How to record income tax returns refund in quick books?

Hi there, emak70.

Allow me to step in and provide information about recording a tax payment. 

Yes, you'll need to record income tax payments after filing in QuickBooks Online (QBO). The system allows you to record a tax payment.

To do so, please follow these steps:

1. Go to Taxes and choose Payroll Tax.
2. Click on Pay Taxes.
3. On the Pay Taxes page, click on Record payment for the tax you want to pay.
4. For the Payment Date, select Other and enter the actual date the payment was made.
5. Enter the check number.
6. Click on Record. 

For further guidance, you can check out this article: Record a tax payment you made outside QuickBooks Online Payroll.

On the other hand, the version that calculates the federal estimated tax is QuickBooks Self-Employed. For more in-depth information on this, you can refer to these articles:

• Calculate estimated tax payments
• Estimated taxes explained

This should point you in the right direction. Please let me know if you have further questions. I'm always around to help.

Hello there, @Anonymous.

I appreciate you providing me with that clarification. Allow me to help share some information about recording income tax paid in QuickBooks.

Yes, you need to record your income tax payments in QuickBooks. For your second question, it depends on how you want to account the payment.

As mentioned by Rustler, if you choose to put it into the business, then the source account for the deposit would be owner/partner equity investment. But if not, you can enter it as a personal expense. For more information on how to account the tax payments in your tax reporting, I’d recommend consulting an accountant to make sure it's recorded correctly.

If you're using QuickBooks Online Self-Employed, it tracks your tax payments automatically if you pay it online. If you're using QBO, you need to record it manually. The following article contains the step-by-step process: Write checks. 

That should get you back in track. I'm just a post away if you should have any other questions about income tax payments. Have a great rest of your week.

Thank you, this reply was helpful. 

Thanks for joining this thread, LupeBlancRR.
 

I'm happy to hear MaryGraceS's information about recording paid income taxes was helpful.
 

You'll additionally be able to find many extensive resources about using QuickBooks in our help article archives.

Please feel welcome to post a reply if there's any questions. Have a great day!

I am trying to figure out the same for 2020. 

Thank you for posting on this thread, Toni10.

I’m here to help resolve any concerns you may have about QuickBooks Online (QBO). To ensure I can provide the best solution, I have to gather more information on what you’re experiencing. This is to check if we have an open investigation on the issue.

May I know what specific process do you need help with? Did you encounter any hurdles when performing it? If you receive any errors, can you provide the code or message?

I’m looking forward to working with you again. Have a great rest of the day.

Can you possibly provide instructions for the Desktop Version as well?

I can provide you those instructions, @rebaw.

If you’re referring to Rustler's and MaryGraceS's recommendations about recording income tax paid, then making deposits in QuickBooks Desktop is a breeze. Make sure to follow the accounts they suggested to keep your records accurate.

Here’s how to do it:

1. Go to the Banking menu.
2. Select Make Deposits.
3. Select the accounts they suggested.
4. Enter the necessary information, then press Save & Close after.

I’ve added this guide to help you further about managing your taxes more efficiently in the program: Taxes. It has everything you need when it comes to reporting and tax preparation.

If you mean something else, please don’t hesitate to reach out to us again. I’ll make sure it’ll be taken care of. Have a good one!

Hello, 

I received an IRS refund check for overpayment on my form 1120S, I deposited the check, but do not know how to record it in quickbooks, any assistance?

Hello, jacquimcm. 

You can create a bank deposit since you already deposited the check. But would need to consult an accountant on how to categorize the refund. 

Let me guide you with these steps:

1. Go to the Banking menu.
2. Choose Make Deposits. 
3. Enter all necessary information needed
4. When you're done, click Save & Close.

I'm adding article as future help in case you needs to record a payroll tax refund: Handle a payroll tax refund from an agency in QuickBooks Desktop Payroll.

We'll be right here if you have additional queries regarding on how to record IRS refund.

My state tax came I was wondering did my federal tax come already or on the way

So they got money already 

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@Rustler wrote:

IF, if the company is taxed as a corporation it would be a deposit, and you would use the taxes paid expense account as the source (from) account on the deposit

If the company is a sole proprietor or partnership for income tax, that refund is your personal money.  If you choose to put it into the business, then the source account for the deposit would owner/partner equity investment

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So they got money already 

They .got my  money 

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@Rustler wrote:

IF, if the company is taxed as a corporation it would be a deposit, and you would use the taxes paid expense account as the source (from) account on the deposit

If the company is a sole proprietor or partnership for income tax, that refund is your personal money.  If you choose to put it into the business, then the source account for the deposit would owner/partner equity investment

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Thanks for joining the thread, @brian4100. I'm here now, and I'll point you in the right direction so you can get updates about the status of your federal tax.

I'd recommend contacting your respective state agency. This way, they can check on your federal tax and provide you with the information that you need.Also, check this page for tax compliances links in QBO: Payroll Tax Compliance Links.

In addition, here's an article about the year-end guide for QBO: Year-end guide for QuickBooks Online.

You can also check this page about tracking the money in and out on your QBO company: Track your cash flow in QuickBooks Online.

@brian4100, it's been a pleasure to have you in the Community today. If there's anything else that you'd like me to help you with, or if you have any additional QuickBooks-related concerns. Feel free to get back to me anytime. I'll be more than happy to help you out again. Take care, and enjoy your weekend.

I am trying to figure out how to input a tax refund correctly into QuickBooks.My husband owns the company, it is an LLC. My husband and I file our taxes together. We received a tax refund this year for both state and fed. We needed to use the tax money to help pay payroll, so I deposited it into the company account. Now what account do I enter it into Quickbooks? In Rustler's response, I see I should enter it as owner/partner equity investment. Is this correct, and if so, when I enter owner equity investment into the chart of accounts under income, equity, or an other current liability? I entered it from account federal taxes or state taxes, depending on what it was, but I am thinking this isn't correct.