Sales Taxes Payable - ENGAGE CPAs

We talked all about the big headings, assets, liabilities, equity, but let's break those down a little further. We're going to dive into some accounts, let's talk about the liability account SALES TAXES PAYABLE.
Definition You Need to Know: Amounts collected from customers at the time of a sale, that have not yet been paid to the government. Depending on the frequency of remittance sometimes sales taxes will accumulate for months before needing to be paid to the various governments. And this account allows you to better understand what payments are due so that you can ensure that you have the cash to cover them.
You sell an item for $1,000 and collect 8% sales tax on the item because you're in Philly. You'll record the $1,080 deposit as $1,000 of income, $80 to SALES TAXES PAYABLE (on your balance sheet) so that you know that next month you need to pay PA/Philadelphia the $80 in sales tax that you collected on their behalf. You should not pay income tax on the $1,080 because $80 of it wasn't yours to keep, but you also need to make sure you send them the $80 that you collected because you can get in really big trouble if you keep that $80 for yourself.
Where are they on my financials? Sales Taxes Payable is a liability that shows up on the balance sheet.