User Support Forum

We pay our payroll taxes on the 15th of every month for the month prior. So in January we're actually paying December's taxes. My question is how should I record and report this? Would I date it in January but post it to December so I'm accurately reporting to the congregation what the taxes were for that fiscal year? Or, should I post as usual and just report December-November's taxes, the amount that came out of our checking account that fiscal year?

Thanks again.

newsboy9 wrote:We pay our payroll taxes on the 15th of every month for the month prior. So in January we're actually paying December's taxes. My question is how should I record and report this? Would I date it in January but post it to December so I'm accurately reporting to the congregation what the taxes were for that fiscal year? Or, should I post as usual and just report December-November's taxes, the amount that came out of our checking account that fiscal year?

Thanks again.

You account for the expense (or the liability payment) in the year you paid it. Pure and simple !!

Great, thanks.

Luke

Ok hopefully this will be the last one on this.

My taxes are in liability accounts of course. We didn't start using PC until 01/01/2013. So of course PC doesn't have any money in the liability account for December '12 taxes. How do I go about paying the taxes out of those liability accounts, so they show up correctly on the reports, for the December taxes? I would prefer not to carry a negative balance on those accounts all year if at all possible.

Thanks again,

Luke