PAYG withholding is linked to PAYG Liability when the payroll is run. Where can this be changed? Thanks.

Hi arafuraaccountin,

Thanks for posting in the Community!

If you're processing pay runs in QuickBooks Payroll the system will capture the PAYG Withholding from the finalised pay runs. You can check your payroll chart of accounts to see how the accounts are mapped. Here's how:

1. Click on the Employee's tab.
2. Click on Payroll Settings.
3. Click on Chart of Accounts.
4. Click on Default accounts.

The set up of your payroll accounts determines the journal entries that you use to record payroll expenses. Edit them if necessary. Essentially, the two accounts are designed to be separated so either one or both can be included in BAS depending on the business's needs. 

You can check this link to learn more about how to Set up and configure payroll chart of accounts.

Please let me know if you have any additional questions. I'm always willing to assist.