I have a payroll deduction that has a GST component to be paid. How do I track this and create a lia

Samantha Robertson
Samantha Robertson Member Posts: 7 ✭
edited August 2016 in Accounts Hosted

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  • Samantha Robertson
    Samantha Robertson Member Posts: 7 ✭
    edited April 2016
    I do know how to set up a standard payroll deduction (Child Support etc) I usually just make the deduction from the payroll and then create the liability cheque when its due for payment. But I have never encountered a deduction that is subject to GST and this is the problem. Any advice would be helpful! Thanks
  • Annette_8052353
    Annette_8052353 Member Posts: 21 ✭
    edited April 2016
    Payment of the deduction is a payment on behalf of the employee.  The employee is the consumer and therefore is not eligible to claim a gst deduction.  The whole amount is payable the same way that you would process the child support payment.
  • Samantha Robertson
    Samantha Robertson Member Posts: 7 ✭
    edited April 2016
    Hi Annette. This is an issue I have never experienced before. It is not like a standard Child Support deduction etc.. The deduction is for a vehicle lease and the Pre-Tax Deduction is subject to GST that is payable to the Lease company.

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