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Discount given to owner - Expenses or Owner's Equity?

Kew1
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Discount given to owner - Expenses or Owner's Equity?

Hi, how do we account for meals eaten for free by restaurant owner? Are they treated as discount given (expenses) or record them as drawings in owner's equity? And how about the GST? Many thanks

 

 

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DuncanS
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Re: Discount given to owner - Expenses or Owner's Equity?

@Kew1 

 

Please talk to a Tax Accountant.

 

The ATO has a Fact Sheet "Goods for own use".

 

I believe a annual Journal is sufficient.

Duncan Smith
Business Advice + Tax
Helping business owners build a better business since 1998
E duncan@businessadvicetax.com.au T 02 9904 3672 7 days
Zappy
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Re: Discount given to owner - Expenses or Owner's Equity?

Duncan is right. This place is for help with MYOB and NOT free tax advice. How do you know who you are dealing with? And will they be around when you get audited?

Zappy Business Services
Box 5014
LPO East Geelong
Victoria 3219
t: 04 07744914
f: 03 52231480

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