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Petro surcharge waiver

gaddala ramesh (163 Points)

25 March 2023

in credit card statement showing transaction - petrol surcharge waiver of rs.10.20. pls explain how to make entry

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Ayush (Executive ) (6332 Points)
Replied 25 March 2023

If you are maintaining a record of your credit card transactions in your accounting books, you can record the petrol surcharge waiver of Rs. 10.20 in the following way:

Debit: Bank/Credit Card Account - the amount you actually paid for the petrol

Credit: Petrol Expenses Account - the amount of petrol expenses incurred

Credit: Surcharge Waiver Account - the amount of surcharge waiver received (Rs. 10.20 in this case)

This entry will help you accurately record the expenses incurred for petrol, as well as the waiver of surcharge, which will reduce the overall expense.