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Accounting & Bookkeeping & Small Business Forum
Accounting, Bookkeeping, Marketing, and Small Business Resource
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Guest
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| Posted: Mon Nov 15, 2004 12:59 pm Post subject: Travel Agency Accounting |
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I have a new client who is home-based travel.
How to account for the sales and commissions. The commission is her income, would it be considered a contra asset to the sales revenue of bookings paid to the supplier? I'm trying to get the chart of accounts set up, and want to make sure they are correctly coded. |
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Guest
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| Posted: Thu Nov 18, 2004 9:18 am Post subject: RE: Travel Agency Accounting |
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| It depends upon what will be reported to the IRS. If the payor reports gross sales as earned by your client, then you should record the gross, less the cost to the travel company. IF only the commissions will be reported, then record just the commissions as income. It's likely the latter. |
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Guest
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| Posted: Sun Nov 21, 2004 2:29 pm Post subject: RE: Travel Agency Accounting |
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| Thanks! |
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