Should I record the following through payroll or post a journal entry? Need guidance please.
Context: Because of COVID-19, we (employer) are paying some portion of the compensation as outright stock grants. Usually a raise. The employer has granted the employee shares at FMV of $2,000. This is likely taxable income but no cash will exchange hands between employee and employer. Should this transaction be recorded through payroll so all applicable taxes are applied? Is payroll the correct way? Thanks