Issue with Quickbooks native Shopify integration. The P/L statement records sales as NET values. How do you record Gross values to deduct all fees correctly?

Thank you for sharing your concerns and reaching out to the Community, Andrius-lebedeva.  

The Profit and Loss report displays your company's revenues, expenses and net income over a certain period, typically one year. The bottom line on the Profit and Loss statement shows the Net Income.  

On the other hand, we can review and add payouts to your accounts. Payouts are payments received from your sales channel for completed orders. Each payout includes the sales amount, discounts, refunds, expenses, and adjustments for the orders in the payout period. 

Once you connect your sales channel, QuickBooks will automatically import the latest transactions. 

Here's how to can add them to your books:

1. Go to Transactions.
2. Select App transactions.
3. Select your sales channel from All Connections, then select For Review.
4. Select a payout, then select an option in the Action column:
   1. Add: This payout is ready to be added to your books.
   2. View details: expands the details, such as the breakdown of the sale income, refunds, and expenses.
   3. Exclude: This payout won’t be added to your books.
5. If you need to undo a payout you’ve added to your books, go to the Review tab and select Undo under the Action column.

I'll include this helpful resource for more information on this process: Review and add payouts to your books in QuickBooks Online with Commerce.

For future reference, if you’d like to automatically add Payouts to your books, feel free to visit this link: Automatically add payments.

If you have any more queries regarding Shopify integration or any other QuickBooks-related matters, feel free to reply to this thread. I'll be more than happy to assist you further. Keep safe.

This part of your provided information is not correct:

"On the other hand, we can review and add payouts to your accounts. Payouts are payments received from your sales channel for completed orders. Each payout includes the sales amount, discounts, refunds, expenses, and adjustments for the orders in the payout period. " 

Each payout doesn't include discounts, refunds, expenses, and adjustments. We get this payout in our bank account with deducted discounts, refunds, expenses, and adjustments.

This part of your provided information is not correct:

"On the other hand, we can review and add payouts to your accounts. Payouts are payments received from your sales channel for completed orders. Each payout includes the sales amount, discounts, refunds, expenses, and adjustments for the orders in the payout period. " 

Each payout doesn't include discounts, refunds, expenses, and adjustments. We get this payout in our bank account with deducted discounts, refunds, expenses, and adjustments.

This part of your provided information is not correct:

"On the other hand, we can review and add payouts to your accounts. Payouts are payments received from your sales channel for completed orders. Each payout includes the sales amount, discounts, refunds, expenses, and adjustments for the orders in the payout period. " 

Each payout doesn't include discounts, refunds, expenses, and adjustments. We get this payout in our bank account with deducted discounts, refunds, expenses, and adjustments.

So, the Net amount is added to the P/L when we import payouts from App transactions. The Gross amount should be added to correctly deduct discounts, refunds, expenses, and adjustments in the P/L statement.

How do you import gross values from app transactions into the P/L statement? 

Thank you for providing additional context about your concern when syncing data from Shopify, AndriusL. I appreciate you taking the time to respond to us.

The integration imports summarized sales data based on Payouts from Shopify Payments or ShopPay. These payouts are broken down into the following categories:

• Sales
• Shipping income
• Discount
• Selling fees
• Reserved balance
• Pending balance
• Sales tax payable

QuickBooks Online will also automatically organize your payouts into categories for sales, shipping, discounts, and fees. As a result, there is no option to sync only the gross amount. 

Please note that there is no need for you to manually deduct the amount as the integration will do it automatically for you. 

You can read more details about the integration here:

• https://quickbooks.intuit.com/app/apps/appdetails/shopify/en-us/
• Understand How Commerce Transactions Are Categorized In QuickBooks Online 

If the synced amounts are incorrect, I would recommend reaching out to our phone or chat support teams. They can take a closer look at the integration and help you make sure the data exchange is working properly. 

Here's how to reach out to them:

1. Click the Help menu in the upper-right-hand corner of QBO.
2. Proceed to the Assistant tab.
3. Type in "contact support" in the chat box and press Enter.
4. Select QuickBooks Online Support, then click Contact Us at the bottom of the screen.
5. Click Ask about something else, then enter a short description of your concern.
6. Choose between Have us call you or Chat.

Let me also share these articles for additional guidance when syncing sales channels in QBO:

• Understand Report Differences Between QuickBooks Online And Sales Channels
• Record Third-party Sales And Fees In QuickBooks Online

The Community is always here if you need anything else when syncing data and creating sales transactions in QBO. The entire QuickBooks Team is always available to provide you with the help that you need.

"Please note that there is no need for you to manually deduct the amount as the integration will do it automatically for you. "

The issue is that it deducts from the Net value (discounts, fees, and adjustments are already deducted from this value). This incorrect deduction lowers profit in the P/L statement.

Our accountant had to fix this error manually to report our P/L to the IRS correctly. If any of your customers using Shopify integration haven't noticed this error and reported their P/L to the IRS as it is, they will have problems with the IRS because, in the United States, tax evasion is a severe crime.

Have been trying to report this issue by phone and chat more than 5 times, but the staff there has no coding skills to understand and fix this problem.