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Level 1

Subcontractor hasn't been charging GST but now informs us he should have been.

Currently a subs September Invoice to us with labour and expenses is without GST but we have just found out that he needed to charge it, he has been paid through EFT for the original amount without GST added , how do we now pay him the GST amount of the invoice?

4 Comments
QuickBooks Team

Subcontractor hasn't been charging GST but now informs us he should have been.

Hey there, @readerreit.

 

Welcome, and thank you for stopping by the Community. Do you mind elaborating on what version of QuickBooks you're using (e.g. QuickBooks Desktop US, or UK)? It's my goal to make sure you get the best help possible with paying your subcontractor GST on their invoices, so I want to clear that up before I continue.

 

Let me know with a comment down below. Should you have any additional questions about this or anything else QuickBooks, don't hesitate to ask me here in the Community.

Level 1

Subcontractor hasn't been charging GST but now informs us he should have been.

Enterprise Solutions Contractor Edition, in Canada

QuickBooks Team

Subcontractor hasn't been charging GST but now informs us he should have been.

Thanks for that information, @readerreit. I'm transferring your post to the appropriate team so you can get the help you need. Thank you again for stopping by the QuickBooks Community.

QuickBooks Team

Subcontractor hasn't been charging GST but now informs us he should have been.

Hello there, readerreit.

 

I can help record the GST amount you need to pay your subcontractor.

 

You can re-open the bill created for the original payment. Then, manually add the GST (Goods and Services Tax) code assigned to the subcontractor.

 

This way, it’ll open a balance for the GST amount that you can later pay. Make sure to double-check the subcontractor’s profile to see which tax code you’ve set up.

 

To check the subcontractor’s profile:

  1. Go to Vendors at the top menu bar.
  2. Pick the Vendor Center button.
  3. Locate the name of the subcontractor you need to verify.
  4. Right-click on the name, then choose Edit.
  5. Select Sales Tax Setting from the left pane.
  6. Then, ensure the Tax Code field has the appropriate tax code (like GST).
  7. Click Ok (see screenshot 1).

To edit the Bill:

  1. Go to Vendors at the top menu bar.
  2. Pick the Vendor Center button.
  3. Locate the name of the subcontractor you need to verify.
  4. Look and double-click the Paid Bill.
  5. In the Tax column, select the assigned tax code.
  6. From the Amount Due field, manually change the amount to include the GST.
  7. Pick Yes in the The Transaction is linked…. warning message.
  8. Click Save and Close (see screenshot 2).

To pay the GST:

  1. Re-open the altered bill.
  2. Click the Pay Bill button at the top.
  3. In the Select Bills to be Paid page, place a check mark in the newly added GST transaction.
  4. Review the Totals to ensure it’s accurate.
  5. Click Pay Selected Bills (see screenshot 3).

That should do it! You can now pay your subcontractor for the GST discrepancy amount.

 

Feel free to let me know if you have additional question. I’ll be around.

 

Screenshot 1 Screenshot 2 Screenshot 3

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