Hi Omer, my approach is: - VAT:Input VAT - an ASSET account - VAT:Output VAT- a LIABILITY account - VAT:VAT Return - an ASSET or LIABILITY account
and run the "Income & GST Statement" periodically, posting the govt returns as follows: Dr VAT:VAT Return Cr Bank HTH, C On Sun, 16 Aug 2020 at 07:55, Omer Hayat <[email protected]> wrote: > Hi. > We have a 5% VAT charged on all bills and invoices. To the government, we > pay the difference. > I have setup an 'Input VAT(paid to Vendor)' and 'Output VAT(received from > Customers)' accounts under Liabilities, and set them up. These are > recording the VAT paid & received from Bills/Invoices correctly. The Input > VAT account has negative values, and output VAT has positive values. We are > supposed to pay the difference of these. > For example: > > VAT paid to Vendor > (50.00) > VAT received from Customer 75.00 > FINAL VAT PAYABLE TO GOVT 25.00 > > Keeping the above example, I would like to pass one entry, and pay off the > difference amount. > Example: > DR Final Payable to Govt > CR Bank > But, how can I pass the Debit entry? Should I create a 'Tax' placeholder > account and pass it to that? But then the individual Input & Output VAT > accounts might have a balance. > > Please advise. > _______________________________________________ > gnucash-user mailing list > [email protected] > To update your subscription preferences or to unsubscribe: > https://lists.gnucash.org/mailman/listinfo/gnucash-user > If you are using Nabble or Gmane, please see > https://wiki.gnucash.org/wiki/Mailing_Lists for more information. > ----- > Please remember to CC this list on all your replies. > You can do this by using Reply-To-List or Reply-All. > _______________________________________________ gnucash-user mailing list [email protected] To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user If you are using Nabble or Gmane, please see https://wiki.gnucash.org/wiki/Mailing_Lists for more information. ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
