Generally, cash basis reports include all transactions that are not AR or AP transactions on the date of the transactions - and AR and AP transactions on the dates(s) they are paid.

No balance sheet amounts appear on the P&L, ever.

What you're seeing are the company expenses associated with the company liabilities created when recording  paychecks, which are cash basis events are they are recorded in your bank account.

It is correct to recognize the expense for the liabilities as of the payroll date because among other things, remitting those liabilities to the government is not optional and because payroll is a regularly-recurring event.