Gas Station Accounting

by Dee
(Vermont, USA)

The gas at my gas station is not inventory. It is owned by Sunoco.


As an example - say I sell $5000 of gas in a day - of this amount $50 is my take on the sales and the other $4950 is due to Sunoco. I am trying to figure what the GL entries would be - do I count the $5000 as income and the
$4950 a Cost of Goods Sold with the $50 balance being a deposit??? Or is only the $50 income (increase income by $5000 then reduce income by $4950) with the offset being the deposit??

Then if I throw in customer Sunoco discounts that they receive at the pump. As an example if I sell $5000 of gas in a day with a discount given to customers of $100 and my take amount of $50. Would the discount amount be an expense item, or a reduction in the income item or a cost of goods sold item?

Thank you for your assistance,

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Gas Receipts

by Cherie
(Ontario, Canada)

When recording gas receipts, what type of expense are they - vehicle, travel, uncategorized?

Hello Cherie,

Thank you for your question.

Gas receipts are recorded as a vehicle expense.

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Gas Receipts and Lunch Receipts

Hi, Example I keep my gas receipts for the month. I keep my client lunch receipts for the month.
I have to submit HST taxes quarterly in Ontario Canada.

My first question is do I subtract the HST/gst tax I paid for the gas for the month from the taxes I collected? Second question is for the lunches, we are able to technically write off 50% of our business lunch meals, so do I subtract 50% of the taxes I paid for the lunches from the taxes I collected in my sales in my remittance?

Thanks

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