Question

Fill in the blanks with correct alternative and rewrite the statements :

Income Tax appears in trial balance ________ column.
a) debit balance
b) credit balance
c) L.F.
d) Income

Answer 1

Income Tax appears in Trial Balance debit balance column.

Explanation:
Income tax is an expense of a business and all the expenses are required to be debited, following the golden rule of accounting. As income tax is an expense, so it appears in the debit column of the Trial Balance.