QB Issue Resolution:

If the 6.35 percent is a fee which seller charges when purchasing the services or goods then it’s a sales tax. But if it’s a percentage for additional income then it’s a state tax.

You’ll then need to categorize it depending on which it fits, here’s how:

  1. Go to Transactions.
  2. Select the type of transaction.
  3. If auto-categorization is incorrect then choose the right category by clicking the transaction under Category section.
  4. On the Search engine look for the applicable category.

I’ve added some screenshots below in case you’ll need a visual reference.

You can also check this helpful article: Schedule C: Taxes and licenses.

Resolution for Issue 'in ct we pay 6.35 percent tax of all income to the state its also called sales tax what catagory do i put that in state tax or sales tax' available: Yes (Solved).
Source: Intuit Community forum.

in ct we pay 6.35 percent tax of all income to the state its also called sales tax what catagory do i put that in state tax or sales tax: this issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the issue yourself by looking for a resolution described below. If it is a complex issue or you are unable to solve the issue, you may contact us by clicking here or by using other support options.

Support for Sales Tax
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Error Recovery for Sales Tax [Canada]
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