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katelynner
Community Manager
September 16, 2025
Question

The Answer Room - A Simple Guide to Sales Tax in QuickBooks Online

  • September 16, 2025
  • 1 reply
  • 47 views

Ready to unravel the complexities of sales tax? Tune in to the latest episode of the Answer Room below, where we'll walk you through everything you need to know. We'll cover the essentials, like understanding what sales tax is and who's required to collect it. You'll also learn how to seamlessly track sales tax within QuickBooks Online and get answers to all your pressing questions. Don't miss this opportunity to master your sales tax processes.

 

 

 

 

 

1 reply

Service
September 26, 2025

Want to know what would be a nice addition to receipts that have automatic sales tax added? Telling me which city it chose as the automatic sales tax rate. 

QuickBooks Team
September 26, 2025

That's a great idea, @Service. Displaying the city used for the sales tax calculation on the receipt would add clarity.

 

Currently, QuickBooks Online's automatic sales tax feature is designed to simplify the process by calculating the correct tax rate based on the ship-to address provided. While the total sales tax rate is automatically applied, we can easily access a detailed breakdown of its components (state, county, city, etc.) with just one click.

 

Here's how to access the detailed tax breakdown on a sales form:

 

  1. Open your invoice or sales receipt.
  2. Locate the sales tax line.
  3. Click on the hyperlink that says "See the math" under the tax amount.

 

A small window will pop up displaying the breakdown of the sales tax, including the state, county, and city tax percentages and amounts.

 

If you have any further questions or require additional assistance, please add a comment below. We're here to assist you.