I keep getting this error "You have either selected a tax liability account on a transaction where it's not allowed, or haven't specified a tax rate along with it."

It appears that the error you're encountering typically occurs when the system doesn't recognize the transaction as valid for the selected account, Jordan.

Changing a standard expense account to a sales tax liability account may trigger this error. What you can do is create a new expense account for recording these payments or change it to an expenses related to sales tax.

Then, you can add or modify the transaction to categorize it as an expense account.

On the other hand, you can create a journal entry and match it to the bank transaction. Follow these steps to proceed:

1. In the first line, choose the bank account connected to the bank feeds.
2. Enter the exact amount shown on the bank feed transaction under Debits.
3. In the second line, choose the liability account .
4. Enter the same amount above the amount shown on the bank feed transaction under Credits.
5. Click Save.
   
   
6. Then, go back to the For review tab and locate the transaction
   
7. Click the Match button and filter the correct date and transaction type.
8. Select the transaction and click Match.
   

After following these steps, I recommend consulting with your accountant to ensure that everything is recorded correctly and your financial records are accurate.

Once the journal entry is correctly saved, you should be able to match it to the corresponding bank transaction in QuickBooks Online.

Once everything is ready, you can now reconcile your account in QBO . This will help you compare your records with your bank or credit card statements to ensure accuracy and keep everything up-to-date.

If you have other questions, feel free to reach back out.  We would be happy to help!