Let's tag the item/product as taxable, sdlumber.
When setting up your items/products, you have an option to mark them as taxable. This way, you don't have to manually click on the Tax column when creating an invoice or estimate. You can follow these steps:
- From the Sales tab, click on the Products and Services.
- Locate the item and click on Edit.
- On the Sales tax category drop-down, select Taxable.
- Select Save and close.
Let's do the same thing to the other items/products. I've added this article if you need to set up and send progress invoices. In addition, you'll want to read this guide if you need to run reports in QuickBooks Online.
Keep on posting if you have additional concerns. Have a great day!