You can configure how TaxCloud shows sales tax on your QuickBooks Online invoices and other documents using the Sales Tax Display Mode setting. This controls whether TaxCloud adds a separate tax line for each item or a single combined tax line.

Display Modes

There are two display modes available in the TaxCloud–QuickBooks Online integration settings:

1. Combined Tax Line Items (Default)
   • Consolidates all calculated taxes into a single line item.
   • Benefit: A simplified invoice layout.
   • Result: Adds only one tax line item to the invoice, regardless of the number of products.
2. Individual Tax Line Items
   • Creates a standalone tax line item for each original line item on the invoice.
   • Benefit: Improved transparency regarding tax rates for specific items.
   • Result: Doubles the total number of line items on the invoice.

How to Configure Sales Tax Display Mode

1. Log in to your TaxCloud account.
2. Navigate to the integration connection for QuickBooks Online.
3. Click on the Settings tab.
4. Locate the Sales Tax Display Mode section.
5. Select your preferred option:
   • Click Individual Tax Line Items for detailed reporting.
   • Click Combined Tax Line Items for a simplified total.
6. The settings save automatically or upon confirmation.

Common Questions

Can I change this setting later? Yes. You can toggle between these settings at any time in the integration settings menu in TaxCloud.

Does this affect how tax is calculated? No. This setting only controls the display of the tax on the invoice (separate lines vs. one total line). The total tax amount calculated remains the same.