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scott-wiesler
December 14, 2023
Question

Square is not recording sales tax or fees.

  • December 14, 2023
  • 3 replies
  • 0 views

I have the Connect to Square app and set to summary transfers vs individual sales.  when the transfer is uploaded into QB, it dumps the cash total into a clearing account.  it does not break out sales, taxes and fees.  

 

How do I change this to work correctly?

3 replies

K
Kurt_M
December 14, 2023

We appreciate you taking the time to inform us of your situation, Scott. We'll provide details to help you populate your sales tax and fees from Square into your QuickBooks Online (QBO) company.

 

When connecting the square app to QBO, you'll want to ensure the Sales tax option is enabled and mapped accurately. This way, data from square flows seamlessly into your company. We'll write down the steps to get you going:

 

  1. Access your QuickBooks Online company.
  2. On the left navigational bar, go to the Taxes tab.
  3. Review your current set up.

 

For more details, you can visit this page: Set up your sales tax in QuickBooks Online.

 

If you have existing downloaded transaction inside your company, you can manually categorize/split those transactions. You can visit this article for further guidelines: Categorize online bank transactions in QuickBooks Online.

 

We would also recommend checking this page to learn more about square integration with QBO: Connect your Square account to QuickBooks Online.

 

The Community space is open 24/7 if you need further assistance managing sales taxes or integration concerns. We'll be here to help you out anytime. Have a good one.

4
4Gal
December 15, 2023

@scott-wiesler 

Consider having a 3rd party paid connector to reconcile Square transactions into QBO.

M
meglwells28
March 2, 2025
  1. I am having this same issue. I have tried everything to fix it and getting support from quickbooks is next to impossible. Sales tax is set up, integration is set up. It is correct in square, but comes over without sales tax and with sales tax an a line item. 
MariaSoledadG
MariaSoledadG
March 2, 2025

I can see the importance of being able to record sales tax accurately. Sales tax is matched when it is turned on. If it is not, it is compiled into one line item. I'm here to explain why this is happening so you'll be guided accordingly, meglwells28.

 

When sales tax is turned on in the system, this setting automatically calculates and applies the correct sales tax for each transaction based on predefined configurations, such as the tax rate and applicable rules. The calculated sales tax amount is distinctly itemized and documented in the details of each transaction. 

 

This precise itemization facilitates meticulous tracking and comprehensive reporting of sales tax for each sale, ensuring accuracy and compliance in financial records.

 

If the sales tax feature isn't enabled, the system will not independently compute or itemize sales tax for individual transactions. Instead, if any sales tax is included in received payments, the software compiles all the sales tax amounts into a singular line item. 

 

Please know that if you integrated Square before activating sales tax, the sales tax will only be applied to transactions moving forward from the point it is enabled. You'll want to enter the data instead if it's not showing in QBO.

 

For a deeper understanding of the frequently asked questions regarding the integration of Square with QuickBooks, please refer to this comprehensive article for additional details: Connect Your Square Account to QuickBooks Online.

 

You can learn how to reconcile your accounts with your bank statements and Square transactions to ensure there are no discrepancies and that all transactions are recorded correctly. Go through this handy resource for reference: Reconcile an Account in QuickBooks Online.

 

Let me know if you have any other questions about sales tax with Square and QBO. I'm always right here to assist. 

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