cancel
Showing results for 
Search instead for 
Did you mean: 
dmdesilets
Level 1

When are you going to add the option to adjust the gst within a journal entry?

 
Solved
Best answer November 02, 2020

Best Answers
LauraAB
QuickBooks Team

When are you going to add the option to adjust the gst within a journal entry?

Hello GSTQuestion,

 

Welcome to the QuickBooks Community and thanks for joining us on this thread about recording and adjusting sales tax and journal entries in QuickBooks Online. I'd be happy to shed some light on this so you can record the sales tax amounts you need on your journal entry.

 

There's a specific way to record sales tax on a journal entry to ensure that it's properly calculating to the sales tax centre which will also allow you to enter the amount needed rather than what QuickBooks calculates by default. The method as described above to use the Sales Tax column on the journal entry not only blocks the calculation amount, but also doesn't properly allocate to your sales tax calculations to QuickBooks Online's sales tax module. I'll be following up with my team to make sure that we're all on the same page with this information.

 

Now, onto how you can record this kind of transaction. When recording sales tax in a journal entry, you'll want to record it as its own line to the appropriate sales tax account. Once you've chosen that, you can then go to the Sales Tax column to map the charge as needed. Here's an example of what that might look like.

 

 

As you can see here, my sales tax amount isn't the full 5% for GST, but rather an amount of my choosing and I was able to map it to the line I want. Keep in mind, I'm not an accountant, so the accounts chosen here may not be correct or ordered properly.

 

I strongly recommend checking in with an accountant before creating these kinds of journal entries to make sure that you're selecting not only the correct accounts, but also the correct remittance lines when choosing from the Sales Tax column. The accuracy of this information is key and I want to make sure that there are no discrepancies in your books.

 

Use the My Accountant tab in QuickBooks Online to connect with your accountant directly in your books. That tab has both an invite field and the Find a pro to help button so that you can create that connection as needed. The invite field is for inviting an accountant you're already working with as a user to your books while the Find a pro to help button directs you to our database of QuickBooks-certified accountants near you.

 

I hope this helps you get back on track! Let me know if you have more questions about this from a QuickBooks perspective. :)

View solution in original post

14 Comments
Anonymous
Not applicable

When are you going to add the option to adjust the gst within a journal entry?

Hello,

 

Thanks for reaching out. I’ll gladly assist you with this. QuickBooks Online lets you add and edit journal entries with the corresponding taxes, including GST, in a few easy steps. To create a journal entry, follow these steps:

  1. Select the plus icon (+) from the top-right corner
  2. Select Journal Entry
  3. Input the Journal date and Journal no.
  4. Input the relevant details for each line
  5. In the SALES TAX column, you can select the appropriate tax rate for this record (keep in mind that specific rates will only be available with specific accounts)
  6. Once done, select Save and close from the bottom-right corner

Here’s how to edit an already saved journal entry:

  1. Select the plus icon (+) from the top-right corner
  2. Select Journal Entry
  3. Select the clock icon on the top left corner to view the Recent Journal Entries
  4. Select View More
  5. Select the journal entry you wish to edit
  6. Once done making the changed you need, select Save and close from the bottom-right corner

To know more about how to create a journal entry, check this community article.

 

Let me know if you have any other questions.

dmdesilets
Level 1

When are you going to add the option to adjust the gst within a journal entry?

Thank you for this.  Sorry I should have been more specific.  What I am looking for is that sometimes the GST amount does not necessarily calculate out per the rates.  I am hoping that QBO is going to let a manually edit the amount of the taxes  it automatically calculates and enters into the bottom area of the Journal Entry.  You can do this with QBD and am hoping that this is one of the functions they are looking to update.  There are work-arounds but they can be confusing to some.

JamesM
QuickBooks Team

When are you going to add the option to adjust the gst within a journal entry?

I hear you on this. I'll make sure to send the valuable feedback to our engineers. I see the importance of being able to manually edit the tax amount. Which workaround are you having the most trouble with? I'd be happy to help clarify info associated with QB. 

AV20
Level 1

When are you going to add the option to adjust the gst within a journal entry?

I'd also like to advocate for this addition to QBO.

 

@dmdesilets Could you tell me what the workaround on this is?

jcheesman
Level 1

When are you going to add the option to adjust the gst within a journal entry?

So would I - many expenses (for example restaurant meals) do not have a calculated GST/HST - for a restaurant the GST/HST is on the meal but then you add a tip and there is no GST/HST on this

Finding Online to be very limiting and so far am disappointed

 

AddieC
QuickBooks Team

When are you going to add the option to adjust the gst within a journal entry?

Hi there jcheesman, 

 

It's our top priority here at QuickBooks Online to ensure the program is flexible enough to fit your needs as a small business owner. We realize that there's a variety of methods when entering expenses, and QBO can accommodate tons of different scenarios. 
 

You can add a line item to display your tips on your expense by creating a tips/gratuities account, then selecting a "0 value" tax code when adding these funds to your expense.

 

 Here's how to set up the tips/gratuities account in QBO:

  1. Click the Accounting tab, then select Chart of Accounts.
  2. Click New at the top right.
  3. Choose Other Current Liabilities in the drop-down list.
  4. Select Other Current Liabilities under Detail Type and enter “Gratuity/Tips” in the Name field.
  5. Click Save to save the information.

