> For the complete documentation index, see [llms.txt](https://learn.withessential.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://learn.withessential.com/revenue/invoices/run-the-tax-remittance-report.md).

# Run the Tax Remittance Report

The Tax Remittance Report shows sales tax recognized on your selected reporting basis, broken down by jurisdiction, so you can see what to remit. Open it from the Invoices page by clicking the Tax Report button at the top right, which opens the Tax Remittance Report window.

At the top, click **Date range** and pick the period you want to review: click the first day, then the last day, on the calendar (or type them in **Start date** and **End date**). The report defaults to the last six months ending today, and the end date can't be earlier than the start date. The date range is interpreted in your business's time zone. The report updates once both days are picked.

Each row is a jurisdiction and shows its rate (as a percentage), total sales, the taxable amount, and the tax for that jurisdiction — labeled **Tax recognized** if your sales-tax setting uses an accrual basis or **Tax collected** on a cash basis. The first column names the jurisdiction, including its state where one applies. The Agency / Level column shows the collecting agency for your manual rates and the jurisdiction level (state, county, district) for Stripe-calculated tax — one period can contain both when your business uses manual rates alongside automatic sales tax. A line above the table restates the date range you selected and shows whether the report is on a Cash or Accrual basis.

**Total Sales** is the sales before tax, after discounts, on every invoice that charged that jurisdiction's tax — including the invoice's non-taxable items. Taxable Amount is the part of those sales that was taxed. An invoice taxed by more than one jurisdiction (for example state and county) counts in each of those rows.

For Washington automatic sales tax, the report shows state tax separately and groups verified local tax by the four-digit Washington DOR location code. Stripe's city, county, and district components are combined into that local row when the saved address and tax quarter match a verified DOR lookup. The taxable sale is counted once in that local row. Different rates or location codes appear separately, including when your date range spans a rate change.

If a location cannot be verified, the report lists the invoices that need review. Their tax stays included in the totals, with the available breakdown. Older Stripe invoices may lack the saved address information needed to match a DOR code. Review the original service location before using those amounts to file; a mailing city alone does not determine the tax jurisdiction. A missing or inconsistent tax breakdown appears as **Unallocated tax**.

The report uses saved invoice taxes and previously verified locations. Opening it does not request new tax calculations or change an invoice's tax.

A **Total** row at the bottom of the table lines up with the columns: total sales, taxable amount, and the grand total of tax across all jurisdictions in the range. In that row each sale counts once, so when a sale is taxed by more than one jurisdiction the totals are less than adding up the rows, and Total Sales also includes invoices that charged no tax. Hover over **Total** for a reminder. Like tax, the sales figures follow your reporting basis: on a cash basis they count the share of each invoice collected in the range. If there's no tax in the period, the report shows "No tax in this period." When that period still had sales that weren't taxed, the Total row stays and shows them. Click Close when you're done.

> **Where to find it:** Invoices page > Tax Report button (top right) > Tax Remittance Report modal

Choose the basis in **Settings → Quotes & Invoices → Sales Tax → Sales tax reporting basis**, then select **Save**. Cash basis includes proportional tax from successful payments in the period, including partial payments. Accrual basis includes the full tax of every sent invoice by invoice date, including invoices you later mark as uncollectible. The selected basis applies to historical reports too; it does not change your accounting integration's method. See [Sales tax settings](/administration/settings/sales-tax.md).

## Written-off invoices on the accrual basis

Marking an invoice as uncollectible doesn't change the period it was invoiced in. Instead, the unpaid share of its sales, taxable amount, and tax is subtracted in the period you wrote it off — the same amounts as the bad-debt entry in your accounting. For example, a $1,000 invoice with $80 of tax that was half paid in September and written off in October still shows $80 of tax in September, and -$40 in October.

If a written-off invoice becomes collectible again — a payment arrives on it, or a payment made before the write-off fails — the write-off is reversed and the same amounts are added back in the period of the reversal. Earlier periods don't change.

