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Aruna
Oct 16, 2018 12:46 AM UTC
Solved

How to record income tax returns refund in quick books?

Need help to record this refund from income tax department.

Rustler
RustlerAnswer
Oct 16, 2018 12:46 AM UTC

IF, if the company is taxed as a corporation it would be a deposit, and you would use the taxes paid expense account as the source (from) account on the deposit

If the company is a sole proprietor or partnership for income tax, that refund is your personal money.  If you choose to put it into the business, then the source account for the deposit would owner/partner equity investment


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20 replies

Rustler
RustlerAnswer
Oct 16, 2018 12:46 AM UTC

IF, if the company is taxed as a corporation it would be a deposit, and you would use the taxes paid expense account as the source (from) account on the deposit

If the company is a sole proprietor or partnership for income tax, that refund is your personal money.  If you choose to put it into the business, then the source account for the deposit would owner/partner equity investment


    Anonymous
    Mar 28, 2019 2:26 PM UTC

    Do you record income tax paid after filing in Quickbooks? I’m a sole proprietor and I made a quarterly estimated tax payment too. Do I record the estimated tax too? Thanks

    JaneD
    JaneD
    Mar 28, 2019 5:17 PM UTC

    Hi there, emak70.

     

    Allow me to step in and provide information about recording a tax payment. 

     

    Yes, you'll need to record income tax payments after filing in QuickBooks Online (QBO). The system allows you to record a tax payment.

     

    To do so, please follow these steps:

    1. Go to Taxes and choose Payroll Tax.
    2. Click on Pay Taxes.
    3. On the Pay Taxes page, click on Record payment for the tax you want to pay.
    4. For the Payment Date, select Other and enter the actual date the payment was made.
    5. Enter the check number.
    6. Click on Record. 

    For further guidance, you can check out this article: Record a tax payment you made outside QuickBooks Online Payroll.

     

    On the other hand, the version that calculates the federal estimated tax is QuickBooks Self-Employed. For more in-depth information on this, you can refer to these articles:

    This should point you in the right direction. Please let me know if you have further questions. I'm always around to help.

    Toni10
    Apr 7, 2022 8:36 PM UTC

    I am trying to figure out the same for 2020. 

    Rasa-LilaM
    Apr 7, 2022 9:26 PM UTC

    Thank you for posting on this thread, Toni10.


    I’m here to help resolve any concerns you may have about QuickBooks Online (QBO). To ensure I can provide the best solution, I have to gather more information on what you’re experiencing. This is to check if we have an open investigation on the issue.


    May I know what specific process do you need help with? Did you encounter any hurdles when performing it? If you receive any errors, can you provide the code or message?


    I’m looking forward to working with you again. Have a great rest of the day.

    jacquimcm
    Oct 4, 2022 7:36 PM UTC

    Hello, 

    I received an IRS refund check for overpayment on my form 1120S, I deposited the check, but do not know how to record it in quickbooks, any assistance?

    AileneA
    Oct 4, 2022 9:56 PM UTC

    Hello, jacquimcm. 

     

    You can create a bank deposit since you already deposited the check. But would need to consult an accountant on how to categorize the refund. 

     

    Let me guide you with these steps:

     

    1. Go to the Banking menu.
    2. Choose Make Deposits. 
    3. Enter all necessary information needed
    4. When you're done, click Save & Close.

     

    I'm adding article as future help in case you needs to record a payroll tax refund: Handle a payroll tax refund from an agency in QuickBooks Desktop Payroll.

     

    We'll be right here if you have additional queries regarding on how to record IRS refund.

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