Question

Product/Service is not taxable but tax flag is checked anyways

Forum|Forum|5 years ago
February 22, 2021
3 replies
0 views

When entering a bill with billable charges, I mark the billable box & the tax box is automatically checked too even though the product/service is set up as non taxable. Why?

QuickBooks Online

M

MadelynC

I’m here to help fix and ensure this tax column won’t automatically mark while creating a transaction, @Julie A.

The Charge sales tax option under Bills and expenses in your Account and settings might be checked. You’ll want to make sure everything is set properly so QuickBooks will work the way you expected.

You can follow these instructions so you can continuously record a non-taxable event in QuickBooks Online. Here’s how:

Go to the Gear icon, then Choose Account and settings.
Select the Expenses tab.
Click the Pencil icon to edit.
In the Charge sales tax box, make sure it is unchecked.
Press Save, then Done after.

In case you need more tips and information on how to manage your account and finances. We have available webinars to help you understand our product features, functions, and benefits of QuickBooks.

That’s how you resolved it. Just message me below if you still have questions or concerns. I’ll be here!

J

Julie AAuthor

Thank you, but I need to charge sales tax for some products/services. Some are taxable & some are not, which I have selected when I set up the product/service. Just don't understand why when marking something billable it doesn't refer to the product set up as to whether or not it is taxable. Why bother to even put that feature in the software if it doesn't pull from there?

MarsStephanieL

Hello there, @Julie A.

Allow me to share some details about the Billable option in QuickBooks Online.

You can still add sales tax to the invoices or any sales transactions manually even if you uncheck that option shown by my colleague. The Billable option is only for the transactions you want to track especially if your customer wanted to get a service or product that will be served by one of your contractors. Some business owners would want to track it for their transaction reference to reimburse the bill.

If you don't want to track Billable expenses for services or products, you have the option to uncheck it.

I've added this article for your additional reference about this option: Enter billable expenses.

You may consider checking this article for your future task regarding sales tax feature: Set up and use automated sales tax in QuickBooks Online.

I'll be here if you have other questions. Please don't hesitate to comment below. Take care.

R

RhondaQBUser

I'm having the same problem too. Item is setup as non-taxable, but the "T" is still showing up on the invoice. The taxable box is NOT checked on the invoice. The invoice template now is showing new lines on the bottom "Subtotal, Tax (0), Total, Balance Due"....whereas before today it only had Balance Due. I don't want all the tax stuff on there. This just started, how do we get rid of it?

Rose-A

Thanks for following up on this thread, RhondaQBUser

When a browser stored a lot of caches, it could cause problems like bringing up the data or latency issues. As an initial step, you can press the F5 key on your keyboard to refresh the page.

If you're still getting the same result, we can do some of the basic troubleshooting steps. You can use these shortcut keys depending on the browser you're using:

Google Chrome: Press CTRL + Shift + N.
Safari: Press Command + Shift + N.
Mozilla Firefox: Press CTRL + Shift + P.

Once signed in, go back to your invoice and check if the "T" is still showing from there. If it rectifies the issue, go back to your main portal and clear its cache to remove the browser's history or you can press CTRL+Shift and Delete key on your keyboard altogether. You may also try accessing your account using another supported browser.

However, if the issue persists, I'd suggest getting in touch with our QuickBooks Online Support to have this investigated. Please be reminded that our Support Team is available from 6:00 AM until 6:00 PM on weekdays, and from 6:00 AM till 3:00 PM PT on Saturdays. Here's how to contact us:

1. Click the Help (?) icon.

2. Choose Contact Us.

3. Enter a brief description of your situation in the What can we help you with? area, then click Let's talk.

4. You'll be presented with a few options for connecting with Intuit. Select Get a call.

Additionally, you can visit the following write-up: Sales and customers. This will provide you links on how to manage your company income as well as resources about other customer-related concerns.

I'm only a post away if I can be of additional assistance or need more help with QuickBooks. I'm always here to keep helping. Wishing you a wonderful rest of the week.

B

bp88

I want to set up a new Product/Service that is NOT-TAXABLE, but I cannot turn off the flag! I copied a similar Product/Service that has been in my Products and Services List for quite some time that was NOT-TAXABLE, but the copy would not maintain the "NOT-TAXABLE" attribute.

How can I make a Product/Service in the Products and Services List NOT-TAXABLE?? Thank you.

katherinejoyceO

Thanks for joining in this conversation, @bp88. As an insight, when the Sales tax setting is turned On, all billable items will be automatically taxable.

I'd be delighted to walk you through the steps on how to disable your sales tax in QuickBooks Online (QBO). Here's how:

Go to the Taxes menu.
Select Sales tax tab.
Click the Sales tax settings.

Then, delete the bill and recreate the bill, so the item won't be taxable. Here's how:

For future reference, visit our Help Articles hub in case you'll need some tips to guide you in paying and managing your sales taxes in QBO.

Get back to me if you need more help with this. I'll be right up to help you again.

B

bp88

Authentication failed after I entered my response.

First, please note, the response to me "Here's how:" -- and then there is nothing.

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