I appreciate your for sharing this detailed information, @Qollzem. I'll be glad to share some explanation regarding the inaccuracy you've noticed from your Sales Tax Liability report.
Based on the data you provided, the figures in your report appear accurate. The sum of taxable and nontaxable amounts matches the gross total, confirming the correctness of your calculations and the reliability of your financial records.
Additionally, please be aware that the negative amount in your nontaxable sales occurs when a customer returns an item, receives a discount, or is issued a refund on a purchase that was initially classified as non-taxable. These transactions are recorded as negative amounts to accurately reflect reversals or adjustments in the original sale. This is a standard accounting practice that will help you keep your financial records up to date and accurate
To further investigate the source of the negative amount, I recommend reviewing your sales entries, along with any recorded discounts or returns. If necessary, consider adjusting the tax settings for your transactions to better reflect the nature of your sales.
For more information, here's an article that you can check: Check how much sales tax you owe in QuickBooks Online.
Also, if you want to improve your financial tasks and make your business management easier, you can consider visiting our QuickBooks Live Expert Assisted team. Our specialized experts are equipped with the necessary skills and provides personalized advice that can streamline your financial journey.
At the same time, I'll include these articles that you can save or bookmark if you want to learn more about managing your sales tax in QuickBooks Online effectively:
I'll be happy to answer your questions if you have other concerns about your sales tax report in QuickBooks. We're always available to lend a hand in resolving your issues.
