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How to enter estimated tax payments in QuickBooks?

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QuickBooks is a great software that can help you keep a record of your business-related transactions. Not to mention that you can always make quarterly estimated tax payments from there. Moreover, this accounting software package is manufactured and marketed by Intuit.

QuickBooks products are practically directed towards small businesses and at the same time, render on-premises accounting applications along with cloud-based versions that agree to business payments, take care of bills, and payroll functions.

What are the features of QuickBooks?

Thanks to Intuit for installing myriad QuickBooks web-based features. Some of these include-

 

  • Remote access competences
  • Remote payroll assistance as well as outsourcing
  • Electronic payment functions
  • Online banking & reconciliation
  • Astonishing e-mail functionality through Microsoft Outlook.

 

In the previous 2008 version, the company has also incorporated the features of import function from Excel spreadsheets, an additional feature of tracking employee time options, electronic funds pre-authorization, and new Help functions to ease the work. It was in 2007 that Intuit further declared that QuickBooks Enterprise Solutions would run on Linux servers, rather than requiring a Windows server to run like before.

What are the advantages of using QuickBooks?

 

QuickBooks is much acclaimed for its small business accounting solutions in the market. Mind-boggling for small businesses, QuickBooks is known to provide introductory accounting solutions with wholesome packages that further offer basic inventory management tools. Given below are points that further enlist a lot of advantages for using QuickBooks-

  • Convenient to use and perceive.
  • Works well with other systems and is quite flexible with 3rd party applications.
  • Helps provide good accounting reports.
  • Is at an affordable price. 
  • Quite easy to access from any device – phone, tablet, and computer (depending on the version). 
  • Very convenient to find and fix errors/mistakes. 
  • Manageable when it comes to looking up customer information.

 

Therefore, it would be even more convenient if you opt for a QBSE account. For more information, scroll through, know more.

 

For the first option,

  • Navigate to Taxes from the menu.
  • Mark the year.
  • Click on the Quarterly option.
  • Click on the quarter that you want to make the tax payment for.
  • Select find your estimated Tax Paymentsnext to don’t see your payments?
  • Select the tax payment option.
  • Click Mark as Tax Payment.

Second, select and go to the Transactions tab to ensure your business expenditure. Next, manually choose its category from Taxes & Licenses to Estimated Taxes.

Third, if you print a tax payment coupon, we will automatically select and match the spending transaction as and when it gives the same impression in our database. However, do keep in mind that we don’t consider estimated taxes as “paid” when you print them. 

What If you require to pay the taxes electronically?

 

If such is the case, you can always directly make payment to eftps.gov or into QBSE. The estimation of your taxes will appear on the Tax Summary and Tax Details reports. These won’t further appear on the Profit and Loss report.

Moreover, you may decline the QBO account after you’ve substantiated that QBSE suits your self-employed needs. This also makes sure that you won’t have any false subscription charges.

Steps to record paid Estimated Tax Payment in QuickBooks?

Given below is a well-curated list that gives you a proper estimate as to how you can record paid estimated tax payment in QuickBooks Services

 

  1. Open the Transactions menu.
  2. Choose Add transaction.
  3. Enter 04 2021 (date and fiscal year) quarterly federal payment in the description field.
  4. Click on Select Category, and then Taxes. Select a Tax category.
  5. Click on Save.

 

You can track the summary or details of tax to keep a check on your tax activities as well as information. To do that, all you got to do is click to Reports and choose any mentioned report. After you choose a tax year, click View.

 

Conclusion 

It’s about time that majority starts agreeing with the fact that QuickBooks is indeed a great introductory system for new and very small businesses. However, something that needs to be kept in mind while starting a business, is the need to recognize the importance of any software required to manage the business. 

For it often happens that the first software purchase is rather based around the need for managing accounting and financials. Once everything is thought through, QuickBooks appears as the most logical choice. Once your business starts growing and your needs are varied and much diversified, the limitations come to be known. Let’s, therefore, understand briefly the limitations of QuickBooks:

  1. Controlled reporting and transparency of your business health that is lack of custom reports.
  2. Twice the entry method and jarring errors across systems and departments.
  3. Problems with file size and data, and with the number of users.
  4. Generic and impersonal support.
  5. An independent application that is deprived of integration and automation between other systems. 

 

That’s all for QuickBooks Services. Hope to have helped in the best possible way!

 

 

 

 

 

 

 

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