The liabilities account group refers to any amount you owe to another business, bank, or persons.
Each account group
in Sage 50 Accounting can be further divided into account classes.
The table below shows the account classes in the liabilities account group.
| Account Class | Description |
|---|---|
| Liability | Any amount that you owe. This class encompasses all liability classes and can represent any type of liability. |
| Cash | An account set up for over-draft purposes. We do not recommend you use it as a liability. |
| Bank | An account set up for over-draft purposes. We do not recommend you use it as a liability. |
| Credit Card Payable | An account set up for over-draft purposes. We do not recommend you use it as a liability. |
| Accounts Payable | Amounts owed to vendors for goods and services provided. |
| Other Payable | Other amounts you owe. Sometimes they arise from transactions outside of the company's regular business. |
| Sales Tax Payable | Amounts owed to the government based on sales taxes collected. |
| Payroll Tax Payable | Amounts owed to the government based on taxes they require you to deduct from employee paycheques. |
| Employee Deductions Payable | Amounts owed to others based on the additional deductions taken from employee's paycheques. |
| Income Tax Payable | Amounts owed to the government based on the income of the business (not employees). |
| Short-Term Debt | Debt owed to a creditor that you will repay in the short-term. Debts usually represent a more formal agreement than a liability. |
| Current Liability and Other Current Liability | Amounts owed to a creditor that you will pay in the short-term, usually less than one year. |
| Other Non-Current Liability | Amounts owed that you will not pay in the short-term and which are not otherwise classified. |
| Debt | All debts, whether short-term or long-term. |
| Deferred Revenue | Amounts received for sales that have yet to be completed. For example, for transactions conducted over the Internet, you usually receive payment before delivering the goods or services. |
| Long-Term Debt | Debt owed to a creditor that will be paid over the long term, usually over one year. Mortgages, for example, are generally considered long-term debts. |
| Deferred Income Tax | The accumulated difference between income tax calculated on accounting income and taxable income. |
| Long-Term Liability | Amount owed to a creditor that you will pay in the long-term, usually over one year. |
| Other Liability | Any liability account that doesn't fit into any of the above categories. |