Retail
Loyalty Points Earned — Revenue Deferral
Deferring a portion of revenue when a customer earns redeemable points on a purchase.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Cash in Hand | Asset (+) | 116.00 | - |
| Sales Revenue | Revenue (+) | - | 95.00 |
| VAT Output Tax Payable (16%) | Liability (+) | - | 16.00 |
| Loyalty Points Liability | Liability (+) | - | 5.00 |
💡 Accountant's Note
Under IFRS 15, loyalty points with standalone value are a separate performance obligation. The estimated redemption value is deferred as a liability until points are used or expire.
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