October 30, 2016 admin

Taxes—Excluding Real Estate & Income

Expenses

TAXES—EXCLUDING REAL ESTATE & INCOME EXPENSE ACCOUNT
8540/8445/8646

ACCOUNT EXPLANATION
Expense of taxes (other than those on payroll, real property and income) such as franchise fees, intangibles taxes, personal property taxes, and gross receipts taxes.
TRANSACTIONS
  Jrnl. Dr. Cr.
  Monthly write-off of annual personal property tax SE
    Taxes—Excluding Real Estate & Income 8540
    Taxes—Excluding Real Estate & Income—Service—QL/FL/QCSC 8445
    Taxes—Excluding Real Estate & Income—Parts—QL/FL/QCSC 8646
      Prepaid Taxes—Other 1550
             
  Monthly write-off of prepaid business licence SE
    Taxes—Excluding Real Estate & Income 8540
    Taxes—Excluding Real Estate & Income—Service—QL/FL/QCSC 8445
    Taxes—Excluding Real Estate & Income—Parts—QL/FL/QCSC 8646
      Prepaid Taxes—Other 1550
COMMENTS
  • Subsidiary records should be maintained to facilitate preparation of income tax returns.
  • For departmentalization purposes, taxes levied exclusively upon the property or activity of specific operating departments should be charged to those departments. Taxes levied upon the property or activities of the total dealership should be distributed as provided in Departmentalization.