Restaurant

VAT Output Tax Filing Preparation

Summarizing the total VAT collected from food sales during the month for ISTD filing.

Account NameTypeDebit ($)Credit ($)
Sales Tax Payable (VAT Output)Liability (-)2,400.00-
VAT Input Tax (Purchases)Asset (-)-1,200.00
VAT Payable to ISTD (Net)Liability (+)-1,200.00

💡 Accountant's Note

At the end of the VAT period, Output VAT (collected from customers) is netted against Input VAT (paid on purchases). Only the difference is remitted to the ISTD.

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