USA Accounting for a Tax Credit

[DavidR]

Hello,

We are anticipating receiving a payment from New York State for the Excelsior Tax Credit (https://www.tax.ny.gov/pit/credits/excelsior.htm)

I assume this would be classified as other income on the P&L. Is that the case?

 

[kirby]

No. Credit the expense account where the original payment was posted.