This topic was written to help you understand how to enter outstanding sales tax liability balances into Total Office Manager. This work will help assure that Total Office Manager’s related reports and lists are up-to-date and current as of your company’s start date.
To enter the beginning balances for your Sales Tax venues, you will need to enter a Sales Tax Liability Adjustment.
- Run your Sales Tax Liability Report from your current software program. This report needs to run for the calendar year (1/1/xx to 12/31/xx) up to the day prior to your “Go Live” date.
- In Total Office Manager, open the Sales Tax Liability Adjustments form located under Customers | Sales Tax | Sales Tax Liability Adjustments. You may also review and add new adjustments from the Journal Entry List.
¡TIP¡ Create yourself a filter for Sales Tax equal Yes. This will help quickly isolate all adjustments to your sales tax items.
- Enter the Date that the adjustment is being made. This should be the day prior to your “Go Live” date.
- The Entry # is automatically populated. You can change this at your discretion.
- Select the Vendor that your Sales Tax is paid to.
- Select the Sales Tax Item that you are entering the beginning balance for.
- Select the Opening Balance Equity in the Adjustment Account. *** If you do not see this account, you may need to disable your Smart Account Selection Filter in your Main Chart of Account Preferences. ***
- Select the radio button to enter Increase or Decrease for the Sales Tax Item.
- Enter in the Amount of the adjustment. This entry should be positive and the radio selection above will properly record the balance entry.
- In the Memo, enter a description for the purpose of the Sales Tax Adjustment.
- Rerun the your Sales Tax Liability Report from your current software program and Total Office Manager as of the same reporting period. When entered correctly, these two reports will match.