks while recording a sales tax payment.

1st Stage:- Backup Your Data File 

The users must ensure that they have generated a backup of their company file to safeguard the sensitive data before it gets into the wrong hands. 

2nd Stage:- Look For Incorrect Sales Tax Payment 

Thereon, you must search for the wrong sales tax payment entered by visiting the Bank Register used to make payments. You are supposed to record sales tax payments in QuickBooks Desktop accurately using the process explained below.

• Start the process by navigating to the Vendors menu > Sales Tax > Pay Sales Tax. 
• However, if you are working on multiple accounts, pick the one you need to utilize to make payments in Pay From Account. 
• In the next step, you must review the Ending Bank Balance from the middle of the screen. Doing so will help you confirm that you have sufficient money to make the sales tax payments in your checking account. If that account is running short of money, opt for another account with sufficient money. 
• Thereon, mention the date of sales tax payment and begin with the oldest payment first. 
• Now, you must look beneath the Show sales tax due column to edit the end date of payment. 
• Later, you need to insert the accurate check number, select the items you wish to pay, and proceed. 
• Afterwards, you must check that the total amount tallies irrespective of the original payment amount and tap the OK button. 
• Consequently, you will receive the message on the screen that represents “Problem, Another Check already has a number [xxx]…’’. Then, you must select the Keep Number option, and it will keep the original check number the next time you delete the original sales tax payments. 
• However, if there are multiple payments for which you wish to pay, you must resume the same process from step b till g. 

3rd Stage:- Delete the Original Payment Transaction in QuickBooks 

• The first and foremost step is to navigate to the Lists menu, followed by the Charts of Accounts. 
• You must double-tap on the bank account name that you utilize while adding the payment again. 
• After this, scroll down to the date of the sales tax payment that you wish to change and proceed. 
• The users must confirm that the payment they added again must be of the TAXPMT type. For instance, if your original payment was previously cleared, mark the checkbox beside the TAXPMT entry and hit the Record option. 
• In case the sales tax payments are written to multiple tax agencies and are not written in the correct sequence, you need to change the number of the recreated checks in register. Doing so will help you compare the actual check numbers. However, you can do the same by hitting the Number field and adding the correct check number. 
• Thereon, you must pick the original tax payment (CHK/CHK Type) from the Edit menu and choose the Delete Check option. 

Cross-check that the issue Is Resolved 

• The first and foremost step is to run a Sales Tax liability report through the current date. Then, you must tally it with your Sales Tax Payable account balance. 
• You are supposed to verify the vendor balances for every tax agency by running the Vendor Balance Detail report. 
• Also, you must run the Transaction List through the Vendor report to confirm no duplicate payments.