cancel
Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for 
Search instead for 
Did you mean: 
Announcements
Want an expert to help you set up your QuickBooks Online? Find out how: Click here
Laura-Nurmela
Level 1
posted
‎July 18, 2025 11:46 AM
last updated ‎July 18, 2025 11:46 AM

Can expenses not have a mandatory tax field?

When posting expenses like bank charges that are not subject to VAT, is there an option not to select anything for tax? Currently I end up selecting the 0% VAT option, which is not correct for VAT returns reporting.
Reply
1 Comment 1
MsNorthPND1881
QuickBooks Team
QuickBooks Team
‎July 18, 2025 01:59 PM

Can expenses not have a mandatory tax field?

Once VAT is enabled, you’ll need to select the 0% VAT option for transactions, Laura. However, if you prefer not to include VAT on certain transactions, I suggest choosing the Out of Scope of Tax option instead.

 

Here’s how:

 

  1. Navigate to the Expenses tab.
  2. Select the transactions and click View/Edit.
  3. From the upper-right side, open the Amounts are drop-down menu and choose Out of Scope of Tax.
  4. Click Save and close.

 



To ensure your transactions are accurate, I recommend consulting your accountant or tax advisor to determine the correct rates and their applicability.

 

Additionally, you can refer to this article for guidance on selecting and setting up commonly-used VAT/GST/GCT/IVA/ITBIS/TOT rates: How do I set up sales GST/VAT rates and use them on forms? (International QBO)

 

If you have further questions about VAT, feel free to reach out to the Community for assistance.

Reply