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Level 1

QB online eliminated default sales tax rate for custs. We serve multiple areas & rates, but may have 200+invoices to 1 cust--now have to select rate each time. Solutions?

 
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QuickBooks Team

QB online eliminated default sales tax rate for custs. We serve multiple areas & rates, but may have 200+invoices to 1 cust--now have to select rate each time. Solutions?

Hello, @GLHoffman.

 

Here are the bases QuickBooks base in automatically calculating your sales tax.

  • Based on the state where you have nexus and are registered to collect sales tax.
  • The physical address of your business and on the forms.
  • The product mapping you've associated with the item you're selling.

Let's first make sure that you've added the State Tax agency of all the areas that you're doing business with. This way, when you create the invoice for a specific location the system will be able to automatically calculate the sales tax.

  1. Go to the Taxes menu.
  2. Choose the Sales Tax tab.
  3. Click the Sales Tax Settings link.
  4. Select the Add Agency button.
  5. Enter the State Tax Agency details.
  6. Click the Save button.

Once added, you can now create an invoice, sales receipt, or bill. Just ensure to put a checkmark on the Tax column. You'd see in the invoice total the sales tax for the specific transaction.

5004.GIF

I've added these articles to help you manage sales tax:

Let me know if you have other questions about using the automated sales tax in QuickBooks. I'm always here to help.

Level 1

QB online eliminated default sales tax rate for custs. We serve multiple areas & rates, but may have 200+invoices to 1 cust--now have to select rate each time. Solutions?

You don't understand my problem-and the abbreviated requirements of posting a question didn't allow me to explain thoroughly. 

We are a locksmith company and the physical location of our business has almost nothing to do with the tax rates we charge.  (We provide service in about 9 different tax jurisdictions.)  We go to customer's location (say an office building) every time they need locks changed.  So that customer's location determines what tax rate we charge for a new doorknob.

These are REPEAT customers so their tax rate never changes, but we may generate 200+ invoices for that customer in a single year. 

Before the QB Update made 6 or so months ago, I could set a DEFAULT TAX RATE for an individual customer.  So, when I had 200 or more invoices generated by that customer in a given year, I did not have to CHOOSE a tax rate 200+ times!  The red box in your illustration with the words "Based on Location" was NEVER a box I had to deal with.  If I created an invoice for Customer A - as soon as I opened a new invoice for that customer, the tax rate was already "selected" because that customer had a default rate.   Now I have to scroll to the bottom of every invoice and choose the correct rate from the 9 different ones I have stored.  200+ times for just one customer!  Can you grasp how frustrating that extra bit of work is when multiplied by all our repeat customers in a single year?

Now, when I look at the options I have to Edit a customer--the only option in taxes is to make them Tax Exempt - there used to be a box to indicate a default tax rate.

I was hoping that someone had figured out a way to overcome this latest "improvement" -- which to me just shows, again, that the software creators who work on Quickbooks Online, don't actually ask the users of their product if the latest idea is going to be beneficial or just create a ton more work! 

But thanks for trying to help.

Level 1

QB online eliminated default sales tax rate for custs. We serve multiple areas & rates, but may have 200+invoices to 1 cust--now have to select rate each time. Solutions?

HI... 

I was wondering if you ever found a solution?  I have the same type of problem and I'm afraid it will keep me from using Quickbooks.  

Level 15

QB online eliminated default sales tax rate for custs. We serve multiple areas & rates, but may have 200+invoices to 1 cust--now have to select rate each time. Solutions?

@Tulemom 

Explore this AST Filing and Reporting app to integrate with your QBO as workaround.

https:// taxjar.grsm.io/mytax

 

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