Great suggestion there, thanks! I went ahead and created a new expense account to use as the "new" sales tax paid account. I also set it as the default linked account for "sales tax paid". Not too sure if this is necessary or not, but sounded right.
Then I went into my tax settings and under HST, set the "sales tax paid" option to the new "sales tax paid 2B" account.
Then I went and created a dummy purchase payment to see if the sales tax paid in the new "sales tax paid 2B" account would be shown on the balance sheet. The bad news is that "sales tax paid 2B" does not show on the balance sheet. It still only lists "sales tax paid 2". The good news is that when I go into the journal, that transaction had allotted the correct tax amount to "sales tax paid 2B". I just have no idea how to get it to show up on the balance sheet.
If I run an income statement, "sales tax paid 2B" shows up with an amount of $11.50. However all the other tax paid totals for my "sales tax paid 2" account doesn't show up in the income statement (not too sure if it would though given that it's a liability account).
A workaround to having the balance sheet continue to maintain my sales tax paid numbers under the "sales tax paid 2" account is so go into the journal and manually edit the accounts for that transaction and choose "sales tax paid 2" for the tax portion. When I do that it adds that tax total to the running total of HST paid and shows up correctly in the balance sheet. But there has to be an explanation to this because NCH changed the ability to use liability accounts for sales tax paid. The older version set up my sales tax paid account as a liability and the new version will only let me choose an expense account now so it stops calculating and I can't seem to find a way to have an new expense account as a 'sales tax paid' account show up in the balance sheet. Ahhh...
Again, thank you very much for your insight. Although it's not 100% solved I do feel like we're making some headway here and I'm getting a better understanding of things.
Cheers.
N_C_H_OMG wrote:
You're welcome. I'm new to Express Accounts, so not sure about how it'd behave when an account is switched from Liability to Expense. But, if you have past entries for 'Sales tax paid 2' as Liability, I recommend do NOT delete or change anything with it. This may corrupt your balance-sheet and statements. Instead, I suggest create a new account, let's say, 'Sales tax paid 2B' as an Expense account in your charts of account, link it to a tax rate in Options, and experiment how it behaves with new transactions, and how it shows up in balance-sheet, journal and income statement. Please let me know how it goes. Thanks.
