How to record GOVT Boost from ATO to reduce PAYG owing.

vicki Lambous

Just wondering if you could assist with how to record cash flow boost from ATO to reduce PAYG owed?  No cash refund received. I also need to know how to clear the amount owing in the pay liabilities tab for PAYG.  

Bruce

The process I use is:

1. when I receive the credit in the Integrated Tax account I make a deposit into a new "other current asset account" which I call ATO Integrated Tax account and apply to the funds to an "other income" account called Covid19 Cash Flow Boost 
2. when I go to pay my PAYG liabilities, I do it as per normal but in the expenses tab I also process a negative amount equal to the cash flow boost amount against the ATO Integrated Tax account

Good luck

Acctd4

Hi Vicki

 

The PAYG account is linked to the PAYG Payroll Item.

To ensure your payroll liability reporting is correct, you also need to do a Payroll Liability Adjustment in order to reduce the Payroll Item’s accumulated PAYG liability amount:

Employees (along top toolbar) > Payroll Taxes and Liabilities > Adjust Payroll Liabilities

 

To record the reduced (balance) payment to the ATO, generate the Liability Chq in RAH as normal & just enter the Cashflow Boost (Other Income account) line (on the Expenses tab) as a negative - This will post as a positive amount to this account.

 

Shaz Hughes Dip(Fin) ACQ NSW, MICB

Reckon Accredited Professional Partner Bookkeeper / Registered BAS Agent (No: 92314 015)

Accounted 4 Bookkeeping Services

Ballajura, WA

0422 886 003

shazinoz2@bigpond.com

www.accounted4bs.com