How get Taxes payable

Tax Topics
1

Hello,

Please, how can we do S1 reconciliation from income as per the income statement, with additions and deductions to get Taxes payable?

Thanks

2

Not sure why you are doing that, I used to do that in my early time, for clients that don’t want to pay for NTR/compilation, still wanted a set of financials, only the ones that I know, and warned them it has no meaningful use, but you are going to find yourself in lots of trouble down the road, if you are doing it for your clients, because you are going to be doing it every year and the differences will be adding up every year. requiring more and more time.

3

@maan.mycareer

Please expand your question…

At minimum you would enter the following schedules:
S50 - Shares
S100 - Balance Sheet
S150 - Income and Expense
S8 - Capital Assets if applicable
S1 - to adj the non deductible portion of expense. Ie 50% meals

4

S1 IS the reconciliation between “net income per income statement” and “net income for tax purposes”
So, to answer your question:

  1. Use TaxCycle
  2. Import GIFI balance sheet and income statement (from whatever software you use) or manually enter all balance sheet elements on S100 and all income statement elements on S125
  3. Manually enter relevant details on S3, S6, S7, S8 (or related worksheets)
  4. At this point, most of S1 will be automatically filled out for you in TaxCycle, but you should still review it line-by-line in TaxCycle and enter any additional details (i.e. non-deductible interest and penalties on line 103).

Hope that helps!