October 30, 2016 admin

Employee Income Taxes Withheld

Liabilities and Net Worth

EMPLOYEE INCOME TAXES WITHHELD LIABILITY ACCOUNT
2130

ACCOUNT EXPLANATION
Income taxes withheld from employees’ earnings for remittance to governmental agencies.
TRANSACTIONS
  Jrnl. Dr. Cr.
  Withholding of federal income taxes from employees’ earnings PR
    Accrued Payroll 2410
      Employee Income Taxes Withheld 2130
             
  Payment of withheld taxes to governmental agency CD
    Employee Income Taxes Withheld 2130
      Cash in Bank—General 1001
COMMENTS
  • Accounts in the 2131-2138 series may be used if separate accounts for each governmental agency are necessary. Account 2139 should be used for Employee State Income Taxes withheld.
  • Any balance in this account at month end should be reconciled to the supporting information.
  • Deduction and remittances should be in conformity with regulations of the governmental agencies.