Bank Charge Edit
Recording bank charges and tax incur via Journal Entry Edit
How to record any bank charges which bank automatically charged to current account:
- Go to Accounting --> New Tax Journal Entry
- Select “Purchase (Input Tax)” for Transaction Type
- Fill in Journal No., select the Date
- Select Department and/or Project if applicable
- The two accounts to be selected are Bank Charges (Expense Account) and Bank Account (Asset Account). Create a new account if they are not available.
- The amount for Bank Charges Account is on Debit side whereas the amount for Bank Account is on the Credit side. These two amounts shall be same and GST-inclusive
- Select TX 6% as the tax for only Bank Charges Account. For Bank Account, don’t need to select tax.
- Select Project if applicable
- Click “Save” and it is done!
Hire Purchase Edit
Record Payment for Hire Purchase Installment Edit
- Go to Accounting --> Make A Payment
- Select the Hire Purchase Bank as payee. If the bank is not in the list, create a new vendor contact for it.
- Select payer’s account from which the installment is paid
- Select Payment Date, fill in Payment Details (by cash or cheque), and also Cheque No if paying by cheque
- Select Department and/or Project, if applicable.
- Ignore Transaction purpose, and don’t have to tick update payee balance & tax inclusive blank
- Select Hire Purchase Creditors (Non-current Liability Account) for Debit Account. Create a new account for it if it is not available.
- Fill in the Details and Amount. Please note that this amount does not include interest portion
- Select BL 6% for Tax
- Select Project only if it is applicable.
- Click “Add Line”
- Select Hire Purchase Interest (Expense Account) for Debit Account. Create a new account for it if it is not available.
- Fill in the Details and Amount. Please note that this amount is the interest portion only.
- Find the total interest in Hire Purchase Agreement and calculate the monthly interest expense
- Select EP 0% for Tax
- The total of these two amounts will be the monthly installment amount.
- Click “Process” and it is done!