Why is there such a huge discrepancy between Intuit Self Employed Quickbooks in terms of quarterly tax calculations and what actual 2023 Tax law is?
I use Intuit Self Employed Quickbooks, had a CPA review my books and there was a >$25,000 discrepancy in what I owed in federal quarterly taxes.
One issue is the software still uses the 2022 100% meal coverage law.
What will Intuit due to reconcile these discrepancies?
Had I not had a CPA review my books I would have had sticker shock in April 2024.
Hi @tayloredurogyn we see each other again!
There's a couple factors that need to be considered and may affect the outcome.
Also I would like to understand, what caused the discrepancy? What changed?
I'm an Enrolled Agent, but I'm an Accountant/Bookkeeper as well. I do know that for meals (bookkeeping wise) there's no adjustment for the 50% allowable.
I suggest that you may want to contact Quickbooks if you still feel that the calculations are off. Also I would suggest to have the CPA to set up your accounts (or review them) to make sure that they are using the right settings.
Here's an article I found from QBs: Automatically estimate your income tax in QuickBooks Self-Employed
Feel free to post any additional questions you may have.
Hi there:
I believe Quickbooks quarterly calculation to accurate. However it is dependent on accurate bookkeeping entries, which includes designating meals as 100%, 50% or 0% deductible. Customer service at Quickbooks will be able to guide you through proper setup.