The Allowance for uncollectible accounts appears on the income statement.

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The Allowance for uncollectible accounts is a contra-asset account on the balance sheet and does not appear on the income statement. It is used to reduce the accounts receivable asset on the balance sheet to reflect the estimated amount of customer accounts that are unlikely to be collected. The amount of uncollectible accounts is usually recorded as an expense on the income statement under Bad Debt Expense or Uncollectible Accounts Expense.

The Allowance for Uncollectible Accounts Appears on the Income Statement