Shipping & Maritime

How to Record Vessel Towage Services

Accounting for tug assistance required for maneuvering in tight channels or during engine failure scenarios.

Account NameTypeDebit ($)Credit ($)
Voyage Expenses - TowageDebit8,200.00-
Accrued Port CostsCredit-8,200.00

💡 Accountant's Note

Towage is a direct voyage expense recognized when the service is rendered, often billed via the local port agent.

Practitioner & Systems Framework

💻 ERP Architecture

Record under specific voyage ID for accurate profitability analysis.

⚠️ Audit Flags

Towage costs significantly higher than port tariffs or previous calls.

📄 Required Documentation

Tug hire tickets signed by the Master and the agent's disbursement account (DA).

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Expert Analysis by Qusai Ahmad

General Accountant Supervisor & IFRS Specialist

Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.

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