#Accounting for contractor expenses install

We must contract with subcontractors legally that the contractor has a tax card so that the general contractor does not fall under the tax liability and sign the contract from the subcontractor himself.The required funds should be reviewed by the Technical Office and the Project Manager.general contractor, as well as the revision of the discounts in terms of 1% tax deduction, business insurance deduction, advance payment discount if any. The categories of the subcontractor's extract should be reviewed in accordance with the contract between the subcontractor and the.Any deductions deducted to the subcontractor must be shown in its abstract until we reach the correct amount due to the contractor.In agreement with the general contractor, the general contractor will pay a percentage of these designs to the subcontractor and then consume as much of the materials.

#Accounting for contractor expenses install

In some cases, the subcontractor will install materials on the site only if the contract of the contractor is a supply and installation.In this case, the value of materials or labor is deducted from the subcontractor. Sometimes the subcontractor uses materials or labor from the site, especially the general contractor, in case the contract of the subcontractor is a supply and installation.In the case of pay advanced payment, the general contractor shall require the subcontractor to ensure that the installment will require a letter of guarantee of an advance payment or a bank check of the same value from the subcontractor (upon receiving the letter of guarantee there is no restriction).

The subcontractor's contract may be divided into a factory subcontractor (providing labor only without materials) provided that the general contractor supplies the materials to him or the subcontractor contract may include the supply and ( provide of materials and labor), all of which are mentioned in the contract.Ī contract is made between the General Contractor and the Subcontractor stating all the terms of contract discounts such as tax deduction, business insurance or any other discounts, method of payment, measurement, categories and quantities. The contracting company (the general contractor) agrees with the subcontractors to carry out some work. The purchase of the materials shall be proved as a store (original), provided that the materials actually disposed of from the warehouses shall be recorded for operation, and according to the pricing method used(first in first out, last in first out, Weighted average) Purchases of materials are recorded as expenses and are to be fully closed using the contract and contract utilization account regardless of what has been done (Last-time stock) to load the account for the exploitation of contracts and contracting with the actual disbursement of the materials.

The documentary cycle of the purchase process begins with (purchase order, supply order, inspection minutes, addition permit).

Purchased according to the needs of each site where materials are stored in it and it is possible to transfer materials from one site to another.

Here the general contractor purchases the materials required for construction, and here we have to differentiate between whether the company uses the method of periodic or continuous inventoryin the proof of purchase.

Through the previous article on the steps of managing and executing a contracting project, the expenses that the general contractor will spend are: - Business materials. The se cond : -Real estate investment, in other words construction companies to build for their own and sell what you are building, such as residential buildings, tourist villages and others. The first: - is the operation of others, in other words is the construction company to build facilities for others The work of construction companies is divided into two parts Analysis of expenses of construction projects