Skip to main content
S
smch
December 29, 2020
Question

Separate Tax Remittance Accounts

  • December 29, 2020
  • 1 reply
  • 0 views

Hi,

 

I'm wondering if someone can provide some guidance on how to separate the GST/HST recorded from QST? Currently when I record a purchase (or a sale) both GST/QST is booked into a taxes payable account. Is there a way to separate this out so it's easier for filing purposes?

 

Thanks,

1 reply

J
JamesM
December 29, 2020

Hello smch,

 

Your taxes are an essential part of your business. Making sure you're recording them correctly saves you from the hassle of having to make corrections. Managing your taxes has never been easier with our robust tax module. I'd be glad to provide more info on this. 

 

QuickBooks assigns one payable account per tax agency. If you'd like to separate the GST/HST recorded from QST I recommend setting up another tax agency. You can do this easily by following the steps below:

  1. Open the sales tax center by selecting Taxes on the left, then Sales Tax at the top.
  2. Click the Manage sales tax > Add tax button in the top right corner.
  3. Choose Custom tax as the type of tax you want to add. You can also add any other type you prefer. 
  4. Fill out the form with the agency name, rates, etc.
  5. Click Save.

This creates a  separate Payable and Suspense accounts for your new agency, as well as tax codes that map to the new accounts.

 

Give this a try and if you have questions, don't hesitate to get back to me. I'm here to steer you in the right direction. 

T
tammy9962
January 4, 2021

if you make these changes , can you apply the historically?

C
CaitlinOG
January 5, 2021

Hi tammy9962,

 

Thank you for replying to this thread. After following the steps outlined by my colleague, you can manually apply the changes to historical transactions by selecting a transaction, clicking Edit, selecting the custom sales tax code from the Sales tax dropdown menu and clicking Save. 

 

QuickBooks Online manages all of the sales taxes with the accounts that are automatically set up when creating the tax codes. The program features a robust reporting system to separate the different tax codes within your return, allowing you to have a better understanding of the current balances recorded for each type of tax. I recommend checking out the GST/HST-QST Detail Report to see how the system associates each tax amount to lines 203 (QST sales) and 206 (QST purchases).

 

Let me know if you have any other questions!

Terms & ConditionsAccessibility statement