Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for
I have invoiced my customer, for say $5000
They have paid me $4000 and paid $1000 on my behalf for taxes (NZ withholding tax for contractors)
How do I record in QBO that the full $5000 invoice is paid, even though I only received $4000 into my account? When I try to enter it QBO says there's still $1000 unpaid. How do I make it so that the full invoice is considered as being paid, I need to record that $1000 going to tax from that same payment somehow.
EDIT
I guess it would be the opposite side of this kind of transaction mentioned in this post - Solved: How to record and pay withholding tax on supplier'... (intuit.com)
Thanks
Solved! Go to Solution.
I'll be glad to help you record an invoice payment where the customer pays a portion for the tax, @Mida Valo.
If your customer pays their invoice but withholds tax, use a credit note to charge off the withholding tax as an expense. Doing so will mark the invoice as paid in full.
To begin, set up a withholding tax expense account:
Then, set up the withholding tax expense item:
Then, proceed to Steps 3 and 4 in this article to complete the process: How do I record tax withheld by my customer?.
I'm also adding this resource to help you manage invoice fees in QuickBooks: Record invoice payments in QuickBooks Online.
Keep in touch if you have other questions about handling invoices in QuickBooks. I'll be happy to lend a helping hand. Stay safe always.
I'll be glad to help you record an invoice payment where the customer pays a portion for the tax, @Mida Valo.
If your customer pays their invoice but withholds tax, use a credit note to charge off the withholding tax as an expense. Doing so will mark the invoice as paid in full.
To begin, set up a withholding tax expense account:
Then, set up the withholding tax expense item:
Then, proceed to Steps 3 and 4 in this article to complete the process: How do I record tax withheld by my customer?.
I'm also adding this resource to help you manage invoice fees in QuickBooks: Record invoice payments in QuickBooks Online.
Keep in touch if you have other questions about handling invoices in QuickBooks. I'll be happy to lend a helping hand. Stay safe always.
You have clicked a link to a site outside of the QuickBooks or ProFile Communities. By clicking "Continue", you will leave the community and be taken to that site instead.
For more information visit our Security Center or to report suspicious websites you can contact us here