One exception: if no accounting integration was connected and verified when you wrote the invoice off, a payment that reopens it cancels the write-off instead of reversing it. The adjustment then disappears from the write-off period, and nothing is added back in the period of the payment. If you already filed the write-off period with that adjustment, add the recovered tax to the period the payment arrived in.

These adjustments are already included in the jurisdiction rows and totals. When the range has any, a **Bad-debt adjustments** table below the totals lists each one: the invoice, **Bad-debt write-off** or **Write-off reversed**, its date, and its total sales, taxable amount, and tax. Select an invoice number to open that invoice.

Write-off adjustments come from the bad-debt entries Essential records when your accounting method is accrual. If your accounting method is cash, writing off an invoice doesn't add an adjustment, and its full tax stays in the period it was invoiced. See [Mark an invoice as uncollectible](/revenue/invoices/mark-an-invoice-as-uncollectible-write-off-the-balance.md).

## Sales paid in trade

If your business records payments in goods, services, or gift cards with a payment method marked **Customers pay with goods or services (barter / trade)** (see [Customize manual payment methods](/administration/settings/customize-manual-payment-methods.md#mark-a-method-as-paid-in-goods-or-services)), a **Paid in trade** row appears under **Total**. It shows the part of the Total Sales, Taxable Amount, and tax that was settled in trade. On a cash basis the rest of the Total was paid in money. On an accrual basis the rest of the Total is money payments, amounts still open, and any bad-debt adjustments: a write-off or its reversal is never part of the trade row. There is one trade row for the whole report, not one per jurisdiction. Hover over **Paid in trade** for a reminder of what it covers.

* **Cash basis:** the sales and tax collected through trade payments in the date range, less any trade payment reversed (for example with **Mark as Unpaid**) or refunded in the range. A trade payment reversed in this range can make the row negative, and a money payment reversed in this range can make it larger than the Total. Neither is an error: each period shows what happened in it.
* **Accrual basis:** the row reads **Paid in trade, as of** today's date. For the invoices dated in the range, it shows the share settled by trade payments recorded so far, including trade received after the range ended, less any trade payment reversed since. A December invoice paid in trade in January therefore appears in December's report once the trade is recorded, and the amount can change if you run the report again later. A trade refund is subtracted in the range it was made, as the Total subtracts it: a March refund of a February barter invoice lowers March's row, not February's. An invoice you later write off keeps its trade share in its own invoice-date range, like its tax; the write-off of the unpaid rest appears only under **Bad-debt adjustments** (see [Written-off invoices on the accrual basis](#written-off-invoices-on-the-accrual-basis)).

Each invoice's tax is split across all of its payments in proportion. If a partner paid $1,000 in gift cards and $80 in cash toward a $1,000 sale with $80 tax, the trade row shows $925.93 of sales and $74.07 of tax, even though the cash covered the tax.

To see the invoices behind the row, select **Export barter invoices** at the bottom of the report. The CSV lists each invoice with trade in the row: invoice number, invoice date, customer, trade payment dates, trade reversal and refund dates, trade amount, tax share, amount excluding tax, the invoice's total tax, and the tax share for each tax on the invoice, named by agency or jurisdiction as it appears on the invoice. An invoice whose only trade activity in the range was a reversal or refund has no trade payment date; its reversal and refund dates show when it happened, and its amounts are negative. The invoice total tax shows when the tax was mostly paid in money. Text that a spreadsheet could read as a formula, such as a customer name that starts with **=**, starts with an apostrophe in the export.

## Related guides

* [Add a line item to an invoice](/revenue/invoices/add-a-line-item-to-an-invoice.md)
* [Read the aging report on the Invoices page](/revenue/invoices/read-the-aging-report-on-the-invoices-page.md)
* [Accept barter or trade as payment](/revenue/invoices/accept-barter-or-trade-as-payment.md)


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