The purpose of account 1520 Prepayment account for taxes in the program is to mirror the transactions shown on the Estonian Tax and Customs Board (EMTA) prepayment account statement.

In the Tax Board’s e-service, the statement can be found under Accounting -> Prepayment account statements.

In the program, open Accounting -> Main ledger, select account 1520 Prepayment account for taxes, and set the period you want to review.

When performing the comparison, ensure that both reports use the same period – this is essential for obtaining accurate and consistent results.

It is most convenient to save the Tax Board statement as a CSV file, as it can be opened in Excel (or any other spreadsheet program) and the data can be sorted or summed if necessary. This helps save time and reduces the risk of errors when comparing amounts.

• Start by comparing the debit-side entries in the main ledger – these correspond to the incoming entries (positive amounts) on the EMTA statement. Check that all transactions shown on the EMTA statement are also recorded in SimplBooks with the same amounts and dates. When you add up the positive amounts on the EMTA statement, the total must match the debit-side balance in SimplBooks.
• Next, compare the credit-side entries in the main ledger – these correspond to the outgoing entries (negative amounts) on the EMTA statement. Follow the same steps: verify that the amounts and dates match the transactions shown on the EMTA statement.

If you notice any discrepancies in the amounts or dates recorded in the program, the necessary corrections must be made based on the data shown on the Tax Board statement.

If the company has paid corporate income tax, interest on tax arrears or motor vehicle tax during the reporting period, ensure that the corresponding expense transactions have also been recorded.