Balancing / Accounting for payments to Government Sales Tax

SortIT

Hi all,
I'm in Ireland so this may be slightly different to normal, but goes like this:

I have 2 rates of Sales Tax, lets just say A and B. I pay my sales tax to Government every 2 months.

So, for the first 2 months of 2019, it was like this:
Sales Tax A: I owe the Government 452.83
Sales Tax B: I owe the Government -348.71 (Purchased more product than I sold)

Net owing Sales Tax to Government: 104.12

Now, I want to balance the books on Wave. I know that I can do this by going to Accounting - Transactions - Add Expense - Sales Tax to Government

However, with the minus amount in one of the Sales Tax, do I put it as a 'Deposit' or 'Withdrawal' - I thought I would try a 'Withdrawal' and put in the MINUS figure - will that work? (Makes sense, as it's always a withdrawal as i'm paying the Government)

Thanks

SortIT

Anyone??

JamieD

Hey @SortIT ! As you said, what might be best here is creating this as an expense transaction and making it a withdrawal (since it's a payment that is coming out of your bank account, as an expense). As for the total, you would put the minus figure if that is the amount that's actually owed to the government/the amount that you actually paid out of your account.

SortIT

Thanks. Have you any idea how I can get the highlighted area to balance to 0.00? (Like above)

It is technically a refund from Government Tax, but, when I do a 'Deposit' under Category "Refund from Government Tax" and choose the correct Tax, it doesn't balance the attached?!

You will see here the Accounting Transaction

SortIT

Sorry, here will see in the Sales Tax report that it's not balancing back to 0.00 on the 23% Tax Rate

SortIT

Never mind, I was putting in the wrong dates. Once I adjusted the deposit (tax refund) back to 28th Feb (I was calculating for Jan/Feb 2019) it all balanced.... happy days!

Sophia

Hey @SortIT glad to hear you figured it out!