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@ReyJohn_D wrote:

I can share a few details to ensure you can track your sales taxes seamlessly, @rmd1.


QuickBooks Online (QBO) calculates your sales taxes based on a couple of factors. One of these is where you sell and ship your products or services. In your case, the sales tax for the internet service should follow the DC rate. 


To gain more insights about it, please refer to this article: Learn how QBO calculates sales tax.


For the specific regulations that apply, I recommend consulting a tax expert or your tax agency. This way, they can provide you the right info and make your records more accurate when tracking them in QBO.


If you want to get a detailed view of your sales taxes, you can run the Sales Tax Liability report. This helps you make sure everything is accurate before you file and pay your sales tax return.


When you're ready, you can begin filing your sales tax return and recording your tax payments to stay compliant.


You're always welcome to comment back if you have some follow-up questions about managing your sales taxes in QBO. I'll be here to lend a hand. Enjoy your day.



Your advice contradicts how Quick Books is calculating Sales Tax for us which means either you or the system we are paying for is incorrect.


The issue is I believe where 'delivery' of an online service is deemed to have taken place. My understanding that it is deemed to have been delivered in the place where it has been made available from. So, unlike with a sale of goods, an online service such as in our case is available immediately upon us actioning availability by us from New York. No other step is required for the service to be available for use in the customers hands, wherever they may be.


I would be interested in whether you know definitively this to be correct or not. It would also be more meaningful if you could accompany your opinions with the government provisions upon which your opinions are based.





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