Error 12031 QuickBooks Handbook: Fix the Update (10 Solutions for ALL)

QuickBooks Error 12031 is a QuickBooks Error that can exist in your system when the user tries updating QuickBooks to its better-upgraded version and other payroll services updates. This glance at the error will not help you a lot so, we will be putting all the aspects of QuickBooks Error 12031 together in this article. But at first, what is this word ‘QuickBooks’ popping up and why is it used?

QuickBooks is accounting software that was created by Intuit in 2012 and is well-equipped with all the features that assist the users in their management and accounting work-operations. From small to medium-scale firms to start-ups, almost every management sector uses it at present. It easily tracks the reports of employees and clients, creates tax receipts and finance reports, and organizes other stocks and inventories. Also, along with the advanced features, it has an easily accessible user interface.

But being fully efficient is not possible for anyone, so is the case with QuickBooks. The users are irritated by its functioning when it comes to experiencing frequent bugs, errors, technical problems, etc. in the software. Today, we are going to give you a detailed look into one such QBs error: QuickBooks Error 12031. From its definition, reasons for existence to the solutions eradicating the error, this article includes every valuable error-related information. Let us start now and learn together.      

What is Quickbooks Error 12031?

Quickbooks Error 12031

QuickBooks Error 12031 falls under the 12000 series error that can come in the system when the user tries updating QuickBooks to its better-upgraded version and other payroll services updates. Also, when you try to refresh the QBs payroll services, update the QuickBooks software, and when there is a restriction in granting permission to the server due to timeout and other network issues, this error will exist in your software. Also, incomplete and wrong configuration settings unstable the security system set up and the firewall settings.

The SSL system setup being invalid is one such issue too. This error interrupts the workflow of the users and the servers’ host connection with Quickbooks. 

Existence of Error 12031 Quickbooks Update

There are different reasons for the existence of this error QuickBooks 12031 in the system. All such reasons are:  

  • Unstable and weak network and internet setup.
  • Internet Explorer not being the default browser.
  • Invalid SSL configuration and incorrect setup settings.
  • QBs’ work operations are restricted by the Firewall configuration setup.
  • Access to QuickBooks is hindered by third-party Antivirus apps. 
  • Malware attack and other threat activities.
  • The operations in the QuickBooks software are disabled by the network timeout error.

How to Repair Quickbooks Error 12031? 

Quickbooks Error 12031

The QuickBooks Update Error 12031 is fixed easily once you read out the solutions given below. These methods are quite easy to carry out by any user around the world. Read below for more.    

Solution 1: Stable Internet Connection Setup Use

  • The first step is to open the QuickBooks desktop software and from the left side pane of the software, navigate to the Help menu. 
  • Within the Help menu, choose the option named Internet Connection Setup.
  • After that, go to the option quoting “Use my computer’s Internet connection settings to establish a connection when this application accesses the Internet

Stable Internet Connection Setup

  • Lastly, hit on the Next option and then on the option Done to finish the setup. 

Stable Internet Connection Setup

Note: Also, every user must update the Quickbooks application to the latest release available if you have not updated it yet.

Solution 2: Check the Firewall Setup 

Check the Firewall Setup 

Firewall setup often hinders the proper functioning & operations of the software and interrupts the downloading process and the updating process. We advise you to modify the permission settings of the Firewall setup to diagnose the QuickBooks Error Code 12031 and other similar issues. Follow the steps below.

  • Go to the Start menu and tap on the Search Field and type up Firewall, and hit Enter.
  • After that, under the locator menu, select the option named Windows Firewall.
  • In the Firewall window, click on the option of Allow a Program or Feature
  • Now, hit on the option named Change Settings and a new window will appear on your screen.

Tick the boxes that will grant permissions to QuickBooks for the Firewall setup.

Solution 3: Rename the Network Data (.ND) File

Rename the Network Data (.ND) File

  • Search for the source folder of the company file. 
  • After that, look for the file name ending with the extension .nd (Network Data File).
  • Now, do a right-click on the Network Data file and click on Rename.
  • Rename it by adding old at the end of the file name such as usertaxreport.qbw.nd.old.

Solution 4: Using QuickBooks Connection Diagnostic Tool 

QuickBooks Connection Diagnostic Tool

  • Firstly, download the QuickBooks Connection Diagnostic Tool on your PC.
  • As it is downloaded, then follow the instructions on the screen and install this QBs diagnostic tool.
  • Accept the terms and conditions, and tap on Finish at last.
  • Now, launch this installed tool and navigate to the tab named Test Connectivity.
  • Under the Test Connectivity tab, choose the option of Browse and select your company file from the directory location. 
  • You are required to click on the specific company file with errors. 
  • Hit on the option of Test Connectivity.

