Hi there, Esther1010 and Smitty2008.
I'm here to share some information about the sales tax liability reports in QuickBooks Online (QBO).
In QuickBooks, If you generate a Sales Tax Liability, this report will be relevant based on the reporting period and accounting method.
Running the Cash method in the report counts income or expenses once you get a payment or pay a bill. If you sent an invoice or got a bill, but the money hasn’t changed hands yet, your report doesn’t include it in your income or expenses.
On the other hand, the Accrual method counts income and expenses regardless of whether an invoice or bill was paid or not. It also includes income and expenses, even if the money hasn’t changed hands yet.
Let's make sure to select the correct Report period and the Accounting method when running the said report.
Here's how:
- Go to Reports.
- Select Salex Tax Liability report.
- Under the Accounting method, select Cash or Accrual.
- Select Run report.
Additionally, I'm adding some resources that you can check out to learn more about how you can personalize and memorize your reports in QBO seamlessly:
You're always welcome to get back to me if you need further assistance managing your Sales Tax reports in QBO. I’ll be more than happy to work with you again. Have a good one!
