How to Add Sales Tax (HST) Code by Province in QBO

A step-by-step guide to setting up sales tax codes by province in QuickBooks Online, using Ontario's HST as the example. Learn where to find the tax settings and how to configure them for your business location.
In this quick video I am going to show you how to add the sales tax codes for different provinces in QuickBooks Online. So first of all you are going to go to sales tax on the left hand side, click on that and then you will click on this Manage Sales tax on the top right. And from here you will see the rates that you already have. This is for a business in Quebec, so you'll see that they have all of the Quebec rates indicated here. However, a sale has been made to a customer in Ontario and because CRA requires that sales taxes be charged based on the location of the customer, we are going to have to charge that Ontario customer HST at 13%. So in order to add that, we are simply going to click on Add Tax, start tracking in a new province, click on Add and then you will choose your province or territory and in this case it's going to be Ontario. And you'll notice that all, all of the provinces are available here from the drop down. So depending on where your customer is located, you would add the relevant province. Okay, so now that I've added Ontario, I'm going to simply click on add and you'll see that it now shows up here as one of the available options. Click on Done. And then to make sure that it is available, let's click on +new. I am going to create an invoice and from the invoice you are going to select your customer, the invoice date, etc. The product service. And so let's just select services from this dropdown and I am going to put $1,200 as the amount. And now from the drop down can see that HST Ontario is available. I'll click on that and then it just gives me the total of $1356. So that's it. That and note that this code will be available on all transaction types. So bills, expenses, invoices, journal entries, etc. I hope this was helpful. If you have any questions, please please leave a comment and I'll try my best to answer it. And please like and subscribe.










