Paying PST (QuickBooks 2008+)

1. Display a Balance Sheet (Reports > Company & Financial > Balance Sheet Standard) for the return-end date. The amount that shows for PST Payable will be the amount of the cheque before compensation
2. From the ‘Sales Tax’ menu, choose ‘File Sales Tax’
3. Select the ‘Tax Agency’ ‘Minister of Finance’
4. Verify that the remittance period is correct
5. Record PST Compensation (amount you keep).  Multiply line 2 by 5%, this is the adjustment amount (minimum $20 per return but can’t create refund, maximum $1,500 per year ended March 31st)
6. Click on the Sales Tax Line 5 Compensation, click the ‘Adjust Line 5’ box
• Adjustment date = reporting period end date
• The tax agency is Minister of Finance
• Sales tax Item is PST Compensation
• Adjustment account is PST compensation
• Enter adjustment amount (must be a positive number )
• Ensure ‘Increase Sales Tax Line is selected’
• Memo is PST compensation
7. Compare line 7 of the PST return to the PST Payable number on the balance sheet less the adjustment you just made (if not see Other Notes below)
8. Click ‘File Tax Return’
9. Click ‘Yes’ to print sales tax return
10. Click ‘Pay Now’ (QuickBooks creates a Vendor Bill) 

• From the ‘Pay Bills’ screen click the check box to the left of the Minister of Finance bill
• From the ‘Payment Account’ drop-down list, choose the chequing account you want to use
• Select the ‘Assign cheque No’ radio button. Enter the ‘payment date’. Ensure all of the information in the File Sales Tax window is correct, and click ‘Pay Selected bills’
• Enter the cheque No in the ‘Assign Cheque Numbers’ screen, click ‘OK’, click ‘Done’. QuickBooks has now created the cheque.
• Verify that the PST Payable account on the Balance Sheet is now $0 (or not showing at all).
• Complete the original Minister of Finance return with the amounts from the printout.  Include your payment with the return.