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With Journal Entry, the tax account is automatically set to “Temporary Consumption Tax Payable”.

edited Jun 2, 2025 2:52PM in Ask A Guru 6 comments

With Journal Entry, the tax account is automatically set to “Temporary Consumption Tax Payable”.

When I created a journal entry in Journal Entry with a tax code of 10% of sales, the tax account was automatically posted to the general ledger as “Suspense Consumption Tax”.
However, since it is 10% of sales, the tax account should be posted to the general ledger as “consumption tax suspense receipt”.

In the Invoice transaction, the tax is correctly posted as “Consumption Tax Received Temporarily”.
Why is it posted as provisional consumption tax payable in Journal Entry?

Also, please tell me how to post as suspense receipt sales tax even if I specify 10% sales tax code in Journal Entry.

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