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Sales Tax Set Up in QuickBooks Enterprise is mandatory for all users as it lets them mechanize their sales tax tracking and keeping updated data and information on the payment and collection status of sales tax. No matter what sort of business you are dealing in and where are you doing it, the prime thing is that you need to collect sales tax for all sorts of products or services offered by you in the competitive market. All QB users looking for QuickBooks sale tax reports need to strictly understand and follow all mandatory terms, conditions, and standard regulations on sales tax in their relevant tax districts as per details of city, county, and state. For more help visit https://community.intuit.com/articles/1145271-set-up-and-track-sales-tax

Before you start following the process of how to set up accounts in QuickBooks or sales tax in QuickBooks Online, all you need to do is to understand the functionality and setting taxes in QuickBooks up. Have a serious look at sales tax codes that are useful in monitoring the status of taxable or non-taxable products and services you sold to your customers. If you are asked to submit a report on sales tax by the tax agency, then sales tax codes allocated to selling items let you run reports with sales tax return information.

On a taxable sale, QB software uses sales tax items for adding and calculating sales tax charges. Then sales tax rate is assigned to a sales tax item and synced with the tax agency. After setting up sales taxes in QB, the software applies the fitting sales tax rate by default to the sale of taxable items. Let have a look at how you can easily set up sales tax in QB which is a multi-step process:

The first part belongs to sales tax payment schedule where you activate and set up data and information on sales tax module in accordance with the tax agency’s time limit.

The second sort of process in the line of setting up sales tax in QB is concerned with the Sales tax codes that are used in order to monitor taxable standing of selling items and vendors. During this process, you will be able to set up the sales tax codes and allocate them customers and sold items. There are two types of sales tax codes:

  • The taxable code (TAX) for taxable items and customers
  • The non-taxable code (NON) for non-taxable items and customers

And the 3rd one is concerned with the management of sales tax items, tax rates, and tax agencies with reference to tax district.

If you need help with setting up QuickBooks, then you can take help from QuickBooks technical support center to make things happen in your favor.

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