Expense percentges
Hi community, need some assistance regarding recording expenses based on percentages. for example when recording a fuel expense I am only able to claim 80% of the gst since i use my vehicle for 80% ...
Forum Discussion
Dan,
Accounting for MV Expenses can be/is complex.
Do you have a Log Book? Using a figure of 20% indicates that a Log Book is not held.
I use 2 decimal places eg 80.14% 19.86%
Furthermore, the type of Entity determines how MV Expenses are entered.
By example, a Company claims 100% then the Director makes a Contribution by way of an Income Account. Speak to your Tax Accountant if you have a Company.
I like Chris's use of a Bank Rule to split the expense.
If you are a Sole Trader, you may like to have a Drawings Account called Drawings - MV Personal.
Duncan
