Advertise here    

QuickBooks Forums      

Go Back   QuickBooks Forums > QuickBooks Software Support > QuickBooks Pro Forum

Reply
 
Thread Tools Rate Thread Display Modes
  #1  
Old 01-19-2005, 01:17 PM
The Pharaoh The Pharaoh is offline
Member
 
Join Date: Dec 2003
Location: Danville PA
Posts: 45
Pay sales tax by credit card

Our state (PA) has an-line way of paying my tax liability. The payment is made by way of credit card. In Quickbooks, I can only print a check to satisfy the payment without screwing things up. Is there another way to do this?
__________________
Mike
Reply With Quote
  #2  
Old 01-20-2005, 06:53 PM
qbsrox qbsrox is offline
Registered User
 
Join Date: Sep 2003
Location: Maryland
Posts: 2,716
When you go to Pay Sales Tax, you should be able to change the account from your Checking to your CC. Or use your checking debit card to pay on-line and assign the check number as 'ew' for electronic withdrawal.

Rox :-)
__________________
Rox :-)

Advanced Certified QuickBooks ProAdvisor
Visit us at: www.Consulting4qb.com
Reply With Quote
  #3  
Old 01-21-2005, 07:22 AM
The Pharaoh The Pharaoh is offline
Member
 
Join Date: Dec 2003
Location: Danville PA
Posts: 45
Hello qbsrox,

My credit card situation is a little more complicated. The owner uses the card for business and personal so I treat it as a vendor, paying only that portion that pertains to the business. He adds the difference and sends off two checks in the mail.

Throughout the month I accumulate all business related receipts, one of them being the on-line sales tax transaction.

I'm no accounting guru, but is there some kind of magic journal entry or something? Or can I (should I) change the associated vendor from PA Dept of Revenue to Visa? And how do I do that?
__________________
Mike
Reply With Quote
  #4  
Old 01-23-2005, 03:53 PM
qbsrox qbsrox is offline
Registered User
 
Join Date: Sep 2003
Location: Maryland
Posts: 2,716
Don't change the Vendor, you want the Vendor to be your PA Dept. of Revenue.

So your ST due is not automatically coming into QB's? You are figuring it outside of QB's? Or am I reading that wrong?

You are paying the ST via the credit card, correct.....the check is just paying the cc charges; so that part of the transaction doesn't matter to the ST issue. It is good that he sends in a 2nd check for the personal stuff....until you can get him to get a 2nd card and stop co-mingling :-)

Rox :-)
__________________
Rox :-)

Advanced Certified QuickBooks ProAdvisor
Visit us at: www.Consulting4qb.com
Reply With Quote
  #5  
Old 01-24-2005, 07:35 AM
The Pharaoh The Pharaoh is offline
Member
 
Join Date: Dec 2003
Location: Danville PA
Posts: 45
Hi again qbsrox,

I think I can do the following:

1. Change the vendor referenced in the PA sales tax item to my Visa vendor.
2. Go on-line and pay my sales tax due (correctly calculated by QB), charging it to Visa. So far QB doesn't know it's been paid.
3. In QB, go thru the procedure to pay sales tax, including writing a check. This check will be written to Visa.
4. Pay any other receipts charged to Visa with another check.
5. Send my Visa payments, 3 checks: Sales tax, company purchases, personal check.

All of this would be done when the Visa statement arrives and all is reconciled. Please note that I don't treat Visa as a true credit card, just a plain old vendor. Just as we do with local merchants, we charge stuff and pay it when statements arrive.

Thank you very much for your response.
__________________
Mike
Reply With Quote
  #6  
Old 01-24-2005, 09:44 AM
Brian H. Brian H. is offline
Member
 
Join Date: Oct 2002
Location: Wisconsin
Posts: 65
Normally, for a co-mingled card the very first thing I would do is set up a "credit card" account in QBs. You want to be able to enter the charges that pertain to the business under the correct vendor name. Only enter the business transactions. The credit card balances would show up as a liability, as they should.

The problem you're going to have is that if you pay sales taxes correctly (through the "pay sales tax" function in QBs) you can't choose anything but a bank account.

Maybe, as a work-around, you set up a "bank" account for the sole purpose of transferring the charge to the personal credit card.

After paying sales tax with the "bank" account, go into the register for that account and transfer that balance to the credit card account you've set up (above).

Then, you can make payments to the credit card company for the business charges without messing up the trails.

Remember to keep the CC statements in the company records and make notes which charges are business and why. As I understand, the IRS doesn't like co-mingled accounts like this and you really should advise the owner to have one set aside only for business charges.

Last edited by Brian H.; 01-24-2005 at 09:47 AM.
Reply With Quote
  #7  
Old 01-24-2005, 11:56 AM
The Pharaoh The Pharaoh is offline
Member
 
Join Date: Dec 2003
Location: Danville PA
Posts: 45
Hi Brian,

You've explained another viable option. I'm gonna investigate both ways very shortly and see whats what.

Thanks for the response.
__________________
Mike
Reply With Quote
Reply

Bookmarks
Bookmark and Share
Thread Tools
Display Modes Rate This Thread
Rate This Thread:

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is Off
HTML code is On

Forum Jump


All times are GMT -5. The time now is 03:02 AM.


 

Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
All contents copyright (c) by AccountingUsers Inc.