QuickBooks integration (Advanced): Send tax amounts to QuickBooks

For U.S. firms, QuickBooks displays sales tax for TaxDome invoices separately, using an Automated Sales Tax (AST) engine. For other firms, the sales tax is included in the payment amount in QuickBooks.

Match QuickBooks AST with sales tax (for U.S. firms)

For U.S. firms, with the QuickBooks AST feature, sales tax is computed automatically on the sales transaction based on the shipping address and the company's location rather than manually applying sales tax. 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  See the math in the invoice details.

2. Indicate this amount as your default tax rate in TaxDome by going to Settings > Billing to Invoices subtab from the sidebar menu and saving the changes. This can be done only by a firm owner or admin.

This way, when you create a $100 invoice in TaxDome and the default tax rate is 9.5%, the taxable subtotal in QuickBooks will be $100, the tax rate will be $9.50, and the total will be $109.50.

Set up tax rate manually

You also have the option to manually set up the tax rate 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 tax rate entered on TaxDome. 

For example, if your AST amount in QuickBooks is $8.875, but you have a $100 invoice with a sales tax of $9.50 on TaxDome, the $100 invoice will have a $9.50 tax rate on QuickBooks.

Sales tax amount for non-U.S. firms

For firms outside the U.S. and firms that didn't set up the tax rate in QuickBooks,  sales tax is included in payments rather than invoices and is included in the total amount received. In the QuickBooks invoice, sales tax is not reflected in such cases.

For example, if you issue a £100 invoice with £5 tax in TaxDome, the amount received in the QuickBooks payment amount will be £105 after the invoice is paid.