Hello, I have a client who falls under the common paymaster rule. But I am unsure as to how to record these. I've been told to do a journal entry, and told to just enter it in the register. The client is using QuickBooks Online. They do not want these transactions to show in their sales income.
USA Intercompany Accounting for Payroll
- Thread starter Tina J
- Start date
Usually an intercompany payroll is recorded as including debits to wages and payroll tax expense with a credit entry to intercompany payable to the company thst paid the wages. Really not sure what you are asking here.
Thank you for responding. I figured this was just a regular transaction. You invoice the sub-company and then receive the payment, just like any other invoice you may create. I guess my confusion is being told to do journal entries or just enter it in the register didn't make sense to me. Thank you.