Journal Entry for repairs from security deposit

0

Repairs using a security deposit is not an expense

  1. DR security deposit, CR Bank Account

or if not paying vendor for repairs immediately

  1. DR security deposit, CR payable (when you get the bill from the vendor)
  2. DR payable, CR Bank Account (when paying vendor)

or

classify the repair as an expense and then later "recapture" the expense from the tenant's security deposit

  1. DR Expense, CR BoA
  2. DR Security Deposit, CR Expense

or if not paying vendor for repairs immediately

  1. DR Expense, CR payable (when you get the bill from the vendor)
  2. DR Security Deposit, CR Expense
  3. DR payable, CR Bank Account (when paying vendor)

https://www.sagecity.com/ca/sage_50_accounting_ca/f/sage-50-ca-accounts-payable-receivable-modules/64117/security-deposit-return-less-repairs

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  • 18 days ago by vince