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Oct 29, 2019 9:45 PM UTC
Question

Hi, I am entering a sale of automobile which is sold to a Native in Ontario and therefore has 5% HST. Quickbook doesn't have this option of 5% tax rate.

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1 reply

Oct 29, 2019 10:58 PM UTC

Hello hummarhautos,

 

Welcome! Thanks for being a part of the QuickBooks Online family.

 

Don't worry, I can help you with making sure you have the correct sales tax codes set up for your customers.

 

When you set up sales tax in QuickBooks Online for specific provinces, it'll set up the main sales tax rate used in that province. When there are additional rates that you need to use, it's as simple as setting up a new rate for the appropriate sales tax agency. Here's how you can do it.

 

  1. Select Taxes from the left menu.
  2. Ensure you're on the Sales Tax section (note: if you have payroll set up, you'll also see a Payroll Tax option in this area).
  3. Click Manage sales tax.
  4. Click Add rate to the right for the appropriate sales tax agency (e.g. Canada Revenue Agency).
  5. Fill in the Tax name.
  6. Check off and enter details for I collect this on sales and I pay this on purchases as needed.
  7. Hit Add when you're done.

Check out this article for learning more about adding sales tax for existing agencies as well as new agencies: How to set up a new sales tax code

 

That should get you on your way, but don't be afraid to ask more questions. :)