Interest on Overdrawn Current Account workpaper (IOA)

How the IOA workpaper is populated from the Current Accounts workpaper and current year GL, and how manual journal transactions are aggregated.

The Interest on Overdrawn Current Account (IOA) workpaper calculates deemed interest on shareholders' overdrawn current accounts as required by New Zealand tax law. It must be enabled from the Current Accounts (CAC) workpaper before use.

Data extraction

Opening balance: Picked from the Current Accounts (CAC) workpaper.

Other data: Automatically populated from the current year General Ledger (GL) Detail based on account codes mapped as discussed in the Current Accounts workpaper.

Manual journal aggregation

Transactions supported by Manual Journal in the Source column are reflected as a sum of all transactions under the "To Be Allocated Monthly Debit" and "To Be Allocated Monthly Credit" cells. Other source type transactions will be displayed month-wise.

Manual entry

Figures in the highlighted cells need to be entered manually if required.

Auto-triggered journals

There is an auto-triggered journal in this workpaper for Interest on Overdrawn Current Account.

Related workpapers

  • Current Accounts (CAC): Provides the opening balance and is where this workpaper must be enabled.
  • Investment Income (IIC): The interest calculated here feeds into the New Zealand Interest Received section of the IIC workpaper.

How to access

  1. Go to Jobs and open the relevant job.
  2. Click the Workpapers Icon or navigate to Results then Workpapers.
  3. First enable IOA via the Current Accounts (CAC) workpaper for the relevant shareholder.
  4. Select IOA on the Workpapers Dashboard.