Re: Accounting related question about bonus payment

[luxe <..hidden..>]

On Thu, Feb 28, 2008 at 8:36 PM, David Tangye <..hidden..> wrote:
>
>
> On Fri, Feb 29, 2008 at 1:06 AM, luxe <..hidden..> wrote:
> > I thought the accounting could not be more difficult and confusing
> > than engineering but I must be wrong :) ;)
> >
> Actually (like almost anything else) its mind-bogglingly straight-forward,
> when things are explained clearly. I recommend the Bean Counter tutorial.
>
> Accounting is only made complicated by conventions:
>  - old out of date business practices and therefore procedures related to
> keeping accounts in 'ledgers' and 'journals' made out of chopped down trees.
> Software-based accounting systems cut out many of these procedures and
> changed the need to concentrate on or even know much about some of those
> aspects.
>   - local laws vary somewhat, so some relatively trivial aspects of
> accounting need to be adjusted accordingly, or else you are fine in one
> country, but go to jail on another: go figure.
>

Thanks David for the reply.  Actually I went through one of the
introductory tutorials form Bean Counter and I agree it is very good.
Just, I am not sure about that particular case I have.  May be I have
to study more of his tutorials.  Any way, I hope I will manage to get
my books in better condition than they are right now.

Now about an issue (may be a bug) in LedgerSMB.  I followed the Luke's
advise and entered the bonus as an AR transaction.  The transaction
thou does not contain GST (I am in Canada) so I uncheked the box
before the GST account (2310--GST) and did not enter any amount for
GST, also I left unchecked the box for "Tax Included".  I believe this
is correct for this transaction.  Now the issue.  When I ask for
transactions report I get all transactions including the bonus one but
the amount is listed under the "Tax" column and the "Amount" column is
empty.  When I get "Tax collected" report this bonus amount and its
transaction are not listed at all, which is correct IMO.  So my
concern is why the amount for the bonus transaction appears under tax
in the transaction report.  I am using LSMB 1.2.12

Thanks for any clarification.

luxe