How to book a liability
Tate
Member Posts: 1
When I tried to book a Tax Payable amount, I created a new Bill. But this automatically gets booked to Accounts Payable instead of the Tax Payable Chart of Account item. How can I book it under a Liability account that's not the Accounts Payable?
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Comments
@Tate,
You would record through a journal entry. Go to Accounting/Transactions/More and select journal. From there you would debit Tax Expense and credit Taxes Payable. When you actually pay the tax you would code the disbursement to Taxes Payable and not the expense.