Our Company works and pays Sales Tax in 4 different states. I use the Sales Tax Liability report for filing the taxes.
One state requires the total amount of revenue to include materials and labor/service separately. Then all “out of state” and “exempt” amounts are deducted to get taxable income for the state.
All invoices do have classes assigned.
How do I find a report that separates materials and labor/service for each state so I can separate them on my sales tax form?
It's great to have you here, @Ladyaruba,
I want to make sure you get the report you needed in QuickBooks so you can submit it to your state.
Before anything else, may I know if you set up your labor/service as classes? Also, are you using location tracking for your states? Knowing more about the issue will help me provide the most accurate resolution to you.
In the meantime, you can use the Sales by Class Detail report to view the information your state needs. Here's how:
Here's a related article you can check to know more about customizing QBO reports: How to customize reports?
That should point you in the right direction. I'll be on a standby for your response. Please leave a comment below to let me know. Have a good one!