Stripe - how to record fees and GST on fees

Hi All,

We are new to Stripe. When entering a payment via Stripe we are charged a fee and GST on the fee. What is your recommendation in recording this? My initial thought was via the "Make Deposit" function, entering the total income, entering the fee as a negative and applying it to an expense account, but then what do I do to record the GST? Entering it directly into the GST account will have it show up in the Balance Sheet but not picked up in the Tax Summary Report. This is where I get unstuck.

Any feedback is welcome.

Comments

GerryWinter

We use a holding account, if you need a hand call me.

Acctd4

As Gerry said, use a holding (“Clearing”) account.

This is a dummy bank account-type which allows you to receive (full) payment into it & pay the fees out of it (via a Write Chq) leaving a net amount squalling the net deposit into your actual bank account, which you then can either Transfer Funds or do another Write Chq for the movement ☺️

Margaret Lokmer

Thank you all. Using a holding account is not uncommon for me so I understand the process. Appreciate the feedback.

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