[GNC] Finding sales tax liability

Adrien Monteleone adrien.monteleone at lusfiber.net
Sat Jul 10 16:02:35 EDT 2021


I'm not familiar with a report that could do this. The practice I'm 
familiar with is booking that sales tax line to a liability account. 
Then you can simply check that balance, or run an account report on it. 
When you pay the tax, you book it against the liability, thus reducing it.

The Income Statement has an Account tab where you can select included 
accounts. Thus, if you don't want to include Interest Earned, don't 
include those income accounts. (or any other non-taxable/non-sales 
revenue/income accounts)

For this purpose, you'd also not likely include any expense accounts as 
those are usually not deductible from a retail sales liability.

You probably should take both approaches because most jurisdictions 
require you to report and pay based on booked sales, but also require 
you to pay everything collected. So if your liability account (what you 
collected from the Customer) is higher than whatever your sales shows it 
should have been, you have to submit that amount. (you can't overcharge 
sales tax and pocket the difference) The same goes the other way. If you 
undercharged, tough luck. You still have to report and pay based on the 
sales you booked.

Check with a local CPA on that last part of course. This isn't legal or 
tax advice here.

Regards,
Adrien

On 7/9/21 9:36 PM, Paul Kinzelman wrote:
> Thank you, but that doesn't really work because it looks like it
> lumps sales (which requires Gross Receipts Tax) and interest on
> the bank account (which does not). Is there some way to
> differentiate this, like some way for interest and any
> other income to be separated from actual sales?
> 
> It seemed to work just fine previously, was the capability
> removed for some reason?
> 
> Thanks!
> -Paul Kinzelman
> 
> On 7/9/2021 4:46 PM, Christopher Lam wrote:
>> It's likely the Income and GST statement report can be used for your 
>> purposes.
>>
>> On Tue, 6 Jul 2021, 10:47 pm Paul Kinzelman, <paul at kinzelman.com 
>> <mailto:paul at kinzelman.com>> wrote:
>>
>>     This is for a business that sells stuff and keeps track of sales tax.
>>     At the end of the reporting period, I need a report of the sales
>>     tax owed to the state.
>>
>>     With previous versions it was easy, there was a pull-down item
>>     for getting a report of the sales tax but I can't remember where
>>     exactly it was, I think it was under Business | Vendor or
>>     maybe Actions? But in any event, I can't find it anywhere now,
>>     nor does the documentation seem to help.
>>
>>     How do I find the sales tax accumulated during the reporting
>>     period? And is it in the docs anywhere?
>>
>>     Thanks!



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