Intercompany transactions
jul2614
Registered Posts: 9
Hi
We have several companies in the same group. Only one has a bank account, so is paying for items for the other companies. The items are wages, computer and stationery so far.
I have been trying to get clarification on how best to deal with these transactions. As they are only being paid for, not 'supplied', am I right in thinking these are not taxable supplies, and so therefore are ok to be journaled through intercompany rather invoiced to the other company?
We have several companies in the same group. Only one has a bank account, so is paying for items for the other companies. The items are wages, computer and stationery so far.
I have been trying to get clarification on how best to deal with these transactions. As they are only being paid for, not 'supplied', am I right in thinking these are not taxable supplies, and so therefore are ok to be journaled through intercompany rather invoiced to the other company?
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Comments
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Sorry, I'm not sure which forum you are referring to?0
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Ah, sorry yes, I'd forgotten about that. Unfortunately, I am still confused0