Payroll tax payment summitted to wrong bank account and I can't match it to the bank transaction. How can I fix the tax payment?

I'll help you in recording your tax payments, @kclemons-si-llc-.

You can only delete a payment if it's manually recorded and if the electronic payment has not been processed yet. Payment can no longer be deleted if it was already processed electronically, the payment was already transmitted or accepted by the agency, and payment was rejected due to insufficient funds (NSF).

You can delete it from the Taxes page. Check the steps below:

1. Go to the Taxes and click Payroll tax.
2. Click the View tax payments you have made under Taxes.
3. Select the name of the tax payment and select Delete.
4. Tap Yes to confirm the deletion.

If you no longer have the option to delete, then I suggest reaching out to our Customer Support team. Their tools can get into your account in a secure environment and delete the payment for you.

You can reach them by going to the Help icon at the top right of your QBO account. Here's the contact the QuickBooks Online Customer Support team article for more information.

See this article for more information: Delete a tax payment. Also, here's more information about recording prior tax payments.

Keep in touch if you still have any other concerns. I'm always here to help you out. Have a wonderful day!

Hi, thanks for your response

I don't think I did a great job of explaining the issue. I spent two hours on the phone with QuickBooks help only to be told my issue cannot be resolved. Roughly from November 2019 to July 2020 our federal 941 tax payments were manually entered into QuickBooks and paid online through the IRS' website. We have two bank accounts, an operating account and a payroll account. Our tax payment were made to the IRS from the payroll account, however the person manually entering the payment into QuickBooks entered the operating account as the account paying the money. So I now have two entries showing up in my payroll liability: federal tax account. One is a tax payment that debits the payroll liability and credits the operating account. The other has been downloaded from the bank feed (which had to be done in order to reconcile the payroll account) that debits the payroll liability and credits the payroll account. My Payroll liability: federal tax account is now extremely negative and my operating account cannot be reconciled. QuickBooks help said they could not change the tax payment bank account used so I have to find a more inventive way to account for these glaring issues. Any thoughts would be great appreciated. 

I have this same issue! Can anyone assist?

I'm here to assist you and provide the resolution in fixing your tax payment concern, @SarahJ34.

When tax payments were processed already, the transaction can't be deleted. Since you've used an incorrect account upon processing it, you can create a journal entry so your transactions will be accurate. Doing this can offset the negative amount on the payroll liability account and balance the payroll account.

However, to help you in performing this procedure, I recommend reaching out to your accountant. This way, they can provide the right course of action to be taken when it comes to debiting and crediting your payroll accounts to ensure that your books are correct.

You may also find a accountant through this link: Find an accountant or bookkeeper who loves your business as much as you do.

Once done, you can generate a JE by following these steps: 

1. Select + New.
2. Press on Journal entry. 
3. On the first line, select an account from the Account field. Depending on if you need to debit or credit the account, enter the amount in the correct column.
4. On the next line, select the other account you're moving money to or from. Depending on if you entered a debit or credit on the first line, enter the same amount in the opposite column.
5. Check the amounts - you should have the same amount in the Credit column on one line and the Debit column on the other. This means the accounts are in balance.
6. Enter information in the memo section so you know why you made the journal entry.
7. Click on Save and new or Save and close.

For additional information on anything that you need to know about JE in QuickBooks Online, please this article: Learn how to record journal entries in QuickBooks Online.

Feel free to let me know if you have other questions. I'll be more than happy to answer them for you. Have a nice day!