Does the tax on a purchase (HST) get accounted for when the owner purchases something using personal funds?

Hi there chris107,

It's essential that your transactions have the right tax code associated to them in order for the correct tax amount to be calculated on your transactions. QuickBooks Online is a great tool that allows you to add a different tax code for each line of a transaction so that you can have the correct amount of tax calculated for your tax returns. I can point you in the right direction for assistance in choosing the right tax code for your transaction.

In order to know if a tax code needs to be added for an expense made by the owner of your business whit their personal funds, I recommend reaching out to your accountant. They'll be able to give you information on if this transaction should be taxable in order for it to correctly be entered in your books. You can add your accountant to your QuickBooks Online account in order to have them view your books in the My accountant tab. You can also find a local accountant with experience using QuickBooks Online by clicking on the Find a pro to help button.

If you have any other questions, feel free to reach out here.