Question
The company's accounting method is on accrual basis, and its GST reporting is on cash basis. Why accrued interest income is included in cash basis reports?
Interest income $200 was accrued on 30 June 2022 via a journal entry. This accrued interest income is included in the GST summary report and P & L both of which are on cash basis. May I know why? Accrued income/expenses should not be included in reports on cash basis. How to fix this problem?
