[Question] Capturing VAT Penalties & Interest

[Ola]

Hi All,

Please help... How are penalties & interest recorded in Pastel Xpress v17 please?

We've submitted a couple of returns late this year, and penalties/interest have been imposed by SARS. When making payment for these, where will I post the payments to on Pastel? Do I need to create a seperate GL account? If so, can someone assist in how to correctly create the account please? Unless I'm supposed to post the payments to the VAT Control Account, and post (journal?) entries to the control account for the penalties/interest?

Thanks in advance

[Mike C]

Hi Ola - on our system we have a GL Account 3940/000 called "Interest and Penalties paid to SARS"

It was created as an "I25 - Expenses" item and shows under the Income statement.

[Ola]

Hi Ola - on our system we have a GL Account 3940/000 called "Interest and Penalties paid to SARS"

It was created as an "I25 - Expenses" item and shows under the Income statement.

Hi Mike,

Thank you for your response. I think I will do the same. I suppose I can create 2 GL Accounts, 1 for VAT penalties, and 1 for PAYE penalties/interest.

[Mike C]

Yes - that should be no problem.