QuickBooks integration (Advanced): Send tax amounts to QuickBooks

Currently, QuickBooks displays sales tax for TaxDome invoices separately, using an Automated Sales Tax (AST) engine, but only for U.S. firms. We plan to roll this out for firms globally later. 

• If you have a U.S. firm that uses QuickBooks’s AST to manage sales tax calculations, the tax amount is displayed separately in QuickBooks. For example, with an invoice for $100, the sales tax amount of $8.875 is listed on its own.
• In all other cases (e.g., you haven’t set up your taxes in QuickBooks or you’re not a U.S. firm), the sales tax is included in the amount of the payment in QuickBooks. For example, with an invoice for $100, a payment amount of $108.875 is listed, with the sales tax included.

How to match the QuickBooks AST with the sales tax on TaxDome

With the QuickBooks AST feature, sales tax is computed automatically on the sales transaction based on the shipping address and the location of the company rather than you having to apply sales tax manually. To make sure that the AST amount in QuickBooks matches the sales tax indicated in your TaxDome invoices:

1. Check the AST amount in QuickBooks by clicking on See the math link in the invoice details.

2. Indicate this amount as your default tax rate in TaxDome by going to Settings > Invoice from the left menu bar. This can be done only by a firm owner or admin.

You have the option to set up the tax rate manually for every invoice you create on TaxDome. If the tax rate indicated doesn’t match the AST amount on QuickBooks, it will be calculated according to the data entered on TaxDome. For example, even if your AST amount in QuickBooks is $8.875, but you have a $100 invoice with a sales tax of $3 on TaxDome, the $100 invoice will have a $3 tax amount on QuickBooks.