Tax Entry from GL: Generated Transactions
As you create a taxable GL entry, the system generates the GL transaction described in the following section.
General Ledger Transaction with Taxes
When you create and release a GL entry, the system generates the following general ledger transaction:
| Account | Source of Account | Debit | Credit |
|---|---|---|---|
| Expense account (or income account) | Account entered by the user when creating a GL transaction on the Journal Transactions (GL301000) form | Amount + tax amount | 0.00 |
| Tax Payable account | Account defined for the tax in the Tax Payable box on the Taxes (TX205000) form | 0.00 | Tax amount |
| Accounts Payable account | Account entered by the user when creating a GL transaction on the Journal Transactions form | 0.00 | Amount |