When you create your expense, you can add your tip amount by entering a separate line item. In the Category column, select your new Gratuity/Tips account to place the tip funds there. In the Tax column, simply select Zero Rated, Out-of-scope, or Exempt to ensure no tax is tacked onto your tip.
 

Note: If you're not sure which of these tax codes to select, check out this article: Common sales tax codes. You can also get advice from your accountant. 

 

That's all there is to it. I hope this helps get you back on track. If you have any other questions or need a hand setting this up, please don't hesitate to reach out to our tech support team.

 

Cheers. 

GSTQuestion
Level 1

When are you going to add the option to adjust the gst within a journal entry?

Any update on this? It's been a year since the original questions was asked and how long does it take to develop a simple functionality being able to override the GST amount in Journal Entry?

LauraAB
QuickBooks Team

When are you going to add the option to adjust the gst within a journal entry?

Hello GSTQuestion,

 

Welcome to the QuickBooks Community and thanks for joining us on this thread about recording and adjusting sales tax and journal entries in QuickBooks Online. I'd be happy to shed some light on this so you can record the sales tax amounts you need on your journal entry.

 

There's a specific way to record sales tax on a journal entry to ensure that it's properly calculating to the sales tax centre which will also allow you to enter the amount needed rather than what QuickBooks calculates by default. The method as described above to use the Sales Tax column on the journal entry not only blocks the calculation amount, but also doesn't properly allocate to your sales tax calculations to QuickBooks Online's sales tax module. I'll be following up with my team to make sure that we're all on the same page with this information.

 

Now, onto how you can record this kind of transaction. When recording sales tax in a journal entry, you'll want to record it as its own line to the appropriate sales tax account. Once you've chosen that, you can then go to the Sales Tax column to map the charge as needed. Here's an example of what that might look like.

 

 

As you can see here, my sales tax amount isn't the full 5% for GST, but rather an amount of my choosing and I was able to map it to the line I want. Keep in mind, I'm not an accountant, so the accounts chosen here may not be correct or ordered properly.

 

I strongly recommend checking in with an accountant before creating these kinds of journal entries to make sure that you're selecting not only the correct accounts, but also the correct remittance lines when choosing from the Sales Tax column. The accuracy of this information is key and I want to make sure that there are no discrepancies in your books.

 

Use the My Accountant tab in QuickBooks Online to connect with your accountant directly in your books. That tab has both an invite field and the Find a pro to help button so that you can create that connection as needed. The invite field is for inviting an accountant you're already working with as a user to your books while the Find a pro to help button directs you to our database of QuickBooks-certified accountants near you.

 

I hope this helps you get back on track! Let me know if you have more questions about this from a QuickBooks perspective. :)

View solution in original post

KeeperOfTheBooks
Level 1

When are you going to add the option to adjust the gst within a journal entry?

Why don't I see this as an option for the Line 103 adjustment as a sales tax option in my journal entries under the Sales Tax Column? I'm excited about the feature but is it available to everyone?

LauraAB
QuickBooks Team

When are you going to add the option to adjust the gst within a journal entry?

Hello KeeperOfTheBooks,

 

It's awesome to hear that you're excited about being able to use sales tax on journal entries to accurately record your figures. I'm happy to share that the steps I've outlined in my original response to use and map sales tax on a journal entry are available in QuickBooks Online EasyStart, Essentials, and Plus, meaning that it's there for everyone. Thanks for including which line you're looking to map to on the journal entry. I'd be happy to go over this with you.

 

While the option is there to map sales tax return lines when working with journal entries, the system still prefers for you to go through the Sales Tax module and not all options are available at this time through the journal entry. The good news is that it's easy to make adjustments right on your sales tax return, which you can do by following the steps in this article: Adjust sales tax

 

All the same, feel free to share your thoughts as feedback using the steps outlined in this article: How do I submit feedback? That lets our product development team know the kinds of features and options you're looking for with using QuickBooks Online and is a great way to contribute your voice to the evolution of the software.

 

I hope that helps!

MMD-BK
Level 1

When are you going to add the option to adjust the gst within a journal entry?

@KeeperOfTheBooks, I just tried this as well and it only works if you have the GST/HST Payable account selected FIRST in the JE. If you have any other account (or no account) selected, then it only gives you the regular options to select which type of Sales Tax to add to your JE... This must be a new feature in QBO, because before we couldn't even do a JE to the GST/HST Payable account! I just used it for a Clean-up where client had never used the Sales Tax Module before, but I'm only cleaning up 2020, so I wanted to force the Sales Tax module to match the 2019 Sales Tax Return (filed in 2020)... using the JE and selecting which Lines to adjust worked like a charm, and I was able to "File" the 2019 Sales in QBO, so everything matches up for 2020.

Rebecca R
QuickBooks Team

When are you going to add the option to adjust the gst within a journal entry?

Greak work @MMD-BK. I love how you're making the most of the features available in QuickBooks Online! Sharing your tips and trick and what's worked for you is exactly what the Community is for and I'm so happy you've joined us. Have a fantastic day.

KeeperOfTheBooks
Level 1

When are you going to add the option to adjust the gst within a journal entry?

Thank you!!! I just got a client that this is perfect for and I was so excited to see it was available, and then so sad when I couldn't find it. Thank you for your answer, I appreciate it!

LauraAB
QuickBooks Team

When are you going to add the option to adjust the gst within a journal entry?

You're welcome. Don't hesitate to stop by Community again if you have other questions or situations you'd like a hand with. We're here to help. :)