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RQ
Level 1

How to post fees with car purchase

How do you post the other fees and expenses when buying a new car? Like sales tax, registration, doc fees. 
do these get separated ?

4 Comments 4
ReymondO
QuickBooks Team

How to post fees with car purchase

Let me help record these transactions in QuickBooks, @RQ.

 

We can add an expense account to your Chart of Accounts to post your car's sales tax, registration and document fees. Here's how: 

 

  1. Go to the Accounting menu, then Chart of Accounts.
  2. Click New and select Expenses in Account Type drop-down.
  3. Choose the closest account in the Detail Type drop-down.
  4. Enter the name of the account such as (sales tax, registration, doc fees).
  5. Click Save and Close.

 

Once done, you can now create an expense transaction to record them in QuickBooks Online. We can simply follow these steps:

 

  1. Click the +New icon and select Expense.
  2. Fill in the desired information and add the expense accounts under the Category details section.
  3. Click Save and close.

 

You can run an expense report to track what you've spent in QBO. You might also want to customize these reports to get awesome insights into your financial accounts.

 

You can always share your concerns here in the Community. We're always ready to provide you assistance.

Rustler
Level 15

How to post fees with car purchase


@RQ  wrote:

How do you post the other fees and expenses when buying a new car? Like sales tax, registration, doc fees. 
do these get separated ?


No they do not get separated for a purchase, the purchase price of the car should post to a fixed asset account. purchase price is the cost, that includes all fees, prep, and taxes

 

2020 transit van

>> cost

>> accum. depreciation transit van

 

That is the way I set up the fixed asset accounts for a car, the whole structure is under the fixed asset heading on the balance sheet

DiggingIdaho
Level 1

How to post fees with car purchase

What about a warranty that was purchased?  We bought a used pick up and added a three year warranty.  Is that part of the asset or is it an expense?

Countrygirl
Level 2

How to post fees with car purchase

Would you also create an income acct for the fees you charge the customers at time of sale?

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