Maintaining detailed records for tax purposes is vital for accurate reporting. Let me explain what happens when you make this switch to safeguard your business data, mrkaye.
When you downgrade your subscription from QuickBooks Online (QBO) Plus to Essentials, the quantities of your inventory items are automatically reset to zero. While your inventory items will still be listed in QuickBooks, you will lose the ability to track the current quantities on hand as well as the related Cost of Goods Sold (COGS) information.
It is recommended to maintain your subscription with QBO Plus until the end of the fiscal year. This approach ensures that all your inventory and COGS data remains complete and accurate throughout the year. After that period, you can then decide whether to proceed with downgrading to Essentials based on your business needs.
Furthermore, you can refer to this resource for guidance on filing your sales tax: File sales tax in QuickBooks Online.
It’s important to choose what best supports the operational efficiency and financial health of your business. If you need further assistance don't hesitate to reach out. My team and I are always here, ready to provide you with the information and assistance you need.
