GST/INC Payments

[Paul_RiThink]

Hi. I have taken over entering invoices and reconciling bank accounts for this NZ company

There are previous payments made for GST returns and INC Tax

How do I enter these so they appear in the bank statement to reconcile?

Thanks 

[jenniek]

hi @Paul_RiThink 

Which accounting system are you using?

If Accountright - you would need to do a spend money transaction on the applicable date.

If Essentials Accounting - there is an option in Banking called Spend Money.

[Paul_RiThink]

thanks. i am using Essentials. so its ok to just allocate the entire payment to the income tax or gst code in the spend money transaction?

[jenniek · Accepted solution]

Hi @Paul_RiThink 

Correct. I'm guessing these transactions are prior to bank feeds?

[Paul_RiThink]

thanks. yes these were prior to me starting and no bank feeds set up yet

[Paul_RiThink]

hi. in the GL codes GST paid 2-2200 - would this be the right code to use? 

and for the income tax, would i need to create a new code for this? as i dont see one already there

thanks

[jenniek]

Hi @Paul_RiThink 

GST paid is the system account that MYOB uses. You should create an account next to it called GST Payments/refunds and code your GST payments to this account. For Income tax, create a liability code called Income Tax Paid 2-xxxx and put income tax payments, Prov tax to this account.