Journal entry

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This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

30 May 2012 journal entry from company point of view

an employee draws salary of 10000 per month (incl. employee's contribution to PF 700) prof. tax 150. & employer's contribution to PF 700.

CA Siddhartha Bhardwaj

CA Siddhartha Bhardwaj (Expert)

30 May 2012 Salary A/c Dr 10,000
To Employees' Contribution to PF 700
To Professional Tax Payable 150
To Salary Payable 9,150

Employees' Contribution to PF 700
Employer's Contribution to PF 700
To PF Payable A/c 1,400

PF Payable A/c Dr 1,400
To Bank A/c 1,400

Professional Tax Payable A/c Dr 150
To Bank 150

Message likes : 2 times

G.Ramesh

G.Ramesh (Expert)

30 May 2012 Agreed with the expert, Simple way...

Journal Entry:

Salary A/c Dr 10,000/-
Employers Contribution to PF A/c Dr 700/-
To PF Payable 1400/-
To Proffesional Tax Payable 150/-
To Salary Payable 9,150/-
(Being Salary for the month of .......accounted for)

While Paying:

Salary Payable a/c Dr 9,150/-
To Cash / Bank 9150/-

PF Payable a/c Dr 1400/-
To Bank 1400/-

Proffesional Tax Payable A/c Dr 150/-
To Bank a/c 150/-

Message likes : 1 times

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