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janine8
Level 1

PST: some provinces deduct a small amount from what's owing (about $20 bucks in my case), calling it "commission". QBO thinks I haven't paid in full. How to fix?

 
2 Comments
PatriciaT
QuickBooks Team

PST: some provinces deduct a small amount from what's owing (about $20 bucks in my case), calling it "commission". QBO thinks I haven't paid in full. How to fix?

Hi janine8,

 

It's great you've received compensation from the government that reduced the amount owing on your return. The Sales Tax Centre in QuickBooks Online is designed to produce accurate tax returns based on the data in the system. I'll be happy to show how to insert your commission in your books, so your QuickBooks return reflects the correct amount you ended up paying to the CRA. 

 

The best approach in situations like this would be to manually adjust your return in QuickBooks Online. Here's what I mean.

  1. On the Prepare return page, select the Adjust link on the far right of the line you wish to adjust.
  2. Enter the amount of tax you would like to add to the line (to reduce the line, enter a negative number).
  3. Select your adjustment account. This may be an income account for tax credits, or if your Tax Payable account is correct, you can select the Payable account to adjust the return without affecting your Chart of Accounts.
    Note: We recommend consulting an accounting professional to ensure correctness on this step.
  4. Select Save to save the adjustment.

You can reference these steps from this article: Adjust sales tax

 

The reason we encourage you to talk to your account for this is to make sure you select the proper line in your return dedicated for the commission, and the correct adjustment accounts in your books. You can invite your accountant as a user in your account by going to the My accountant menu and entering his email before confirming the invitation. Alternatively, you can click on the Find a pro to help button to access our accountants' list.

 

I hope this helps! Don't hesitate to reach out if you have other questions.

 

janine8
Level 1

PST: some provinces deduct a small amount from what's owing (about $20 bucks in my case), calling it "commission". QBO thinks I haven't paid in full. How to fix?

Thank you for this, Patricia.  

In fact, my bookkeeper advises me to AVOID using the Taxes function AT ALL in QBO.  Says it really messes things up.  But I'd forgotten that direction. 

Instead I am supposed to use "Reports" to pull my numbers for my sales tax filings and then input them on the relevant government taxation website. 

I've just spent a bunch of money, requiring my bookkeeper's time to find automatically made entries & straighten things out, delete, etc. 

I wonder if other users/professionals have similar points of view re QBO "Taxes" functions!?