Answer 1: If the customer is paying the fee, yes it is taxable income
You’ll have to create an income account and a service item for your convenience fee. Then, add it as a new line item to your transaction to make it taxable. Let me walk you through how.
Resolution for 'convenience fees issue: 'Are convenience fees taxable?' available: Yes.
The convenience fees 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 convenience fees issue yourself by looking for a resolution described in the article. If it is a complex convenience fees issue or you are unable to solve the issue, you may contact us by clicking here or by using other convenience fees support options.
For more information about resolving issues related to convenience fees in Quickbooks/QBO or to get support for the issue 'Are convenience fees taxable?', click the link below: