FritzF
Moderator

Other questions

Hey there, @queenofshades.

 

Welcome and thanks for joining this conversation. Allow me to chime in for a moment and share some insights about adding sales tax to purchase order (PO) in QuickBooks Desktop (QBDT).

 

As mentioned by my colleague above, QBDT is not designed to track sales tax automatically on non-sales transactions. You need to manually calculate and enter the sales tax in the Amount column when creating PO.

 

There are two ways to do this. First is track sales tax on purchases as an expense (not to be paid later). Here's how:

 

1. Create an Expense account (if you haven't yet).

  • Go to the Company menu at the top and pick Chart of Accounts on the drop-down.
  • In the Chart of Accounts window, right-click anywhere and click New.
  • Choose Expense on the Choose Account Type, then Continue.
  • Enter the necessary information, then Save & Close.

2. Once done, go to the Vendors menu at the top and pick Create Purchase Orders on the drop-down.
3. Enter the amount of sales tax in the Amount column (this will need to be calculated manually), then Save & Close.

 

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The other one is to track it on purchases as a liability (to be paid later). Here's how:

 

1. Create an Other Liability Account if you haven't yet as well. You can use the same steps above from step 1 - 3. Just make sure to choose Other Account Types and Other Current Liability in the Choose Account Type window.

2. When it is time to pay this sales tax, you can see the liability that has been accrued by looking at the Chart of Accounts. This amount can be paid with a regular check.

 

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You can also check out this article for further guidance: Track sales tax on purchases from vendors.

 

That should do it. Please let me know how it goes in the comment section below. I'm always here if you have any other questions. Wishing you all the best!