Restaurant

Corporate Income Tax Provision

Accruing the estimated income tax on the restaurant's annual profit.

Account NameTypeDebit ($)Credit ($)
Income Tax ExpenseExpense (+)3,500.00-
Income Tax Payable (ISTD)Liability (+)-3,500.00

💡 Accountant's Note

Income tax is accrued at year-end based on taxable profit. The actual payment to the ISTD may happen months later but the expense belongs to the current fiscal year.

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