QB Issue Resolution:
Sales tax as the end user, for inventory, typically is not Expense for you but part of the cost of the inventory item. Think of it as “invested” in that material still on hand.
Resolution for Issue 'Sales Tax on Purchases – Expense vs COGS' available: Yes (Solved).
Source: Intuit Community forum.
Sales Tax on Purchases – Expense vs COGS: 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.
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Error Recovery for Inventory [Canada]
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