QuickBooks Payroll Tax Adjustment

Adjusting TAX In QuickBooks Payroll

There might be various reasons why you need to perform QuickBooks Payroll Tax Adjustment including Payroll Credits, Late Filings, Penalty & Interest, and others. In this article, we have explained how to do QuickBooks Payroll tax adjustment to correct an employee’s year-to-date information for flat rate taxes such as Social Security, Local Taxes , SUI, FUTA, and Medicare .

Start Adjust TAX QB Payroll

Even connect now QuickBooks Payroll Support team to discuss about tax liability and State tax provisions .

Perform the Given Instructions Accordingly:

Total Time: 10 minutes

  1. Customize Report

    πŸ’  Open Payroll Detail Review report.
    πŸ’  Now, you will need to customize the report to show only the affected tax items, date, and employees.
    πŸ’  Click on Customize Report > Display tab.
    πŸ’  Drop down the list and choose the date range or fill in the Form and dates.
    πŸ’  Click on the Filters tab and select the particular item(s) from the list that you need to display.
    πŸ’  For specific employees, select the employee name from the list then check-mark on it.
    πŸ’  To display exact list of tax items or payroll items, select the payroll item(s) from the filter list.

  2. Verify Tax Amount

    πŸ’  Verify that the tax amounts are correctly calculated based on tax rate and wage limit.
    πŸ’  Check whether the employee had achieved the wage base limit. When this happens, QuickBooks stops to calculate the tax amounts.
    πŸ’  In order to confirm reported taxes are accurate based on wage base, you can multiply the amount of wage base with the assigned rate.
    πŸ’  Go through the report and decide whether you want to increase or decrease the income subject to tax, tax amount, and wage base, and by what amount.
    πŸ’  Apply the positive value if you want to add income subject to tax, tax amount and wage base.
    πŸ’  Apply the negative value if you want to reduce income subject to tax, tax amount and wage base.

  3. Adjusting Payroll Tax

    πŸ’  Click on Employees then select Payroll Taxes and Liabilities
    πŸ’  Open to Adjust Payroll Liabilities.
    πŸ’  On Liability Adjustment Window, choose the accurate Effective Date. (It has to be the last day of affected quarter or current date.
    πŸ’  Click on Employee Adjustment.
    πŸ’  Drop down and choose the affected employee from the list.
    πŸ’  From Taxes and Liabilities, click on the Item Name column and choose the tax item or payroll that needs adjustment.
    πŸ’  Enter the correct amount in the corresponding column (positive to increase or negative to decrease).
    πŸ’  Note the reason for adjustment in the Memo column.
    πŸ’  Click on Accounts Affected.
    πŸ’  Check mark on β€œDo not affect…” or β€œAffect liability…”
    πŸ’  Click on Next Adjustment tab if have to make more adjustment. If finished, click on OK to save the changes.
    πŸ’  Refresh Payroll Detail Review to confirm accuracy of the added adjustments.

Get Help Adjusting TAX Intuit QB Payroll

We hope the above information has proved useful to you. However, if you are still facing problems with your QuickBooks Payroll Tax Adjustment, then immediately give us a call on πŸ“ž or email us QBPayrollHelp. Our QuickBooks Payroll experts are standing by 24/7 to offer best QuickBooks related assistance in resolving all issues. You can also chat with us live via Live Chat Support available on QBPayrollHelp.

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