Manually Adjusting an Already Filed GST/HST Report
Last quarter I had a credit on HST and I filled the tax return as it showed me in the Sales Tax report.
After I filled , some stuff was changed by mistake in QuickBooks and my Sales Tax credit was more that what I had submitted. - Line 103 was lowered and line 106 was increased making a discrepancy.
So, I clicked file tax return and adjusted the lines that showed a discrepancy - now it is perfectly matching but its affecting this quarter.
in Line 103 DR Sales and CR HST Payable
in line 106 DR Other Expenses and CR HST Payable
Now the problem is that it increased my sales by the amount on my adjustment of line 103 this quarter.
Did I DR and CR the wrong accounts ?
Is there a better way to do this without affecting the quarter?
So first things first ... after filing a report with a government agency, I always, Always, ALWAYS close the period in QuickBooks
so no changes can be made. (I will say I did forget to file a period in QuickBooks once that I had filed with CRA ... and it created problems for the next two CRA fillings ... and prompted a review by CRA.)
I'm guessing you didn't do that.
If you had left everything alone, the next time you filed your sales tax report, the software is smart and would have included your "missed" entries from the prior period. The numbers would have shown up in the balance carry forward of the report.
When you are in the GST Payable register, you can see a column called "Filed Date". If it is blank, the transaction has yet to be included in a sales tax report. If it has been reported, you will see the date of the report when it was filed. Check your file to see this.
If it were me, I would delete your adjusting entries and then file my next sales tax return. Once you've filed the return, the prior period items should now have a "Filed Date".
These two forum post might help you:GST Filing in QuickBooksLate Filing of Prior Periods in GST/HST
Also, best practice is to close the period in QuickBooks once you have filed any kind of government report ... then back it up, label it, and file it under permanent backup copies ... so if you are audited, you have a copy of what the books looked like at that point in time.
Also make sure you keep a printed (on paper or pdf) copy of the detailed sales report as it shows all the transactions included in the report.P.S. I would like to remind you there is a difference between information and advice. The general information provided in this post or on my site should not be construed as advice. You should not act or rely on this information without engaging professional advice specific to your situation prior to using this site content for any reason whatsoever.