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Senior Contributor *

How do you post HST on an insurance claim that we did not have to pay outright?

An employee had a car accident in a company vehicle.  Our deductible was $1000 and the insurance company covered the rest of the damage.  But we had to pay the HST on the insurance company's share.  The total HST we paid to the collision centre was more than our deductible.  My question is how do I enter that in QB?  Do I set it up as a Credit Card purchase for the whole amount (deductible $1000 plus all the HST we had to pay $1360.46)?  Then put the $1000 in the truck maintenance account and change the Total Taxes to $1360.46?  Or do I post directly to the HST payable account?

Solved
Best answer 03-11-2019

Accepted Solutions
Super Explorer *

Were both the deductible and the tax paid in one payment?...

Were both the deductible and the tax paid in one payment? Or seperate?

Either way, you enter the deductible as one line in the payment,
and for the HST you enter a line as if you actually paid for the total, and select the HST tax code.
That should enter the correct tax in the Total taxes. Then you enter another line, with the insurance share as a negative, WITHOUT the tax code, and that will leave the balance only the tax amount, (or the amount of the tax and deductible if paid together)

View solution in original post

4 Comments
Super Explorer *

Were both the deductible and the tax paid in one payment?...

Were both the deductible and the tax paid in one payment? Or seperate?

Either way, you enter the deductible as one line in the payment,
and for the HST you enter a line as if you actually paid for the total, and select the HST tax code.
That should enter the correct tax in the Total taxes. Then you enter another line, with the insurance share as a negative, WITHOUT the tax code, and that will leave the balance only the tax amount, (or the amount of the tax and deductible if paid together)

View solution in original post

Senior Contributor *

The deductible and the tax was paid in one payment on the...

The deductible and the tax was paid in one payment on the employee's credit card.  I entered as you stated.   I entered the line items to the truck expense account.  I hope that was correct.  Thanks for your help.
Not applicable

where to you post hst payment only, in vendor bill paymen...

where to you post hst payment only, in vendor bill payment or as a credit card payment or journal entry?
Super Explorer *

@epicure_lady       where to you post hst payment only, i...

@epicure_lady

      where to you post hst payment only, in vendor bill payment or as a credit card payment or journal entry?

You post it the same way you paid it in real life. If by cheque, then use Write Cheques. If by CC, then as Credit Card Charges.

Not by journal entry.