How do i adjust sales tax on an entry when there is a gratuity on a receipt?

Hello user53084,

It's awesome to hear that you're able to leave tips, but I can see how this might complicate things when it comes to entering the data into QuickBooks Online afterward. I'm here to help by making sure you have the answers you need for entering your receipts that have tips included into the program.

The solution to this situation is going to depend a bit on how you're entering the expense receipt. For instance, if you're simply manually entering the transaction through the Expenses feature, you'll want to make sure that the expense line or category you add for the tips is set to a zero percent tax code such as Out of Scope, Zero-rated, or Exempt. This will ensure that the program is only calculating the sales tax based on the amount before the added tip. It'll look something like this.

If you're not sure which of these to pick, I recommend consulting an accountant or the CRA to learn more about when each of these apply.

I have a feeling you may be looking at the Receipts feature though, and you've uploaded an expense receipt that includes a tip. If that's the case, it's as easy as manually entering and adjusting the sales tax in the Tax amount column to what you need it to be. That way, you can be sure the numbers are hitting the books as you need. Check out this article to learn more about this feature: Capture and categorize receipts and bills

Keep in mind with this option that there isn't yet a way to break down the different parts of receipt, so if you're not matching the receipt to something already in QuickBooks, it may help to go back in to edit the expense as you need. Here's more on that: Enter, edit, or delete expenses in QuickBooks Online

If you're entering receipts some other way and need assistance, feel free to give us a shout. A support agent would be happy to go over this with you in more detail.

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If you're interested in working with an accountant, the My Accountant tab in QuickBooks Online can be of use to you. There's a field there to invite someone on as an accountant user, which gives them the tools and access they need to help you directly in your books. There's also the Find a pro to help button that gives you access to our database of QuickBooks-certified accountants near you.

Let me know if you have more questions!