Categorization of Transaction Fees and Filing Fees
wynnel
Member Posts: 4
Two questions for those in-the-know:
1) How would a lawyer categorize court filing fees for clients in Wave?
2) How would a service provider categorize a transaction fee charged by a software on a purchase used by the service provider (i.e. 3% charge per transaction) in Wave?
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Comments
Wynnel,
It depends on how detailed you want to get. You could create an expense account called Client Billable Costs or Court Fees. Same with merchant fees. You can call them Bank fees or Merchant account fees. I advise my clients (attorney's included), so long as it meets IRC 162 as a business expense it doesn't much matter. Some like to track specific expenses for management reasons or want to segregate revenue between Legal Fees and Reimbursed Expenses.
Mike
P.S If your looking for a great CPA, I can fill that spot. I work with clients from coast to coast and pride myself on excellent service. www.mgfinancial.net