How to add Corporation Tax line

Hi all,

At year end, how do I automatically add the corporation tax line to the P&L, and also the Tax payable to the Balance Sheet?

Tax payable is an automatically created liability account that appears on the balance sheet when you use a tax code. See the Guide:

But Tax payable does not relate to taxes on income, since so many things can affect that. It records the liability a company has for taxes, such as VAT or sales tax, collected by the business on behalf of the tax authority. Such tax will eventually be remitted to the tax authority.

If, by “corporation tax,” you mean a tax on corporate income, you should create an expense account in the chart of accounts. See the Guide:

Manager is not tax software, so it will not figure how much tax you owe on income. But to record tax paid, Spend money from a cash account and post the transaction to the expense account you created for that purpose.

You can’t automatically add the corporation tax line but you can set one via Settings - Chart of Accounts and then use a Journal. Also for the Balance Sheet set up a Liability account called Provision for Corporate Tax. Same process would apply for Dividends if applicable

If you read the below topics they provide solutions amongst a lot of discussion

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Hi, to set up corporate tax related issues I think a corporate rate module can be set the corporate tax rate rate and “Net profit (loss)” should be Net profit before Tax (NPBT) after this line Corporate to be calculated then presented as Net profit After Tax (NPAT), this tax will show under current liability. it is very important.

First, you are responding to a topic that has been dormant for 4 years. Some of the discussion is obsolete due to program improvements.

Second, you can design and build any chart of accounts you want. Therefore, it is not clear what you are asking or suggesting.

Third, Manager is not and very likely will never be tax computation software covering income taxes, corporation taxes, etc. With approximately 200 sovereign jurisdictions in the world, that would be a huge undertaking—one that no software company anywhere has attempted.

Firstly This is my suggestion though i can not find any corporate tax line.

Secondly- if i think an individually paid customer, definitely i expect full accounting treatment to be in my software. Otherwise competitor of manager can take this opportunity.

Thirdly Accounting software is selected by accounting professionals for the company. If any professional are newly joined and review existing software and he may express to company CEO to shortfall of this this segment and it is not work, so he may take an initiative to change the software company or some think like that.

That is because you have not added such an account. See Build a chart of accounts | Manager.

Nothing in Manager’s advertising mentions anything about the program calculating corporation tax for your country or any other. If this is what you require, you should look elsewhere. In your profile you describe yourself as an accountant. You should, therefore, be aware of the differences between financial accounting and tax filing preparation.