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QuickBooks Team

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Hi there, j_lund.


By default, QuickBooks automatically do the sales tax calculations for you on your invoices and receipts based on location for easy and accurate filings. Since some of your customers choose to pick up the product instead of delivering it to them, we can set up a correct state or local rate for the type of tax you need to track using the Custom Tax Rate feature.


However, we're unable to set this rate as the default tax setting for your company. We'll have to select it every time we create an invoice or sales receipt. You can follow these steps in adding a single or combined custom rate:


  1. Select Taxes from the sidebar menu, then choose Sales tax.
  2. Click Sales tax settings.
  3. In the Custom rates section, select Add rate.
  4. Select Single or Combined.
  5. Enter the Name of the custom rate.
  6. Select the Agency you file payments to. 
  7. Enter the rate, then click Save to complete the process.

Here's how to apply the rate:


  1. Click the + New button, then choose Invoice or Sales receipt
  2. Select the small arrow ▼ icon next to Based on location.
  3. Choose the appropriate custom rate from the list. If you need a new custom rate, select + Add rate.
  4. Make sure the total tax amount is correct.
  5. Select Save, or Save and send to email your customer their invoice or receipt.

In case you'll need to check how much sales tax you owe, we can run the Sales Tax Liability report to help make sure that everything is accurate before you file your return to your tax agency.


You can always find me here if you need more help in managing your sales tax. As always, assistance is just one post away.

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