Question regarding Whitholding Taxes

Tomas Alberto Fernandez Garcia on

Hello,

Does any one know why the Whitholding Taxes are not
presented on the Balance Sheet as an Account Receivable?

Also, I pay VAT tax on brokerage commissions, and these are
also an Account Receivable, but with Bivio they only get
recorded as an Expense...

How would you recommend to record this VAT and Whitholding
Taxes in order for them to show on the Balance Sheet???

Regards

Tomas

Laurie Frederiksen on

Dear Tomas,

You will not find Accounts Receivable in bivio because it uses cash basis accounting, not accrual.

Withholding taxes should be entered as an expense. They will be passed through to each member on their K-1's and used to offset their personal income tax liability.

I do not know what type of accounting and tax reporting requirements come with VAT payments. They may be beyond the scope of the bivio program.

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John W Ranby on

You need to supply additional information to put your
questions in context. By mentioning the VAT, I get the
impression your partnership is either located in a country
other than the USA or has accounts with a broker located in
a country other than the USA.

Why is your partnership subject to withholding and for what
government is the tax being withheld?

What government is imposing the VAT on your brokerage
commission?

Jack Ranby, Treasurer
Grants Partners Investment Club

Tomas Alberto Fernandez Garcia wrote:
> Hello,
>
> Does any one know why the Whitholding Taxes are not
> presented on the Balance Sheet as an Account Receivable?
>
> Also, I pay VAT tax on brokerage commissions, and these are
> also an Account Receivable, but with Bivio they only get
> recorded as an Expense...
>
> How would you recommend to record this VAT and Whitholding
> Taxes in order for them to show on the Balance Sheet???
>
> Regards
>
> Tomas

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