# Information on why negative tax amounts may appear on your location reports

Stripe Tax’s location reports will report refunds and other negative adjustments in the period in which they occur. Sometimes there are not enough sales in the location in the current period to offset the refunds or other negative amounts that occur in the same period. This causes the location report to have a net negative total balance for the period.
Let's walk through an example: One of your customers purchases an item and pays $25 of tax on that order in January. This $25 of tax is included on your January return (filed in February) and is remitted to the state. That same customer then returns that item in April and you now have "negative" $25 of tax applied to the April period. However, you don't have any sales in this particular location in April, so your report reflects a negative $25 of tax at the close of the April period.
Some states allow taxpayers to report negative subtotals on the return. However, many do not and this can cause issues when you file your return. For this reason, **we recommend that you reach out to the taxing authority or a sales tax expert for guidance on how to accurately file your returns and reclaim any tax previously remitted to the state.**
