I have this transaction: \"Issued check 608 for $1884 to deposit social security

Question

I have this transaction: "Issued check 608 for $1884 to deposit social security tax ($702), Medicare tax ($162) and federal income tax withholding ($1020) from the September payroll. Record this check in the cash payments journal." How do I go about recording this transaction? I know it says in the cash payments journal, but where do I include each tax and the amount? Thanks. I have this transaction: "Issued check 608 for $1884 to deposit social security tax ($702), Medicare tax ($162) and federal income tax withholding ($1020) from the September payroll. Record this check in the cash payments journal." How do I go about recording this transaction? I know it says in the cash payments journal, but where do I include each tax and the amount? Thanks.

Explanation / Answer

the journal entry would be:

Debit Social Security Tax Paysble $702

Debit Medicare Tax Payable $162

Debit Federal Income Tax $1020

Credit Cash $1884

(being check issued towards payment of all above tax dues)

So, we put all the Taxes payables on the credit side of the Cash Book with the amount mentioned against them , so that the Cash Balance get reduced.

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