Journal entry for sales invoice
Journal entry for sales invoices, In a typical sales invoice journal entry, the following accounts are involved:
Accounts Receivable: This account reflects the outstanding amount owed to the company by the customer for the sale. It is debited to increase the balance.
Sales Revenue: This account represents the revenue generated by the company from the sale of goods or services. It is credited to increase the balance.
GST Output Tax: This account represents the Goods and Services Tax collected from the customer on the sale. It is also credited to increase the balance.
The journal entry for a sales invoices can be summarized as follows:
Debit: Accounts Receivable
Credit: Sales Revenue
Credit: GST Output Tax
Please note that the specific amounts to be debited and credited will depend on the particulars of the transaction, including the sale price, GST rate, and payment terms.
To visit https://www.gst.gov.in/
