I received a 941 Quarterly Refund for Q2 2023 in the form of a check, which I deposited into my checking account.
The refund transaction was recorded in my chart of accounts: Payroll Liabilites: Other Current Liabilities account.
I called QBO today to ask how the bank deposit needed to be entered so it was categorized correctly. They had me choose the Payroll Liabilities account, which increased my liability account, so then they had me enter a JE to move the amount from Payroll Liabilities into my Checking Account.
I don't think that is right.
Should this be handled in JE in QBO?
What is the best practice of managing this?
How do I get the transaction off my reconciliation screen?