Processing Trust Distribution transactions in MAS
This support note applies to:
Article ID: 32630
In MYOB Accountants Enterprise (AE) MAS (MAS) when completing accounts for a Trust entity you need to process transactions to show the distribution of profit to the beneficiaries.
To perform a Trust Distribution, you need to complete the following transactions for the value of the profit:
-
Journal 1: Profit to Beneficiary's Accounts.
-
Journal 2: Beneficiary's Accounts to Beneficiary's Loan Accounts.
-
Journal 3: Beneficiary's Loan Accounts to Bank.
To perform the profit split distribution journal entries
-
In the AE MAS ledger follow the menu path: Data > Journals > Journal Entry. The Data Entry: Journals screen appears and the cursor appears in the Period end date field.
-
Enter the period end date and click OK. The Journals screen appears.
-
Process the distribution of profit through beneficiary's accounts:
Journal 1: Profit to Beneficiary's Accounts
|
500 03
|
Distribution to beneficiaries
|
Debit
|
|
|
501 02
|
Share of profit (for beneficiary 1)
|
|
Credit
|
|
502 02
|
Share of profit (for beneficiary 2)
|
|
Credit
|
|
50# 02
|
Share of profit (all required beneficiaries)
|
|
Credit
|
-
Process the transfer of profit distribution to beneficiary loan accounts:
Journal 2: Beneficiary's Accounts to Beneficiary's Loan Accounts
|
501 03 or 20
|
Drawings or Payment to Beneficiaries
|
Debit
|
|
|
870 01
|
Beneficiary No 1
|
|
Credit
|
|
502 03 or 20
|
Drawings or Payment to Beneficiaries
|
Debit
|
|
|
870 02
|
Beneficiary No 2
|
|
Credit
|
You can use account 870 in place of 696 or 830 depending on the accounts that are relevant to your entity.
-
Process the payments made to the beneficiaries through the bank:
Journal 3: Beneficiary's Loan Accounts to Bank
|
870 01
|
Beneficiary No 1
|
Debit
|
|
|
870 02
|
Beneficiary No 2
|
Debit
|
|
|
680
|
Bank
|
|
Credit
|
