Tax and accounting treatment of real estate advance payment

The easiest way is to pay taxes immediately after invoicing, because tax control is an invoice, and you should pay taxes immediately after invoicing, so try not to invoice customers first to reduce the occurrence of accounts receivable.

1. If the opening amount is the amount of the prepaid account.

Debit: accounts received in advance

Debit: bank deposit

Loan: income from main business

Credit: accounts received in advance

Taxes payable-VAT payable (output tax)

2. If the quotation is the total price, part of the amount has not been received.

Debit: accounts received in advance

Debit: bank deposit

receivables

Credit: accounts received in advance

Loan: income from main business

Taxes payable-VAT payable (output tax)