In a few minutes, the repairing process will finish and the 12031 QuickBooks error is diagnosed. 

Solution 5: SSL and TLS Configuration

SSL AND TLS Configuration

The SSL and TLS setup settings are important for Quickbooks connectivity. Steps to change these SSL & TLs settings are:

  • The initial step is to open Internet Explorer.
  • Now, go to the Internet option.
  • From the upper side pane, click on the tab named Advanced.
  • After that, you can easily modify the TLS and SSL setup settings.
  • Finally, hit OK to apply the made changes in settings. 

Solution 6: Quickbooks Software Update

Quickbooks Software Update

If you are already working with the latest version of QuickBooks, then you can skip this solution. It is witnessed that upgrading QuickBooks to its latest released update can self-resolve the bugs and errors. The steps to do so are:

  • Firstly, click on the QBs icon and launch the software.
  • Navigate to the Help menu.
  • Within this menu, go to the option named Update Quickbooks. 
  • All the latest available releases of QuickBooks updates will be available listwise on your screen and you need to select the latest version available. 
  • After a successful installation, reboot the PC and check for the prevalence of the error in the system. 

Solution 7: Disabling the Third-Party Applications 

Third-party apps such as antivirus interrupt Quickbooks’ work operations. It is due to the antivirus being able to take part in the functions and operations in QuickBooks and considers them malicious. So, you are advised to cease such third-party apps or you can straightaway uninstall these applications to troubleshoot the QuickBooks Error 12031. 

Solution 8: Windows Update

Windows Update

Windows update is the easiest solution and is universally accepted by every error as the Go-to Solution to solve Quickbooks issues including QuickBooks Update Error 12031. To update the Windows, follow the steps given here. 

  • From the Start menu, go to the Search Field.
  • Write up Windows Update in the search field, and hit Enter.
  • Now, navigate to the option of Check for Updates.
  • A list will appear on the screen with all the Windows updates available for your system.
  • After that, click on Download and Install, and the process will begin.
  • After a few minutes, your Windows OS is updated and the user has to restart the system to finish the update process. 

Solution 9: Quickbooks Payroll Services Update To Fix The QuickBooks Error 12031

  • On the Desktop, click on the QuickBooks icon and access it.
  • Navigate to the Options Menu
  • Within this menu, go to Internet Connection Setup.
  • After that, select Internet Properties.
  • Now, of all the given tabs click on the tab Advanced. 
  • After this, change the Advanced Settings as per your desired requirements.
  • Click on the option Apply and then OK to apply the made changes.
  • The window will exit itself and at last, exit all the active programs and re-open the software to update the QBs payroll services.

Solution 10: Quickbooks Software Update Download in Safe Mode

This solution will guide you to carry out downloading the Quickbooks Update software in Windows Safe Mode. In case of hindrance by the third-party apps in the updating process, follow this solution to diagnose the Quickbooks update error 12031.

Quickbooks Software Update in Safe Mode

  • Change the system to the Windows Safe Mode. 
  • Now, use the keys Windows + I on the keyboard to open Settings.
  • After that, select the option named Update & Security and then the Recovery Settings
  • Within the Recovery Settings, navigate to the Advanced Startup and click on the option of Restart Now.
  • A dialog screen will appear with the name Choose an Option

Choose an Option

  • After this, go to the option Troubleshoot and then the option Advanced.


  • Now, access the option Startup Settings.  

Start Up Settings

  • Choose Restart and fill in the Bitlocker Recovery Key.  
  • After all the above steps, the system will self-restart along with a list of options coming on the screen.
  • You need to go to option number 4 or use F4 on the keyboard to start your system in the Safe Mode. 
  •  In case you are using the Internet, go to option number 5 or use  F5 on the keyboard to enter the Safe Mode with Networking.
  • Now, download the Quickbooks Software update.
  • After this, you can also switch back to use the Normal Mode.


QuickBooks Error 12031 falls under the 12000 series error that can come in the system when the user tries updating QuickBooks to its better-upgraded version and other payroll services updates. Also, when you try to refresh the QBs payroll services, update the QuickBooks software, and when there is a restriction in granting permission to the server due to timeout and other network issues, this error will exist in your software. In this post, we have put utmost effort to bring together all the related concepts of the QuickBooks Error 12031 – basic understanding, reasons for its existence, quick methods to repair this update error, etc.

We are confident enough that the structure and knowledge in our content have not disappointed in any way and you are easily able to fix all the existing update issues in your system. Hoping you are no longer in any sort of problem, you can go through the other QuickBooks articles published on our website to enlighten yourself with the best of your knowledge and face no such problems in the near future.    

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