Rustler’s Quickbooks Tips

A sales tax discount (money you collect in sales tax but do not have to pay) is an income to the business.

When you click the pay sales tax icon, there is a button titled Adjust, click it, mark the adjustment as reducing sales tax, and select an income account, then enter the amount of the discount and click OK.

When you do that QB will move the amount of the discount to the income account you select and reduce the sales tax owed. I use the income account “Other Income”, but any income account will work.