I have set up the taxes and they show on the invoice however, they are not added to my total?

Hi there,

QuickBooks Online makes running your small business so much simpler, offering tons of helpful time-saving tools for your accounting needs. Tax can be added to your transactions easily, meaning less work for you at year-end. Great job setting up Sales Tax in your account. It sounds like you've selected the option to have the total reflect Inclusive of Tax. I'll explain how this works in QBO, and how to change this setting if you'd like to see the tax added on top of the before-tax total.

QuickBooks gives you two options for tax calculations: Inclusive or Exclusive of Tax. By selecting Inclusive of Tax, your total amount will include tax at the percentage specified by your tax code.

For example, if you're entering an Invoice for $100, and select the HST tax code at 13%, the total will remain at $100, but the tax will be automatically separated at the bottom. 

This is how the transaction will look:

Subtotal: $100

Includes HST (ON) @ 13% on 88.50: $11.50

Total: $100

While it may not appear that your tax was added to the total, it has in fact been added within the total amount. If you'd like to see the tax added on after the before-tax total, you can change the drop-down menu on your invoice creation screen to display Exclusive of Tax. This will show you your total before and after taxes at the bottom. 

This is how the transaction will look: 

Subtotal: $100

Add HST (ON) @ 13% on 100.00: $13

Total: $113

Simple as that. This should help get you back on track. If you're running into further issues with your sales tax calculations, please don't hesitate to reach out to our tech support team. 

Have a great day.