You must specify a Sales Tax Item for Tax zone errorLast updated on 02/22/2022
This article explains why a user is getting the error “You must specify a Sales Tax Item for Tax zone” and the steps they need to take to resolve the error so they can export.
The user receives the “You must specify a Sales Tax Item for Tax zone” error and cannot export. This error is most often encountered when a customer does have tax zones set up in ServiceTitan or, have not designated a tax zone on an invoice for a variety of reasons.
Create the Tax Zone in ServiceTitan
In ServiceTitan, go to the navigation bar and click Settings. In the side panel, click Invoicing > Tax Zones
Click Add Tax Zone
In the Sales Tax Item field enter “ST Sales Tax”
Note: be sure to spell this exactly.
Create the liability account in Quickbooks
In QuickBooks, create a new GL Account with the type Other Current Liability and name it Sales Tax Payable - ST:
Under Your Company, pick Chart of Accounts.
Click Other Account Type > Other Current Liability
Name the account "Sales Tax Payable - ST" > click Save & Close.
Add an Item type Service with the name ST Sales Tax.
Click Items & Services > New.
Map to newly created GL account Sales Tax Payable - ST
Set the Account of the item as Sales Tax Payable - ST.
Return to the Accounting Tab in ServiceTitan > enter the batch number in the search field > Click on Batched > Right Click anywhere on the screen > Click Reload (this will hard refresh the page) > Re-export the Batch.
Important note: Some features may not be currently included in your account and additional configuration may be required. Please contact technical support for details.