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W
woatm74@gmail.co
September 18, 2024
Solved

caculating taxes

  • September 18, 2024
  • 1 reply
  • 0 views

The company address is [removed by moderator].

I am using an estimate to calculate sales tax, and AST is turned on.
The shipFromAddr is [removed by moderator]and the shipToAddr is [removed by moderator].

I expected the tax to reflect Austin’s local tax rates. However, the result showed that the TxnTaxCodeRef is “5,” which maps to “[removed by moderator].”

For reference, TxnTaxCodeRef “6” corresponds to “[removed by moderator].”

I would like to know how to calculate the tax based on changing the shipping address, while keeping the company address fixed.

Best answer by woatm74@gmail.co

I have confirmed that the estimate in the QBO UI works correctly. However, when using the estimate API, the TxnTaxCodeRef always has a value of 5, even though the ShipFromAddr is different. For reference, a value of 5 corresponds to Plano, and a value of 6 corresponds to Austin.

1 reply

L
LouiseG12
September 19, 2024

Having proper sales tax calculations on your estimate is essential to ensure compliance with state regulations and helps you in accurate reporting and payment to the agency, woatm74. Let me clarify how QuickBooks calculates tax based on changing the shipping address while keeping the company address fixed.

 

To begin with, QuickBooks calculates the total sales tax rate for each sale based on your customer's sales tax-exempt status, the locations where you sell and ship, and the sales tax category of your service or product.

 

When using an estimate to calculate sales tax, it's important to ensure that the addresses entered in the Shipping From and Ship To fields are accurate. Please note that the company address is not included in the calculation unless there is no address entered in the Ship From details.

 

Furthermore, you have the option to click on See the Math to verify that the location and address details are accurate. Please see the photo below for reference:



 

If the address entered is correct, but the sales tax is calculated based on your company address, we can proceed with troubleshooting steps to determine whether this is a browser-related issue.

 

At times, the browser stores frequently accessed data, and unusual behaviors in any online platform, including QuickBooks Online (QBO) can cause a data issue with your browser. Let's access your account using a private browser by following the keyboard shortcut keys below: 

 

  • Google Chrome: Ctrl + Shift + N
  • Safari 11 or newer: ⌘ + Shift + N
  • Mozilla Firefox: Shift + Ctrl + P
  • Microsoft Edge: Ctrl + Shift + N 

 

If it works, return it to your regular browser, and clear its cache to refresh the website's preferences. You can also utilize another supported browser to optimize your QuickBooks experience. 


To get a detailed look at the taxes you owe and why you owe them, check out this article: Check how much sales tax you owe in QuickBooks Online.

Should you require additional questions regarding sales tax, don't hesitate to click the Reply button below. We're always here to help.

W
woatm74@gmail.coAuthorAnswer
September 19, 2024

I have confirmed that the estimate in the QBO UI works correctly. However, when using the estimate API, the TxnTaxCodeRef always has a value of 5, even though the ShipFromAddr is different. For reference, a value of 5 corresponds to Plano, and a value of 6 corresponds to Austin.

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