General Journal Entry

[rosie]

I have deductions to track such as telephone and Internet service, in which I can write off the percentage I actually use those utilities for my business.

Would the debit entry be telephone expense and the credit entry be deduction expense?

[M GO BLUE]

Expenses are always the debit side. Either accounts payable or cash would be the credit.

[rosie]

Thank you for simplifying this.

[Lisa_p]

I'm assuming these are expenses that you paid personally that you want to deduct a portion of for your business?

If you don't actually want to pay yourself now for these expenses, then the credit would be an equity account like owner's contributions or a liability like due to owner.

[rosie]

Thank you for supplying me with an alternative. It's helpful for me to catalogue these options for different scenarios.