Hi LauraAB, Thank you but that's not what I was trying to do. I wanted to enter the gst on a seperate line item because it calculates only a portion of the expense. Th

Hello again mike234,

I can see how important it is to you to be able to record this kind of transaction in your books and I want to get you to the bottom of how it can be done. I appreciate the additional details and will do what I can to help you out with recording the expense where only a portion of the amount is taxable.

As I mentioned in the other two threads, recording the sales tax as its own line item isn't going to work because the program will not allow you to do this on an expense transaction. I've thought of a few ways you can consider recording the expense and I encourage you to go with whichever works best for your books.

The first suggestion I have is to manually change the sales tax amount in the sales tax field of the subtotal on the transaction. You can change this amount to what you need it to be without it affecting the total before taxes you entered on your line item. Here's an example I've whipped up. To keep it simple, I'm saying my expense is $1000 with 5% GST on it. The sales tax in this instance would normally be $50, but here I've changed it to $20, then hit save. Here's a screenshot of the saved transaction so you can see what it might look like.

Another option is to create two line items to break down your expense amounts into the taxable versus untaxable portions. Still using the $1000 total and the 5% GST, here's an example of what I mean.

Finally, if either of those aren't working for you, you can consider a journal entry. For help with figuring out how to create a journal entry for this or to determine which option is best for your business needs, I recommend speaking with an accountant. They have the training to back any advice they have for you and can make sure you're accounting for everything correctly.

To work with an accountant in QuickBooks Online, you can add someone you're already working with as a user through the My Accountant tab. If you don't already have an accountant, that same tab has the Find a pro to help button that gives you the opportunity to search QuickBooks-certified accountants in your area.

Have a great week!