Hi,
Which account should tax paid be allocated to?
Should it go under account group 'Tax Liabilities' or should there be an 'expense' account for taxes paid?
This is assuming taxes are not entered as 'payable' (i.e. invoiced by HMRC) in first place.
thanks, HB
Hi Hanna,
If the tax charge relates to your current period and your business is a limited company then you can allocate the payment to the 'Tax Expense' account. See this page for our recommended way to handle corporation tax:
http://www.solaraccounts.co.uk/help/how-to-record-an-annual-tax-liability.php
Regards,