FrontAccounting-2.4.7/C2/Taxes-and-Bank-Account-in-FrontAccounting/English
Taxes and Bank Accounts in Frontaccounting
Visual Cue | Narration |
Slide 1
Title Slide Taxes and Bank Accounts |
Welcome to the spoken tutorial on Taxes and Bank Accounts in FrontAccounting. |
Slide 2
Learning Objectives
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In this tutorial,we will learn how to
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Slide 3
System Requirements
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To record this tutorial, I am using
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Slide 4
Pre -requisites To practise this tutorial, you must have knowledge of:
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To practise this tutorial, you must have knowledge of:
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You should have already
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And you should have already set up an Organisation or Company in FrontAccounting.
If not, for relevant FrontAccounting tutorials please visit this website. |
Slide 5:
Start XAMPP service |
Start the XAMPP services before you begin working on FrontAccounting interface. |
Narration | Let us open the FrontAccounting interface. |
Click on browser >>localhost/account >> Press Enter | Open a web browser.
Type localhost/account and press Enter. |
Narration | The login page appears. |
Enter Username = admin and Password = spoken>> Click on login | Type the username as admin and the password.
Then click on Login button. |
Click Setup tab >> Taxes | The FrontAccounting interface opens.
Click on the Setup tab. In the Company Setup panel, click on Taxes link. We can see a default entry as Tax. |
Point to default options of Tax | The Percentage, Sales GL Account and Purchasing GL Account are specified as shown here.
We have to assign GL accounts to every tax used by our business. |
Highlight the message
“To avoid problems with manual journal entry all tax types should have unique Sales/Purchasing GL accounts” |
At the top of the window, we can see a message.
It is recommended that a separate Sale and purchase GL account has to be assigned to each tax. |
narration | Let us see how to add GST and Service tax for our company. |
Click on the Edit icon of Tax. | Click on the Edit icon on the default entry Tax row. |
Change the Description, Percentage
Click on the Update button. |
I’ll edit Tax to GST , as our company will not use the default entry Tax.
We have successfully changed the default entry Tax to GST. |
Narration | Now let us add Service tax.
Before that we have to create a GL Account for Service tax. |
Click on Banking and general ledger
Click on GL accounts |
Click on Banking and General Ledger tab.
In the Maintenance panel, click on GL Accounts link. |
Type the value as shown:
Account code: 2151 Account Name : Service Tax Account Group : Current Liabilities Click on the Add account button |
Type the values as shown:
Then click on the Add Account button at the bottom of the window. |
Click on Setup tab and then on Taxes | Now, click on Setup tab and then on Taxes link. |
narration | Let us add Service tax under Tax Types. |
Type the value as shown:
Description: Service Tax Default Rate: 7 |
Type the values as shown. |
Click on Sales GL Account drop down box.
Select Service Tax |
Click on Sales GL Account drop-down box.
Select Service Tax which is under Current Liabilities. |
Show the demo of the selection
Click on Add new button |
Likewise, select Service Tax for Purchase GL Account.
Click on Add new button at the bottom of the window. |
Point to GST and Service Tax | We can see that two taxes have now been added. |
narration | Let’s see how these taxes are calculated in the Sales module of FrontAccounting. |
narration | We will first set up a Bank Account for the company. |
Click on Banking and General ledger
Click on Bank Accounts |
Click on Banking and General ledger tab.
In the Maintenance panel, click on Bank Accounts link. This option is used to setup and configure the bank and cash accounts. |
Point to USD
Select Indian currency from the drop down box |
By default, you can see Current account and Petty Cash account details.
The Currency column is in US Dollar, by default. Let us change this to Indian currency. |
Click on the Edit icon.
Select Chequing Account from the drop down box Select Indian currency from the drop down box |
In the Current account row, click on the Edit icon.
Change the Account type to Chequing Account. Change the Bank account currency to Indian Rupees. |
Click on update button.
Show the demo of petty cash |
Then update the changes by clicking on the Update button at the bottom.
Likewise, change the Petty Cash account also to Indian Rupees. And update the changes. |
Narration | Next let us add some amount to the ST Company Pvt. Ltd. bank account. |
Click on Deposits link in the Banking and General ledger tab. | Go to Banking and General ledger tab.
In the Transactions panel, click on Deposits link. |
Narration | Deposits from customers, miscellaneous sales, etc. can be entered here. |
Data Entry demo
Account description >>cash Amount >> 3,00,000 memo >>Rent for the month December Click on Add item |
Keep the From field as Miscellaneous.
I’ll enter the name of the person who has deposited the money as shown. In the Account description field, select Cash. In the Amount field, type 3 lakhs. In the Memo field, type the purpose of the deposit. Then click on Add item button at the right end of the row. |
Click on Process deposit | Click on Process Deposit button at the bottom of the window. |
New window >> success message | In the new window, we can see a message that the deposit has been entered. |
Click on View the GL postings for this Deposit | Next link is View the GL postings for this Deposit. Click on it. |
Point to the amount | A pop up window appears with the transaction details of the amount that has been deposited. |
Click on close | Click on the Close link at the bottom of the window. |
Point to the next link Enter another Deposit | If you want to enter another deposit, then click on “Enter Another Deposit” link. |
Click on back option. | Click on Back link at the bottom of the window to go back to the FrontAccounting interface. |
Narration | Next we will see how to transfer money from bank account to cash or another account. |
Click on Banking and General ledger>>Bank Account Transfers | In the Transactions panel, click on Bank Account Transfers link. |
Point to Bank Balance | Notice that the Bank Balance is shown here as three lakh rupees.
Recall, this amount had been deposited earlier. |
To account :Petty cash
amount :20,000 Memo : Money transferred for petty cash |
In the To Account field, select Petty Cash account.
In the Amount field, enter 20,000.
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Click on Enter Transfer button. | Click on Enter Transfer button at the bottom of the window. |
Click on View The GL Journal Entries for this Transfer | In the new window, we can see a message - “Transfer has been entered”.
Next link is View The GL Journal Entries for this Transfer. Click on it to see the entries. |
Click on close | A pop up window appears with the transaction details of the amount that has been transferred.
Click on the Close link at the bottom of the window. |
Click on Back | Click on the Back link at the bottom of the window to go back to the FrontAccounting interface. |
click on Reconcile Bank account. | Next, we will check the Bank Statements.
In the Transactions panel, on the right side, click on Reconcile Bank Account link. It matches the deposits in the company accounts with those in the Bank statement. |
Point to the output | We can see the Account total, Bank Deposits and Fund transfer details.
This brings us to the end of this tutorial. Let us summarize. |
Slide 6
Summary |
In this tutorial, we have learnt about
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Slide 7
Assignment 1 |
As an assignment
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Slide 8
Acknowledgement |
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Slide 9
About workshops |
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Slide 10
Forum for specific questions |
Please post your timed queries in this forum. |
Slide 11
Acknowledgement |
The Spoken Tutorial Project is funded by NMEICT, MHRD Government of India.
More information on this mission is available at this link. |
The script and video has been contributed by Spoken Tutorial team.
This is Arvind Pillai signing off. Thanks for joining. |