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dan-loftustowing
Level 1

How tf do I turn on automatic tax calculations. It used to be simple check a box and done.....I've called, tried multiple ways,times, I cannot figure it out?

Android if it matters
4 Comments 4
JoesemM
Moderator

How tf do I turn on automatic tax calculations. It used to be simple check a box and done.....I've called, tried multiple ways,times, I cannot figure it out?

Good day, @dan-loftustowing. I appreciate the steps you have taken to enable automatic tax calculations in QuickBooks. Allow me to guide you through the process of turning on this option so that you can add your tax rate and have QuickBooks calculate it accurately.

 

You'll want to log in to your account using a web browser and use the Automated Sales Tax feature on the Sales Tax page. With automated sales tax, QuickBooks automatically calculates sales tax based on what you sell, where you sell, and where you ship. If your state changes something, like the sales tax rate, QuickBooks automatically updates your tax rates for you.

 

Here's how: 

 

  1. Go to Taxes, then click the Sales Tax tab.
  2. On the page, find Use Automatic Sales Tax or Get Started (for the new Sales Tax feature). 
  3. Follow the on-screen prompts to set it up. 

 

 For more details about automated sales tax, see this article: Set up and use automated sales tax in QuickBooks Online.

 

Then, on your Android device, you can change sales tax rates or do the following edits:

 

  • View a list of all your tax rates.
  • Add tax rates (single and combined).
  • Edit an existing tax rate.

 

To add tax rate using the QuickBooks Online app (Android only), you may follow the steps below:

 

  1. From the Menu ☰, select Settings, then select Tax Rates. (If this is your first time, you'll see an introductory screen: select Add tax rate to get started.)
  2. Select +, then select Single tax rate or Combined tax rate.
  3. Enter information about the tax rate:
  • For a Single tax rate, add a Sales tax nameAgency, and Rate, and then select Done.
  • For a Combined rate, add a Sales tax nameComponentAgency, and Rate, and then select Done. (Combined sales tax rates can include new and existing rates.)
    • Select the Combined tax rate if your tax agency makes you break down this tax into multiple parts, such as city, county, and state taxes.
       

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 For detailed information, see this article: Add a sales tax rate using the QuickBooks Online app (Android only).

 

Additionally, I'll be sharing these guides that will help you 

add tax rate on your sales transactions and how you can change a sales tax rate:

 

Additionally, I will share these guides that will assist you in adding a tax rate to your sales transactions:

 

 

Drop a reply below if you have concerns regarding your sales taxes. Need to take care of your entries, books, or reports? Let me know by adding the details. I'm here to help. 

VS_2025
Level 1

How tf do I turn on automatic tax calculations. It used to be simple check a box and done.....I've called, tried multiple ways,times, I cannot figure it out?

Is automatic tax calculations for QuickBooks Online only? Or is this a feature of the QuickBooks Desktop?

VS_2025
Level 1

How tf do I turn on automatic tax calculations. It used to be simple check a box and done.....I've called, tried multiple ways,times, I cannot figure it out?

Is the automoatic tax calculation only a feature of QuickBooks online, or can it be enabled on QuickBooks Desktop?

EvethC
QuickBooks Team

How tf do I turn on automatic tax calculations. It used to be simple check a box and done.....I've called, tried multiple ways,times, I cannot figure it out?

I appreciate you joining the thread, @VS_2025. Initially, we need to configure the sales tax preferences for your company, as QuickBooks Desktop does not support automatic tax calculation. I'll provide more details on this process below.

 

In QuickBooks Online, the integrated payroll feature automatically calculates taxes for you. Additionally, the automated sales tax feature calculates sales tax based on your sales, selling location, and shipping destination. If there are any changes to your state's sales tax rate, QuickBooks will automatically update the tax rates accordingly.

 

In contrast, to record sales tax in QuickBooks Desktop, you need to manually set up sales tax items or tax groups. This setup is essential for maintaining accurate records, which will help you monitor and remit taxes to the appropriate tax-collecting agency.

 

You may also need to collect taxes for certain goods and services you offer. For more information, you can refer to this article: Track sales tax on purchases

 

Moreover, QuickBooks Desktop allows you to customize any reports you generate. You can find guidance on this in the article: Customized reports in QuickBooks Desktop

 

If you have further questions or require additional help with setting up your sales tax, don't hesitate to get in touch. I hope you have a seamless experience managing your taxes and finances using QuickBooks!

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