Hello! According to the information you provided, we reply as follows. If the information is incomplete, please communicate with us again! Accounting Standards for Business Enterprises-Basic Standards: Enterprises should confirm, measure and report on the basis of accrual basis. The "Regulations on the Implementation of the Enterprise Income Tax Law": the calculation of taxable income of enterprises is based on the accrual basis, which belongs to the income and expenses of the current period, regardless of whether the money is received or not; Income and expenses that do not belong to the current period, even if the money has been received and paid in the current period, are not regarded as income and expenses of the current period. Detailed Rules for the Implementation of the Provisional Regulations of the People's Republic of China on Business Tax: If a taxpayer provides industrial services in the form of advance payment, its tax obligation will occur on the day when it receives the advance payment. According to the above regulations, accounting and tax treatment should be separated, and your approach is correct. There can be a debit balance in the tax payable. Welcome to consult again! You are right to do so. Your company pays business tax, and the income is confirmed by 12 months. The same tax can be accrued according to the monthly confirmed income through business tax and additional subjects.