Sales Tax A sale of merchandise on account for $18,100 is subject to a 5% sales tax. a. Should the sales tax be recorded at the time of sale or when payment is received? At the time of sale b. What is the amount recorded as sales? c. What is the amount debited to Accounts Receivable? d. What is the title of the account to which the $905 ($18,100 x 5%) is credited? Sales Tax Payable