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michael86
Level 2

Farm Equipment and Machinery CA sales tax exemption?

Most of our sales are exempt from CA state sales tax (but still required to pay county sales tax) due to the Farming Equipment and Machinery sales tax exemption. (see: https://www.cdtfa.ca.gov/industry/agriculture.htm#Exemptions)

 

How do I invoice for these amounts correctly? I don't see a place to remove only the state sales tax, while leaving the county sales taxes.

 

Thanks!

3 Comments 3
Kurt_M
QuickBooks Team

Farm Equipment and Machinery CA sales tax exemption?

Welcome to the Community, @michael86. Allow me to help you with your query.

 

Did you know that QuickBooks Online can automatically do the sales tax calculations for you on your invoices and receipts?

 

This fantastic function simplifies and improves the accuracy of the task. It also alerts you when your tax payment is due, allowing you to file on time and avoid penalties.

 

You can refer to this article to learn how to set up and use automated Sales tax in QBO.

 

Here in QuickBooks Online we also have Request sales tax exemption and refund.

 

If you have any other follow-up questions about automating it, please let me know by adding a comment below. I'm always here to help. Keep safe!

michael86
Level 2

Farm Equipment and Machinery CA sales tax exemption?

Hi,

 

Unfortunately that does not answer my question. Both of your links are on how to request a sales tax exemption for MY company. I need something different. I need to be able to edit the sales tax I charge to MY CUSTOMERS to remove the CA state sales tax, but leave the county sales tax.

 

Please help.

 

Thanks.

MariaSoledadG
QuickBooks Team

Farm Equipment and Machinery CA sales tax exemption?

Let me jump into this thread and guide you on how to edit sales tax, michael86.

 

Once you edit a sales tax rate, all existing transactions that use the old tax rate remain the same. The new rate only applies to new transactions. To edit them, you can follow the steps below: 

  1. Go to Taxes.
  2. Under Related Tasks, select Add/edit tax rates and agencies.
  3. Select the rate you want to change from the Sales Tax Rates and Agencies table, then select Edit.
  4. Edit the tax rate you want. You can also change the component name if you like.
  5. Click Save.

 

However, if you want to edit custom rates for automated sales tax, I've added this article for your guide: Edit Sales Tax In QuickBooks Online.

 

Additionally, you may want to run a report so you can review and manage sales tax payments. Here's an article for more information: Manage Sales Tax Payments In QuickBooks Online.

 

Feel free to let me know if you need anything else about sales tax. I'll be here to help.

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