An account number is a ten-character reference number used to identify a journal entry. It is set up in account maintenance. Account category An account category identifies a group of account numbers. For example, taxes payable is an account category. Within this category, several taxes payable...
This is the amount assessed and payable to tax authorities. It is the total of the VAT, use, and sales taxes (PST). Screen-specific information Leave this field blank to have the system calculate the tax. Also, leave this field blank on the offsetting entry, where the Amount field incl...
This is the amount assessed and payable to tax authorities. It is the total of the VAT, use, and sales taxes (PST). Screen-specific information Leave this field blank to have the system calculate the tax. Also, leave this field blank on the offsetting entry, where the Amount field incl...
On the other hand, if the buyer uses the perpetual inventory system, we can make the journal entry for FOB shipping point with the debit of the inventory account and credit of the accounts payable or cash account. Perpetual inventory system In this journal entry, the transportation costs that ...
X/XX/XXXX Sales Tax Payable Remitted sales tax 250 Cash 250 2. Accounting for sales tax paid on purchases When you purchase goods and pay sales tax on those goods, you must create a journal entry. In this case, the sales tax is an expense, not a liability. Generally, your total...
which include payroll taxes payable and net payroll payable, with the aggregate credits equaling the debit amount. The second entry goes into the ledger once the company pays employees. The entry debits net payroll payable and credits cash; a similar entry is necessary for paying payroll taxes....
If I pay someone, that is Banking, such as Check Expense entry details. If someone pays me, that is either part of my business, as a type of Sale or Charge, or I simply Deposited funds to my bank = No JE involved in anything here. And if I am the one...
Here’s a journal entry example:Journal 1 shows the employee’s gross wages ($1,200 for the week). After subtracting some of the most common payroll taxes, the employee’s wages payable or “take-home” pay is $925. The second journal entry shows your business paying all those federal ...
The company paid $500 of the $1,500 payable.To record this transaction, we will debit Accounts Payable for $500 to decrease it by the said amount. Then, we will credit cash to decrease it as a result of the payment. The entry would be:...
Using the figures from the examples above, the employer need to make the following journal entry to record the monthly payroll expense for Mark and Jane:AccountDrCr Salaries expense 21,667 Payroll taxes expense 1,618 Income taxes payable 3,500 FICA taxes payable 3,092 SUTA tax payable 63...