Yes, it is fine doing that.
When you process the payment in the cashbook, there is no VAT effect, as the double entry will be to debit the supplier account with the VAT inclusive amount and credit the bank account.
Yes, it is fine doing that.
When you process the payment in the cashbook, there is no VAT effect, as the double entry will be to debit the supplier account with the VAT inclusive amount and credit the bank account.
Neville Bailey - Sage Pastel Accounting Consultant
www.accountingsoftwaresupport.co.za
neville@accountingsoftwaresupport.co.za
IronTree Online Solutions
"Give every person more in use value than you take from them in cash value."
WALLACE WATTLES (1860-1911)
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