How do I categorize a Federal Tax refund?

Glad to see you here in the Community, @elkeruth9.

There are two options on how you can handle this refund in QuickBooks Self-Employed. Before you begin, I recommend reaching out to an accountant or tax adviser to ensure you're posting it to the right account.

The first option is to locate the original income you recorded and mark it as excluded. This will be removed from the estimated tax calculation. You don't have to record the refund since this isn't part of the schedule C category.

To exclude the transaction: 

1. Open the transaction from the Transaction page.
2. Click Exclude.
3. Select Save once you’re done.

Should you need to record this refund, the second option would be to mark it as personal expenses or business other expenses. However, as mentioned above, you'll have to exclude the original income to exclude the estimated taxes. 

Let me add these resources to learn more about handling your taxes in QBSE:

• How QuickBooks Self-Employed tracks self-employment taxes
• Get quarterly and annual tax info from QuickBooks Self-Employed

Fill me in if you have other questions you'd like to add. I'm always here to help.