A discount item applies a discount (a percentage or a fixed amount) to the
preceding line on a sales form.
Do not use a discount item for early payment. You can have QuickBooks calculate these discounts for you when you receive payments from customers.
About applying a discount to more than one item
If you are applying a percentage discount to
more than one item, you must first use a subtotal item and then apply the
discount to the subtotal.
About using price levels to set custom pricing for customers or jobs
If you want to set custom pricing for particular customers or jobs, you might want to use a price level instead of a discount item.
Important: Once you create a discount item, you cannot change it to another type.
To do this task
Go to the Lists menu and click Item
Click Item at the bottom of the list and then click
In the New Item window, click the Type
drop-down arrow and then click Discount.
Enter an item name, such as Discount.
Enter the Description that you want QuickBooks
to put on your sales forms when you apply the discount.
If the discount is a percentage, enter the number of the discount followed
by the % symbol. For example, 5% tells QuickBooks to multiply the previous
line by .05.
If your discount amounts vary, you may want to leave the Amount
or % field blank and enter the amount directly on your sales
Click the Account drop-down arrow and then click
the income account you want to use to track discounts you give to customers.
When an income account
tracks discounts on sales, the account is often called a "contra-income"
Click the Tax Code drop-down arrow and choose a
tax code for this item.
If you select a taxable code, the discount you specify on taxable sales
is applied before the sales tax is calculated. If you select a non-taxable
code, the discount is applied after the tax is calculated.
Click OK or click Next
to create another item.
Troubleshooting item problems