I recall this very clearly as it took me time to understand the concept of modified accrual basis of accounting and how to record the revenues in Governmental accounting.

Governmental funds focus primarily on the sources, uses and balance of current financial resources and often have a budgetary orientation. They employ the flow of current financial resources measurement focus and the modified accrual basis of accounting.

• Revenues are recognized in the accounting period in which they become measurable and available.
• Expenditures are recognized when incurred, if measurable

Your question seems logical that why 610,000 as a debit to property tax receivable and not 600,000 and $590,000 as revenues...

Not sure how to explain it in a more clear manner but let me try again:

Given, Total levy    $700,000 (that is, expected to be received on basis of invoices generated)

Next, what is collected and what is expected to be collected during first 60 days of next year? 500,000 + 100,000 = $600,000

Emphasis is on word “Collected” – something received or to be received in cash/bank from customer. (that is, net of allowance for uncollectible)

Thus, $600,000 is straight forward recorded as revenue on the basis of rule as above.

And, since even uncollectible amount can be estimated, even it would be provided for in CY. This is “apart” from what is collected/expected to be collected.

Thus, JE:

DR Property Taxes Receivable -- current      610,000

CR       Revenues          600,000

CR       Allowance for uncollectible accounts      10,000

Rest $90,000 remaining out of total levy would be recorded as revenue in next year.

Hope that helps to clear the confusion !