Did you ever get this resolved? Everything I have is taxable item (unless of course my customer is tax exempt or direct pay) I have tax exempt lines in the taxable sales column and sometimes I can go in and literally re-enter exactly as I have them and resave and get them to move to the non taxable sales column but this is exhausting and does not always work. I can not use the "based on location" as it doesnt work and it would not work for me because I have well sites that do not have an address (we tried just citys, counties, nothing worked so we don't use that and we manually enter the tax on each invoice but it still shows up how it chooses in the reports

Thanks for joining the thread, @Litman Enterprises.

It appears that you've posted the same concern about the sales tax liability report in QuickBooks Online (QBO) to which my colleague has responded. You can check out my colleague's response through this link: https://quickbooks.intuit.com/learn-support/en-us/employees-and-payroll/re-is-anyone-else-finding-th....

We'll be here in the Community if you have further updates about running the report. Take care.

We too are having major issues with our Sales Tax calculating incorrectly, especially the last 6 months or so. Nontaxable items, unchecked in invoices, etc.. keeping showing as "taxable" in the calculations, but "zero tax amount". It makes our sales tax amount due wrong, and therefore not matching what we actually need to pay. It is not consistently wrong, but  has gotten worse and worse and harder to fix.

We've reached out to online support, & have had hours of looking, screen sharing, etc.. with no answers. We too can sometimes go in and delete /re-enter  exactly as we have invoices, resave and get them to move to the non taxable sales column - but is extremely time consuming, and now only works part of the time. We have cleared computer caches, verified all nontaxable line are entered correctly, tax settings correct, locations, etc.. This is a glitch in sales tax calculations and reports. I looked at the other thread your colleague responded to, but that thread issue is not our issue, as it's Re: a location based issue. This is a general sales tax issue for nontaxable items and services. We need this resolved.. please add us to any cases or investigations ongoing. Thank you

Your thorough description of your concern is greatly appreciated, RiverValley. We value the effort you've put into contacting our Live Support Team. I understand the importance of accurate sales tax report calculation to monitor your sales activities properly. I'm here to share important information about why the items that are supposed to be nontaxable are showing as taxable in your report.

After checking, we have an ongoing investigation - INV-101359 regarding the reports showing incorrect data for your taxable and non-taxable items. With this, I recommend contacting our support team. This way, you'll be listed as one of the affected users. You will be informed accurately about the progress of this investigation.

I'll show you how:

1. Go to the Help icon.
   
2. Select the Search tab and hit Contact Us.
   
3. Click the Ask about something else tab.
   
4. Key in your concern, or directly input the INV-101359 and hit Continue.
   
5. Choose a way to connect with us:
   
   • Have us call you - Get a call from a support expert.
   • Chat with us - Start a conversation with a support expert.

To ensure you get timely support, please check our support hours.

Thanks for your patience as we work towards this issue, RiverValley. Our team of Product Engineers is working diligently to address this issue as quickly as possible. We understand the importance of resolving this investigation promptly and are dedicated to finding a solution. In the meantime, stay safe!

We are experiencing this same problem with the sales tax liability report not reflecting the correct information. Please add me to this feed so I can see when it is resolved.

Thank you,

Amy

I can see you're one of the users who've experienced the same issue with the Sales tax liability report showing incorrect data for taxable and non-taxable items, garlandbusiness.

Since the investigation for INV-101359 is ongoing, I recommend contacting our Customer Live Support so they can add you to the list of affected users. This way, you'll get updated on its status and the resolution once it's available.

Here's how you can reach them:

1. Go to the Help menu, then select the Search tab.
2. Click Contact Us.
3. Choose a topic, then enter a brief description of your concern and hit Continue.
4. Pick either Chat with us or Have us call you and start connecting with them.
   
   

Please ensure to check their support hours to know when agents are available.

In case you want personalized data shown on your reports that focus on the details that matter and fit your reporting needs, these are the helpful references that can guide you:

• Customize reports in QuickBooks Online
• Customize reports in QuickBooks Online using a modern view

We're one reply away if you have additional queries or concerns about managing reports. We'll be willing to lend a hand. Keep safe.