Learn how to file your sales tax return and record your tax payment in QuickBooks Online.
QuickBooks Online tracks your payment due dates in one place so you can avoid late returns and extra fees. Once it’s time to file, you can review what you owe first to make sure all the numbers look good. Then, you can use your up-to-date QuickBooks info to fill out your tax form. After filing, you can record your new tax payment in QuickBooks so your sales tax payable stays accurate. We’re rolling out a new sales tax system for all QuickBooks users. If you still use manual sales tax, follow these steps instead. Or check if you can now switch over to automated sales tax. If you don’t have the option to switch, don’t worry. It should be available for you soon.
Step 1: Review what you owe
If you haven’t already, make sure everything is accurate before you file.
Go to Taxes, then select sales tax. Check which return is due this month, then select View return.
Note: If you need to file an older return, select the From ▼ dropdown and choose a past month. Then, select Refresh.
Review your sales tax. Make sure everything is correct. If you need to add an adjustment for things like credits, discounts, or corrections, select + Add an adjustment.
Take note of your gross sales, taxable sales, tax due, and adjustment amount (if you added one). You’ll need these numbers later when you fill out your sales tax return form.
Note: If you need a detailed look at what you owe, run your sales tax liability report for the same tax period. This is helpful if you want to review your taxable and non-taxable invoices, receipts, and other transactions.
Step 2: File your return to the right tax agency
After you review your sales tax, you can e-file your return on your tax agency’s website, or file by mail.
Most states encourage businesses to e-file. But if you can’t file online, you can check your tax agency’s website for more info on how to mail your return.
Go to your tax agency’s website to file your return online. If you haven’t yet, you might have to sign up to your state’s e-filing service.
Fill out your sales tax return form. Refer to the gross sales, taxable sales, and tax due amounts you took note of in Step 1.
Finish filing your tax return.
Can I still e-file right in QuickBooks?
Starting April 21, 2020, QuickBooks Online no longer supports e-filing sales tax payments. But don’t worry. It’s just as easy to e-file right on your tax agency’s website. Moving forward, you can manually enter your tax payment in QuickBooks right after you file to keep your sales tax info accurate.
Step 3: Record your tax payment in QuickBooks
Once you’re done filing, it’s time to keep your sales tax info in QuickBooks up to date. Here’s how to manually record your tax payment to zero out your sales tax.
Go to Taxes, then sales tax.
Find the return you just filed, then select View return.
Note: If you paid an older return, select the From ▼ dropdown and choose a past month. Then, select Refresh.
To record your tax payment, Select a filing method. Then select File manually.
Add these payment details:
Tax amount
Payment date
Bank account
Select Record payment.
Your return is now marked as paid. Select Back to sales tax center.
Step 4: Check your filing status
If you filed online, go to your tax agency’s website to check your return’s filing status. If you filed by mail, you can also call your tax agency directly to get an update on your return.
