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Elway_Bookkeeping
Level 1

Enter Credit for Employment Security Department

I have been accidentally paying employment security taxes for the owner of the company. They have notified me that, we have a credit as you don't have to pay on the owner.

 

I have 4th quarter taxes due now, but on the employment security site, I used the credit and my balance for the quarter was $0. Now in QuickBooks, I still have a payment to make but don't want to mark it paid as it will show that balance being subtracted from the checking account. 

 

Is there a way to create a credit for this payroll liability?

 

Thank you 

1 Comment 1
ChristineJoieR
QuickBooks Team

Enter Credit for Employment Security Department

I understand your frustration with the error you encountered while managing your employment security taxes in the QuickBooks Online Payroll account, @Elway

 

You need to apply for a prior payment as a credit in QuickBooks Desktop Payroll. Furthermore, when applying for a prior payment as a credit, please ensure that the bank account is not impacted during the process.

 

Follow these steps:

 

  1. Open QuickBooks Desktop and go to the Employees menu.
  2. Select Payroll Center from the drop-down menu.
  3. Click on the Pay Liabilities tab.
  4. Choose the liability you want to apply the prior payment and click View/Pay.
  5. In the Payment History section, find the prior payment you want to apply as a credit.
  6. Click on the prior payment to open it.
  7. In the Payment Summary window, select Set Credits to apply for the payment as a credit.
  8. Choose the liability or liabilities to which you want to apply the credit.
  9. Click OK to save the changes.

 

For additional info on how to fix its liabilities depending on the scenario, check out this article: 

 

 

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