I'm just getting started on Ag Analyst and I just have some questions regarding taxes. I know that the corporate tax has to be posted to a liability account but I'm wondering if employer health taxes and federal and provincial taxes should be posted to expense accounts?
Thanks
Hi Ben, Generally you can follow the rule that if it should be remitted (GST/HST paid or collected, payroll taxes deductions, etc) then it should go to a liability account. Otherwise the tax should be included with the expense on which it is billed (such as PST paid).