State tax credit for unemployment taxes

Hi there, @dityhSC. I've come to help you correct the state tax credit for unemployment taxes.
 

To correct this you can perform these steps about what to do when a taxing agency withheld a portion of the refund for a separate balance due:

1. Go to the Employees menu and select Payroll Taxes and Liabilities. Then, click Deposit Refund Liabilities.
2. Click the name of the vendor who submitted the refund check. 
3. From the Refund Date field, enter the deposit date and then, input the first day of the pay period that the refund affects in the For Period Beginning section.
4. Choose how you want QuickBooks to handle the deposit.
5. From the Taxes and Liabilities section, select the payroll item/s affected by the refund and enter the positive amount. Then, click Ok.
6. If you're using Basic, Standard, or Enhanced Payroll for US. Or the payroll offering for Canada, the process is complete.
7. If you have Assisted Payroll, proceed to step 11 of this article for the next step: Record a payroll liability refund check.
8. Make sure to enter the full amount of tax refund in the Deposit total field. 
9. Then, to account for the portion that was withheld, enter a Liability Adjustment to reduce the liability.

To get more information about the process, feel free to visit this link: Record a payroll liability refund check. 

Also, it's recommended to create a backup copy first before doing any changes to your company file. This is to ensure you have the original details that you can restore at any time in case of data loss or damage.

In QBDT, it's easy to view your employee data and monitor your business finances. You can open any payroll reports that suit your needs. To give you a list of those reports and an overview of what data they show, please head to the Excel-based payroll reports page. 

If you need further assistance correcting state tax credit for unemployment taxes, feel free to get back here. I'd be glad to assist you further. Have a good one. 

Thank you so much for your quick reply. I tried utilizing the steps mentioned, but now the amount QB has me owing for Q3 and the amount my state says I owe is not matching: QB is more than what the state website has, and the state website says I still have a credit. I'm still confused :-/

Hello there, dityhSC.

Thanks for following the resolution steps provided by my peer on how to record the tax credit for unemployment taxes. The result you shared will help determine why it showed that you owe taxes in the third quarter.

When creating a liability adjustment, enter the correct date in the Effective Date field. QuickBooks will use the date you want this adjustment to affect your liability balance. Also, the desktop program utilizes this information to calculate amounts on your Forms 940 and 941 and on the payroll liability balances report.

If the information in the Effective Date field is correct, I recommend contacting our Payroll Support Team. One of our specialists will review the payroll liability check and adjustment recorded in the company file. This process will help determine why the amount owed and the one in your state don’t match. Reaching out to them ensures your unemployment tax credits are properly tracked in QuickBooks.

To contact support:

1. Press the Help icon at the top menu bar to select QuickBooks Desktop Help F1.
2. In the Have a Question window, scroll down and click the Contact us link.
3. When the Contact Us screen opens, go to the Tell us more about your question section to enter the issue or topic in the field box. For example, payroll taxes issues.
4. Then choose to Get a callback to speak with an agent or Start a messaging to chat with an expert.

For additional resources, check the links I shared below. These articles will guide you on how to resolve payroll tax calculation errors.

• Troubleshoot incorrect state unemployment (SUI) or withholding (SIT) on paychecks
• QuickBooks Desktop calculates wages and/or payroll taxes incorrectly

Stay in touch if you still need assistance correcting your payroll taxes and credits. I’m more than happy to help. Wishing your business continued success.

I need this same help information only for QB Online, There isn't any "effective date" that I can find. Also, where did the State Unemployment Insurance Wage Report Worksheet disappear to? 

I can help you locate the SUI Wage Report Worksheet and record the state tax credit in QBO, elsingpump88.

You'll have to record the state tax credit for unemployment as a prior tax payment in QuickBooks. I'll guide you through the process:

1. Go to Taxes and select Payroll tax.
2. Scroll down to the Payment resources section.
3. Click the Record tax payments (prior tax history) hyperlink.
4. Select Current Year and Liability period under Record tax payments.
5. Tap Add payment.
6. Choose the Tax Type ( in this case, it was State Credit, so choose State).
7. Enter the Liability period and Payment date.
8. Create a Credit by entering a 'negative amount'.
9. Click Submit payment.

Regarding finding the State Unemployment Insurance Wage Report Worksheet, please follow the steps I've outlined below:

1. Go back to Taxes and select Payroll tax.
2. Under Forms, click the View and Print Archived Forms below Quarterly Forms.
3. Click State Unemployment Insurance - Contribution Report Worksheet.
4. View/Print the form.

By following these steps, you can record the state unemployment insurance credit and pull up the State Unemployment Insurance Wage Report Worksheet in no time!

I'm adding an article for more details on how to view tax payments and forms in QBO: View your previously filed tax forms and payments.

Moreover, check out this link for information on what you must do to close out the previous year and prepare for the new one: Year-end guide for QuickBooks Online.

I'll keep this thread open if you need more help with payroll. I'm sure to assist.