Comprehensive Guide to Income and Expense Accounting
School
University of Illinois, Urbana Champaign**We aren't endorsed by this school
Course
ACCY 312
Subject
Economics
Date
Dec 11, 2024
Pages
10
Uploaded by BrigadierIron92679
INCOMESales Revenue (ticket sales)17,000,000 750,000 Net Capital Loss (30,000)Gain on Building/Land Sale 100,000 Interest Income 70,000 EXPENSES 1,900,000 Salaries and Wages 8,550,000 Payroll Taxes 513,000 Rents 775,000 Fuel650,000 Entertainment Expense 120,000 Meals Expense 300,000 Fines and Penalties 50,000 Depreciation (book) 600,000 Amortization (book) 50,000 Interest Expense 80,000 Bad Debt Expense 125,000 Insurance Expense 500,000 Charitable Contributions 150,000 Federal Income Tax Expense 700,000 Illinois Income Tax Expense 200,000 BOOK NET INCOME 2,627,000 Income from Herpolsheimer's, Inc. (equity method accounting)Cost of Goods Sold (hot chocolate, apparel)
DescriptionBook Income Debits Credits Taxable Income Gross Receipts- Income from Herpolsheimer's, Inc. (equity method accounting)- Dividend Income- Capital Losses- Gain on Building/Land Disposition- Interest Income- Less: Cost of Goods Sold (hot chocolate, apparel)- Salaries and Wages - Payroll Taxes - Rents - Fuel- Entertainment Expense - Meals Expense - Fines and Penalties - Depreciation- Amortization - Interest Expense - Bad Debt Expense - Insurance Expense - Charitable Contributions - Federal Income Tax Expense - Illinois Income Tax Expense - Net Income Before Additional Deductions- - - - Less: DRD- Less: NOL deduction- Net Income Per Books / Per Line 30 Taxable Income- - Enter Debits as Negative Amounts Enter Credits as Positive Amounts
Line #1a1b1c234567891011121314151617181920212223242526272829a29b29c30313335
36
Taxable IncomeGross ReceiptsReturns and allowancesBalance. Subtract line 1b from line 1aCOGS Gross ProfitDividendsInterestGross RentsGross RoyaltiesCapital gain net income Net gain or (loss) from Form 4797, Part II, line 17Other incomeTotal IncomeCompensation of OfficersSalaries and WagesRepairs and MaintenanceBad DebtsRentsTaxes and LicensesInterestCharitable ContributionsDepreciation from Form 4562 not claimed elsewhere on the returnDepletionAdvertisingPension, Profit-SharingEmployee Benefit ProgramsReserved for future useOther Deductions (Office supplies, utilities, amortization, corp.insurance, meals and entertainment)Total DeductionsTaxable Income Before NOL Deduction and Special DeductionsLess: NOLDSpecial Deductions (DRD)29a+29bTaxable Income Total TaxTotal payments and creditsAmount owed
Overpayment
- - - - - Check Figure - Book-Tax Reconcilation, Line 30-
Difference- -
LINELINE1Net Income (Loss) Per Books72Federal income tax per books a3Excess Capital Losses over capital gains4Income subject to tax not recorded on books85aaDepreciationbbChariable ContributionscTravel and entertainment96Subtotal lines 1-5- 10Expenses recorded on books this year not deducted on this return (itemize):
Tax Exempt InterestDepreciationCharitable ContributionsSutotal (line 7 +8)- Income (page 1, line 28) - line 6 less line 9- Check Figure - Page 1, line 28- Difference- Income recorded on Books not included on this tax return:Deductions on this return not charged against book income