Here you can record all the minor expenses that you make. All the operational expenses need to be registered here. Mainly all the day-to-day expenses concerned with your business. For instance fuel expenses, transportation charges, or any such contractor/labor payment.
Go to Accounts and then Expense Payment Journals.
Select the date, location, and vendor name. You should remember one thing, while making a vendor profile there you will find an option that is Vendor For Trackable Items, so uncheck the option whenever you require to make an expense journal entry against that vendor. The vendor name will appear in the list and you can select from them. Again the account categories you will need to add in the setup->accounts setup->accounts category then you can select the account category here, the expense source is the employee who is recorded the expense then enter the amount and payment mode.
In the tax list you can select the tax that will be applicable for the expense. To add the expense tax and tax percentage, go to setup->preferences->tax settings. Now submit it and the expense will be recorded.