Record corporation tax
When you set up in business via a limited company, your annual profits will be subject to corporation tax.
Setting Up
To record corporation tax payments in your IRIS Elements Cashbook account you need to first create a transaction type (nominal code) named Corporation Tax.
To do this:
-
Go to Settings. Select your initials, then Account Settings.
-
Select Chart of Accounts > scroll to the bottom and select Show Advanced Configuration > tick Allow me to access all codes in all areas and select Update.
-
Go to Banking > Banks
-
From the Actions (3 dots,
) menu select Bank Codes and add a new code named Corporation Tax. -
Select the code to edit it; you should see a number of options for the code type. Set this to Current Asset / Liability and select Update.
Recording a Corporation Tax Payment
To record a corporation tax payment:
-
Go to Banking > Banks > View or add > Add new transaction.
-
Enter the following information:
-
Money out: as it’s money thats left your account this should be out.
-
Date: this needs to be the date the money left the company bank account to pay the corporation tax
-
Code: select your new Corporation Tax code.
-
Amount: the amount that you have paid out.
-
VAT Rate: this should be N/A.
-
VAT Amount: this should be 0.00.
-
Comment – use this record a note about the transaction, for example, Corporation Tax YE 2012.
-
-
Select Add Transaction.