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lisa7
Level 1

My sales tax liability report and my profit and loss statement show different amounts for Total Sales. Why are they different and which do I go by when paying my sales tax?

 
3 Comments 3
mac2it
Level 3

My sales tax liability report and my profit and loss statement show different amounts for Total Sales. Why are they different and which do I go by when paying my sales tax?

 

First, make sure your reports are set for the same period. In some states the Sales Tax reporting period is different than calendar year. Be sure your P&L is set to the same reporting period you set for the sales tax.

 

We always use the Sales Tax Liability Report and the "Vendors>Pay Sales Tax" function to pay our sales tax. We do not go by P&L for sales tax reporting. 

QB has a sales tax workflow diagram posted on this site: http://www.qblittlesquare.com/2011/02/grappling-with-sales-tax-quickbooks-can-help/ .  

 

If all that doesn't help, check out this discussion that addresses the issue of gross sales not matching on P&L and Sales Tax Liability Report.
https://quickbooks.intuit.com/community/Account-management/Why-doesn-t-my-income-on-the-profit-and-l...

 

SkinnyRaven
Level 8

My sales tax liability report and my profit and loss statement show different amounts for Total Sales. Why are they different and which do I go by when paying my sales tax?

We have no sales tax here but unless all of your items used in the reports are taxable I would expect the reports to be different.
mac2it
Level 3

My sales tax liability report and my profit and loss statement show different amounts for Total Sales. Why are they different and which do I go by when paying my sales tax?

This happens to us too, but then we noticed that the P&L lists out "Total Income" not Total Sales. If we run a separate report for total sales and enter the same reporting period we got the same total sales amount as on the Sales Tax Report.

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