QuickBooks – Using a Discount Type Item On Sales Forms

 

  • In QuickBooks an item needs to be setup in the Item List for each product you sell or services you provide. You also need to setup separate items for things like partial payment, other charges, discount, sales tax, etc.
  • So anything that goes on a sales form need to be setup as an item and should have an account associated with it. In this particular article we will learn how to use a Discount type item on sales forms.
  • You can create Discount items in QuickBooks within the Item List to discount the line item that was entered immediately above the Discount line item within a sales form.
  • In the screenshot mentioned below I have created an invoice with 2 different items. The first item on my invoice is Ball with a price of $3 each and 10 in quantity.
  • My second item on the invoice is Bat with a price of $12 each and 10 in quantity. As per my terms and conditions with the customer, I am supposed to give 10% discount only on the second item which is Bat.
  • In order to do so I will select the discount item right underneath the item I want to give discount on. Now if I look at my invoice, the 10% discount got applied to the item which was entered immediately above the Discount line item.

 
QuickBooks Company File

 

  • Using Discount item in conjunction with the ‘Subtotal’ item:-You can create Discount items in QuickBooks within the Item List to discount the line item that was entered immediately above the “Discount” line item within a sales form.
  • If you use a discount item in an invoice, it applies the discount to the line item amount directly above it, but does not affect any other line items previously entered.
  • Therefore, this item is often used in conjunction with the “Subtotal” item in sales forms. For example, you can place the subtotal item underneath a list of line items within an invoice to get a subtotal amount, and then place the discount item under the subtotal item to remove the amount or percentage specified by the discount item from the subtotal.
  • In the screenshot mentioned below I have created an invoice with 2 different items.The first item on my invoice is Ball with a price of $3 each and 10 in quantity.
  • My second item on the invoice is Bat with a price of $12 each and 10 in quantity. As per my terms and conditions with the customer, I need to give 10% discount on all the items in my invoice.
  • In order to do so I will place the Subtotal item underneath a list of line items within an invoice to get a subtotal amount, and then place the discount item under the subtotal item to remove the amount or percentage specified by the discount item from the subtotal.
  • Now if I look at my invoice, the 10% discount got applied to both the items which were entered above the Subtotal line item.

 
QuickBooks Invoice
 

Note:-

Do not use this item type for an early payment discount.
 

Kristin is a content strategist at Techarex Networks. Kristin follows the B2B technology space closely and loves to write on the latest changes in technology, futuretech and fixes for day to day how to issues. Besides writing Kristin also loves music, moves and skating.

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