Retroactive reduction of UI rate in Florida

Nice to have you in the Community space, Lorilou.

I appreciate you for sharing the details of your concern with us. I can provide some insights about entering an effective in your tax rate.

For most states, the effective date is January 1. To prevent messing up your record, I recommend contacting your State agency for guidance on what date to use. They can also provide information on what entries will be generated in recalculating the taxes.

Moreover, here's how to change your State Unemployment Insurance (SUI) rate: 

1. Sign in to your QuickBooks Online (QBO) account
2. Go to the Gear icon.
3. Click Payroll settings.
4. Select your Florida State Taxes.
5. In the State Unemployment Insurance (SUI) Setup section, select Change or add new rate.
6. Enter your new rate and its effective date. 
7. If you have a surcharge or assessment tax rates, enter it here as well.
8. Then click OK to save your changes.

You can also refer to this article for more details: Update your State Unemployment Insurance (SUI) rate in QuickBooks or Intuit Payroll.

Let me also add this link that you can use for guidance in running your payroll and filing your taxes: 

• Process or run payroll
• Pay and file payroll taxes online

Keep me in the loop if you have any other concerns or questions about managing your taxes. I'll be around to help you. Stay safe!

Thank you for your response! However, it doesn't address the question I raised. I do know how to change the UI rate, and I don't believe the Dept of Revenue employees have any way of knowing how Quickbooks would treat the retroactive adjustment and what entries would be created in the G/L.

This is only about Quickbooks. If I make a retroactive adjustment to the UI rate (using a January 1, 2021 date), I know that QBO will recalculate the tax. My question is this: We already filed and paid our first quarter UI taxes. If I post that retroactive adjustment, what entries will Quickbooks create in the General Ledger? Will it post an adjustment to the Employer Tax expense and the corresponding receivable from the State for the resulting 1st quarter overpayment?  If QBO does NOT post an entry to the GL, my payroll reports will not match the GL.

I can also change the UI rate with an effective date of April 1, 2021, which will only cause a recalculation of 2nd quarter taxes. This, too, will cause my payroll reports to not match the G/L.

Bottom line, I think I'm better off changing the rate effective January 1, and recording the receivable with a journal entry if QBO doesn't do it automatically. Am I missing something here?

Thank you!