[fester789]

We've paid about $12,000 in unemployment taxes since 2008; currently the balance sheet shows a negative balance for suta/futa payables in liabilities; am I coding the unemployment taxes correctly?

[ArcSine]

Hard to diagnose with any accuracy from a distance, as there are myriad possibilities for it.

But very generally, the fact that you maintain a liabilities account suggests that you're using a system whereby you credit this account for the unemp tax liabilities as they arise (say, your payroll service gives you a report following each pay period, showing how much in tax to accrue?), and then you debit this account for any subsequent checks written to the gov't. It's a common way of doing it.

If so, then a debit (negative) bal can arise in this balance sheet account if either
• payments for other types of taxes have been erroneously posted there; or
• you failed to accrue (credit) enough unemp tax to this account, somewhere in the past.

Just a couple of possibilities which jump to mind.