Correct account with percentage

I have a ledger named “internet” where I book all of my monthly fixed internet bills.
The tax department wants be to allocate 25% of the total internet costs as ‘private’.
Is it possible to do that in one go? (add one ‘transaction’ to the ledger of minus 25% or something like that)?

If you pay the bill immediately using a Spend money transaction from a cash account, enter two lines. On the first, enter 75% of the bill and allocate to your Internet account. On the second, enter 25% of the bill and allocate to a capital drawing account or owner’s equity (depending on form of business organization and chart of accounts).

Thank you.
I was hoping there was a way to not have to use a calculator for every transaction.

In the Netherlands one also has to allocate 26.5% of all entertainment/food/drink costs to private.
As you might imagine, those ledgers can hold a lot of individual transactions. You simple can’t do that on a per transaction basis.
It might be a nice feature for a future release.

A reduction of meal and entertainment expenses for tax purposes is not unusual. But there are two simple ways of handling this:

  • The first is possible when tax filing forms (and resulting tax preparation software) make the adjustment. You enter full amounts for the reporting period and the form or software calculates a bulk reduction.

  • The second involves making a single adjusting entry at the end of a reporting period, transferring a percentage of the expense account balance, just as I described above for an individual transaction. This may or may not be advisable: see below.

Remember that financial accounting and tax accounting are seldom identical. If the expense is a legitimate business expense, it should be recorded in full. Doing so correctly reflects your business position and performance. Whether tax authorities allow you to calculate taxes that way is a separate issue. Similar situations arise when tax incentives are available, such as to encourage business investment by allowing faster depreciation, to promote job creation by allowing tax credits, and so forth. None of these artificial adjustments actually reflects real business performance. The meals reduction, for example, probably arose because of frequent abuse.

Your situation of a shared purpose for internet service is another matter. It is more similar to purchasing something that is used both in business and for personal use. Then, it is usually best to record only the business portion so as not to distort your business’ financial picture.

Thank you for the elaborate answer!
You are totally right.

If you have fixed monthly bills, e.g. same amount every month, then you could always clone the previous bill and just change the date, saving the calculator.

Also, if you use under Settings - Set Period the “Today (Vandaag)” as the Until date, then you could process this cloning months in advance and they will sleep in the background until each date arrives.