In the daily production and operation activities of an enterprise, the handling fee returned by the tax bureau is usually included in other subjects such as non-operating income. What should I do with the specific accounting entries?

Accounting Entries of Tax Bureau's Refund of Handling Fees

Debit: bank deposit

Loan: other income/non-operating income

Taxes payable-VAT payable (output tax)

What is non-operating income?

Non-operating income is an integral part of an enterprise's financial achievements, which mainly refers to various gains that are not directly related to its daily business activities. Non-operating income mainly includes: profit and loss of enterprise merger, profit from the market, accounts payable that cannot be paid due to creditors' reasons, government subsidies, additional refund of education fees, fine income, donation gains, etc. In order to reflect and supervise the non-operating income of enterprises, enterprises should set up "non-operating income" accounts. The amount of non-operating income incurred by the enterprise registered by the lender in this account, and the amount transferred to the "profit of this year" account by the borrower at the end of registration, has no balance at the end of this account after being carried forward.

What is the tax payable?

Enterprises should reflect the payment of various taxes and fees in a general way through the subject of "taxes and fees payable", and make detailed accounting according to the items of taxes and fees payable. The credit of this subject registers all kinds of taxes and fees that should be paid, the debit registers all kinds of taxes and fees that have been paid, and the credit balance at the end of the period reflects the taxes and fees that have not been paid; At the end of the period, if the debit balance reflects the tax overpaid or not deducted.

What is a bank deposit?

Bank deposit is the money stored in the bank and an integral part of monetary funds. According to the provisions of China's cash management system, every enterprise must open a deposit account with the People's Bank of China or a specialized bank to handle deposit, withdrawal and transfer settlement. Except for a small amount of cash within the prescribed limit, the monetary funds of the enterprise must be deposited in the bank. The bank deposits of the enterprise mainly include: settlement account deposits, letter of credit deposits, foreign deposits and so on. The cashier is responsible for the receipt and payment of bank deposits.