Resources
  • Handbook123
  • Glossary48
  • Articles19
  • Changelog
  • Commit
  • Connector
  • Deadlines
  • Handoff pack
  • Ledger
  • MCP (Model Context Protocol)
  • Performance
  • Stage
  • T2125 Preview
  • Accounting equation
  • Accrual basis
  • Balance sheet
  • Cash basis
  • Chart of accounts
  • Credit
  • Debit
  • Depreciation
  • Income statement
  • Journal entry
  • Normal balance
  • Trial balance
  • Capital Dividend Account
  • CCA
  • CCPC
  • CRA
  • GIFI
  • GRIP
  • Half-year rule
  • LRIP
  • RDTOH
  • Shareholder loan
  • Small Business Deduction
  • T2 return
  • Eligible dividend
  • Salary vs dividends
  • T1 return
  • TOSI
  • GST
  • HST
  • ITC
  • PST
  • QST
  • Small supplier
  • CPP
  • EI
  • T4 slip
  • PIPEDA
  • Plaid
  1. Resources
  2. Glossary
  3. Accounting foundations
  4. Cash basis

Cash basis

Recording revenue when cash is received and expenses when cash is paid. Simpler but generally not permitted for Canadian corporations.

In the Handbook
Cash vs. Accrual Basis
Related
Accrual basis
All termsMore in Accounting foundations

Product

  • Features
  • Pricing
  • How it works
  • Connect your AI agent
  • Accountant handoff
  • Alternatives
  • Changelog
  • Resources

Built for

  • Sole proprietors
  • Freelancers
  • Small corporations
  • Corporate tax

Company

  • Home
  • Company
  • Our direction
  • Contact

Legal

  • Legal
  • Terms of Service
  • Privacy Policy
  • Tax Disclaimer

© 2026 Ledg. Built in British Columbia, Canada.