If you are required to collect sales tax from customers, it is important to complete the sales tax setup in QuickBooks prior to invoicing customers. If you create an invoice without sales tax, you will ultimately underpay the sales tax you are required to submit to your local tax authority. This could lead to additional taxes and penalties, which can add up quickly. Setting up sales tax in QuickBooks from the start allows QuickBooks to automatically calculate and keep track of sales tax that you owe.
Perform the following steps to set up sales tax:
- Click Taxes on the left menu bar, as indicated in the following screenshot, to navigate to the Sales Tax Center screen:
- The following message will display. Click the Set up sales tax button, as indicated in the following screenshot:
- The following window displays:
- Your business address should automatically populate the fields (as indicated in the preceding screenshot). If it...
