How do I opt out of the new protocol where payroll taxes are withdrawn upon running payroll and not when they’re due? This is going to cause serious cash flow problems!

Hello there, @emmajay.

Let me help you opt out of the new protocol and provide information about the automated tax withdrawals in QuickBooks Online (QBO).

To start, please note that this change is being made to simplify payroll. You won't need to keep track of different taxes and payment dates, reducing the chances of missing tax payment notifications and facing unexpected withdrawals. You'll know the exact amounts needed for payroll and taxes each time you run payroll. Lastly, QuickBooks will schedule and pay taxes on time using the withdrawn funds.

To opt out of the new protocol, you can simply turn off the Automated Taxes and Forms in the Payroll Settings. Here's how to do it:

1. At the upper right corner, select the Gear Icon or Settings.
2. Select Payroll Settings.
3. From the Taxes and Forms section, turn off the Automate Taxes and Forms.
4. Then, choose Save and Done.

For more detailed information, check this article: Set up QuickBooks Online Payroll to pay and file your payroll taxes and forms.

I'll also add these articles to help you file your sales tax return, record your sales tax payments, and enter your employee's year-to-date paycheck information:

• File your sales tax return and record sales tax payments.
• Add pay history.

If you have any concerns about opting out of the new withdrawal protocol upon running payroll, please tag me in the comment section, @emmajay. I'll assist you in any way possible.

Thank you!  Just to confirm, doing this would stop the automatic withdrawal, but the forms would still be automatically created and the taxes automatically calculated, correct?  So this would just keep everything the way it is now for me, right?

I understand and appreciate the option to have the withdrawal automatic, and I wouldn't normally be opposed to that, but for cash flow purposes I cannot have the taxes withdrawn the same time our payroll is.  It's too much all at once.  If I could set the withdrawal date, I'd be happy to take advantage of having the taxes automatically withdrawn!

Thank you!  Just to confirm, doing this would stop the automatic withdrawal, but the forms would still be automatically created and the taxes automatically calculated, correct?  So this would just keep everything the way it is now for me, right?

I understand and appreciate the option to have the withdrawal automatic, and I wouldn't normally be opposed to that, but for cash flow purposes I cannot have the taxes withdrawn the same time our payroll is.  It's too much all at once.  If I could set the withdrawal date, I'd be happy to take advantage of having the taxes automatically withdrawn!

Hi there, @emmajay. Yes, turning off the Automated Taxes and Forms option will stop the automatic withdrawals. Rest assured that the forms will still be created automatically, and the taxes will be calculated.
 

Turning off this option means QuickBooks won't automatically set up your payroll tax payments and filings anymore. You'll need to schedule the payments for the tax funds to be withdrawn from your account.

For more details on automated tax withdrawals, you can read this article: Changes with automated tax withdrawals.

Here's a step-by-step guide on how to manually pay your taxes:

1. Go to the Taxes menu. Select Payroll tax.
2. Head to the Payments section.
3. Under the Action Needed area, you'll see a list of taxes due now. Taxes that are due later will appear in Coming Up.
4. Select Pay on the tax you want to pay. You can make late payments to the IRS, but some states will block you. You may need to contact the state to make the payment.
5. Review your payment date and adjust if necessary. Then select E-pay.
6. Hit Payment History to review.
    

To manually file your tax forms, you can follow these steps:

1. On the Taxes page, click the Payroll tax.
2. Pick Filings. Select File, and you can submit the forms outside QuickBooks.
    

Moreover, if you need to review your previous payroll tax payments and forms, refer to this helpful article:  Look at previously filed tax.

All this information should cover your questions about managing taxes and payments. If you need further clarification, feel free to reach out to us. Have a great day ahead, @emmajay!

This new policy is about Intuit keeping your company's money for their own use. This should be totally illegal! The only way to opt out is to turn off automatic filing and payments and do it manually even though we are already paying for this automatic service. I am contacting my state's attorney general about this shady business practice, and I suggest others do the same asap.

I don't think it goes as far as to say that... but it definitely is a concerning update.  I had to laugh when I read in their email that this would help "cash flow."  Taking more money out of your bank account sooner is the exact opposite of "helping cash flow"!  LOL

For bi-weekly payroll, Intuit will be collecting ~5% interest on payroll tax withdrawals before depositing them. The best plan is to start migrating away form Intuit altogether.

Whoa whoa whoa.  What?  Is this true?  I haven't seen a notice about it.  That combined with the ACH transfers no longer being free and my subscription increasing all the time may actually be enough to push me away from Quickbooks.  I'm getting really tired of the penny pinching.

Can someone from Quickbooks confirm that, please?

I know some information about this and let me share it to you, emmajay.

In QuickBooks Online (QBO), when you run payroll, it will not collect 5% interest on payroll tax withdrawals. You can easily access and review the withdrawal amounts. You'll also see how much money you need to fund your payroll taxes and direct deposits in Preview payroll.

Please note that the funds will be securely held in an account until they are due to be remitted to the tax agencies. For each tax withdrawal, we’ll email you a receipt and post the amount in the Payroll Tax Center.

Let us know if you have additional questions about managing your tax payments. We're always here to assist anytime.

The funds are being withdrawn from the subscriber's account & held by QB until deposited with IRS. In the holding period, QB has control of those funds. Are you stating that QB does not benefit from those funds (by investing in an interest-bearing account)?

Certainly the subscriber is losing interest due to their early withdrawal.

I've already started transitioning my payroll away from QB to SurePayroll due to this policy change.

Oh, I thought your earlier comment was saying they would be charging that much.  I thought you were commenting on a policy change - not making an assumption. I don't think they are putting the money in an interest-bearing account; they specifically said this in their update, and I don't believe it's legal for them to.

Nice spin, but your bank account is collecting the interest earned on these deposits for the period of time that you hold them after you take my funds, but before you submit it to the IRS. I imagine this just boosted your revenue stream significantly. And please don't pretend this is about helping me manage cash flow. This is all about generating an additional income stream for Intuit