I add a payment to a customer and assign it to accounts receivable QB askes for a tax code. I have tried 0 rate and then i get an error saying you cannot track tax

Hello there, Loubie51.

I would like to provide some clarifications about assigning a VAT/GST code to your transactions in QuickBooks Online (QBO).

In QBO, tax codes are assigned to the line items on an invoice for the sale itself, not to the payment. It’s important to note that you can't utilize Accounts Receivable accounts for this purpose, as they are designed to track money owed to you.

To ensure proper tax application, you will need to create an invoice in QBO. After creating the invoice, you can then record the payment against it.

If you have any further questions or concerns about QBO, please feel free to reach out. I'm here to help. Have a great day!