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alw4335
Level 2

Can anyone give me instructions on how to enter a property tax payment? I understand I need to accrue the payment over 12 months - can anyone provide an example?

I have a recurring journal entry that debits the property tax expense, credits the property tax liability. When I make the payment twice a year, it appears in the expense account. Not sure what I a m doing wrong.
2 Comments 2
Tori B
QuickBooks Team

Can anyone give me instructions on how to enter a property tax payment? I understand I need to accrue the payment over 12 months - can anyone provide an example?

Hi there, @alw4335

 

I hope you're enjoying the day so far. 

 

I found a similar thread where our champ user Rustler gives a great example of recording property taxes using a journal entry: https://quickbooks.intuit.com/learn-support/en-us/taxes/question-re-tax-savings-account-and-property...

 

However, I recommend consulting with your accounting professional for a more in-depth explanation to record the property taxes based on your business needs. If you don't have an accountant, don't sweat it. You can find one here in our Resource Center

 

Please let me know if you have any questions or concerns. Take care! 

Rainflurry
Level 14

Can anyone give me instructions on how to enter a property tax payment? I understand I need to accrue the payment over 12 months - can anyone provide an example?

@alw4335 

 

When you write the check (+ New > Check) to pay your taxes semi-annually, make sure you select the property tax liability account under 'Category' and it should work fine.  When you write a check, QB debits (reduces) the account selected under 'Category' (your property tax liability account in this case) and credits (reduces) your bank account.

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