Manual Sales Tax (For QuickBooks accounts before November 10th, 2017):
In this version of QuickBooks Online, you have to set up a Manual Sales Tax in QuickBooks. This gets synced over to EZRentOut as a line item.
In EZRentOut, tax rates are defined under Settings → Company Settings → Policy → Tax Details. In order to successfully sync taxes from QuickBooks to EZRentOut, the Tax Name and Rate must match on both the platforms. Here’s how a 10% Federal Tax would look in EZRentOut:
And here’s the same tax in QuickBooks:
This is the old way QuickBooks Online handled Sales Tax. You can also use the newer functionality described below if you’ve enabled Automated Sales Tax.
Automated Sales Tax (For QuickBooks accounts after November 10th, 2017):
This version of QuickBooks Online enables the Automated Sales Tax functionality by default for you. This tax gets synced over to EZRentOut as a line item.
The tax is automatically calculated using the source address (meaning the company’s address), the destination address (meaning the shipping location of the customer in EZRentOut), and the Sales Tax category of the item.
This is how the ‘destination address’ is mapped between QuickBooks and EZRentOut.
Here it is in EZRentOut:
And here’s the same address in QuickBooks:
To start syncing over these details, you would first have to create an applicable tax agency. To do this, go to your QuickBooks account and click Taxes → Set Up Sales Tax → Add Agency (as shown below). This is required before your tax can be automatically generated.
And with this, your tax can be synced between QuickBooks and EZRentOut. For more information on how QuickBooks Online calculates Sales Tax, as well as details on how to set it up, click here.
For a full breakdown of syncing taxes from QuickBooks Online to EZRentOut, read our main guide here.