Hst isn't calculating properly?

Hi wesdeb84-gmail-c,

Thanks for reaching out in the QuickBooks Community with your question. QuickBooks Online is meant to take the work out of Sales Tax tracking, so you can spend your time doing what you love. There are a couple of reasons why the HST may not be calculating properly. Let me explain how the sales tax module works.

When you set up your Sales Tax module you would've entered the Province you collect and pay sales taxes in. QuickBooks Online would've created a Tax Agency or Agencies depending on the Province. There would've also been a standard set of sales tax codes created. These sales tax codes are the key to having your taxes calculating and tracking correctly. Let me show you how to check the sales tax code setup.

To view your sales tax setup, you'll need to follow these simple steps:

1. If you click on Taxes, from the left navigation menu.
2. Choose the Sales Tax tab.
3. Next, go to the Manage Sales Tax button on the top right-hand side. This is what you should see with your provincial tax listed. Next to the sales tax code under the Tax on Sales and Tax on Purchases columns, you should see the percentage that you expect it to calculate for your sales and purchases.

If you've set up a custom tax code it may appear differently, and you may find it hasn't calculated the tax as you expected. Here's an article that breaks down the steps on How to set up a new sales tax code. The article also explains creating group rates and special rates for things like meals and entertainment, in case you were trying to capture these types of taxes.

If you're still seeing the HST being off, feel free to reach back out. Supplying a few more details will help to troubleshoot any remaining issues.

I'll be happy to help. Have a great day!