With Hurdlr's invoicing feature, you can easily collect sales tax directly through your invoices and have records of the sales tax you’ve collected.
To Add Sales Tax to an Invoice:
Create your invoice by following the steps here
While adding an ‘Item’
Click ‘Add Tax’
Enter your desired tax rate
Click ‘Save’
Your sales tax will be calculated automatically for that item based on the percentage you entered
Since some line items may not be subject to sales tax or may be subject to different sales tax rates, Hurdlr lets you customize the sales tax per line item.
Tracking Sales Tax Payable
Once you send the invoice, the credit to Sales Tax Payable will be automatically recorded in the General Ledger and reflected in the Chart of Accounts. This allows you to easily track your Sales Tax Payable balance at any time.
When you make sales tax payments, you can tag the expense transactions to the ‘Sales Tax Payable’ expense category, which will update the balance in your Chart of Accounts.