cancel
Showing results for 
Search instead for 
Did you mean: 
Shane Huebner
Level 1

Using the new QuickBooks site for payroll, can someone tell or show me how/where to record local tax payments? I can't find that tab anywhere.

 
5 Comments 5
Kristine Mae
Moderator

Using the new QuickBooks site for payroll, can someone tell or show me how/where to record local tax payments? I can't find that tab anywhere.

I can guide you with entering prior tax payments, Shane Huebner.

 

You can follow these steps:

  1. Click Taxes.
  2. Go to the Payroll Tax tab.
  3. Click Enter prior tax history, then select Add payment.
  4. Select the Tax Type and liability period (Period Start Date and Period End Date).
  5. Enter the Payment Date, then the amount.
  6. Click OK.

For more information, you can refer to this article: Recording prior tax payments.

 

We're around if you have other concerns. Feel free to visit us anytime. Take care!

akessler32
Level 1

Using the new QuickBooks site for payroll, can someone tell or show me how/where to record local tax payments? I can't find that tab anywhere.

The problem I'm seeing in the posts similar to this is that we can record the payment the way you are describing, but it doesn't simultaneously enter in our checking account at the same time.  Before, there was a record button that you could do it one time and it would record the tax payment in your liabilities and in your checking account.  Do we have to make a separate entry in our checking?

Jen_D
Moderator

Using the new QuickBooks site for payroll, can someone tell or show me how/where to record local tax payments? I can't find that tab anywhere.

Thanks for joining this payroll discussion, @akessler32.

 

Allow me to share some insights to help you with the prior payroll process. When you use this step, this will be a non-posting transaction. It means that the entry will not affect the bank register, but it will clear the taxes from showing due and record the deposits.

 

Since you already cleared the liability and only wanted to affect the bank, create a check separately to deduct the prior tax amount recorded.

 

In the long run, if you want to record a payment that affects the bank and the liabilities, you can use the tax payment option. here's how:

 

  1. Go to Taxes and select Payroll Tax.
  2. Select Pay Taxes.
  3. Select Create payment on the tax you want to pay.

 

I'm adding some related links for you about this topic:

 

 

If you have any questions about payroll, post here again for help. I'll be more than happy to assist you. Have a good one!

akessler32
Level 1

Using the new QuickBooks site for payroll, can someone tell or show me how/where to record local tax payments? I can't find that tab anywhere.

Thanks for jumping in @Jen_D .  I appreciate the answer, but your answer highlights the issues that I mentioned and some of the others mentioned above.

  1. The way you mention to pay tax payments only works for federal and state taxes, not local.  If it is local then we have to do the Prior Tax Payment history way which clears the liability report, but doesn't reflect on the bank register.
  2. You mentioned now we have to create a prior tax payment for the local tax payment and then go to the checking and create that equivalent bank transaction to reflect it there (two steps).  When prior to this new update in January, it was just the one step process and easy to find how to do that.  You could record the local tax payment and right there it would be clear in the liability AND reflect in the bank register.

 

If it has to be two steps to then it has to be two steps, but it seems the previous way would have been easier.  Unless I'm missing something completely. Is this the way we have to record local tax payments now?

Divina_N
QuickBooks Team

Using the new QuickBooks site for payroll, can someone tell or show me how/where to record local tax payments? I can't find that tab anywhere.

Thanks for getting back here, @akessler32.

 

Yes, there are two processes when recording your local tax payments in QuickBooks Online (QBO). As mentioned by my colleagues above, you'll have to enter prior tax payments first and then write checks

 

I also recommend, reaching out to an accounting professional for guidance in recording this to avoid issues when reconciling in the future. 

 

Also, you can always reach out to our Payroll Support team to help you with any payroll concerns. Our live support operating hours are from Monday to Friday 6 AM to 6 PM Pacific Time. 

 

If there’s anything else I can do to assist you in recording your local tax payments, please post a reply below. I’m always available to help if you ever need one.

Need to get in touch?

Contact us
Sign in for the best experience
Ask questions, get answers, and join our large community of QuickBooks users.
Sign In / Sign Up