Hello,
I imported a bank statement for May which has 2 salary out payments to myself from the business bank account.
After the import, they appear for tagging, and when I tag them one at a time, I am selecting ‘Salary or other drawings’, then I select ‘Proprietor Drawings’, I enter my name for the Recipient and then ‘Save’.
The issue I have is that when I look at the Profit & Loss report for the month of May, it shows the gross profit which is correct, and then underneath it shows a heading ‘Less Expenses’ with a row with code 9998 Suspense Account and the tagged salary, and then the ‘Profit Before Tax’ underneath displays the gross profit minus the salary. This seems incorrect because as a sole trader, should not salary to me simply be part of the gross profit and not an expense?
I feel that I may be incorrectly tagging the salary from the bank statement, and so your advice would be appreciated.
Thank you,
Bharat