Accounting entry -accounts

Renjith S Nair (Accountant) (94 Points)

22 August 2012  

Dear All...

I am in Maldives...

                                ***My question is Abt INPUT and OUTPUT tax entries.

Example is.

1. My in put Balance is 100/-

2. Out Put Balance is 150/-

*********** In the accounting Software Input tax is Under " Current Asset " and Out Put tax under "Current Liability".

My question is

A).  whether this method is correct or not,..

B).  If correct will u advice me all Accounting entries Up to "Tax Paid" by cheque.

C).  If Alternative is there or another best method is available,pls forward it with entries...

 

I am really struggling to find a good method....Please help..

 

Thanks in advance ....

 

Renjith S Nair.