- Original Poster
- #1
Hi
Just wondering how to solve a problem using quickbooks online....
I'm working on the cash basis...
In tax year 2017- 2018 I was using wave app and hadn't realised that when raising an invoice it took the full amount into account rather than the deposit taken at the time (I'm a wedding photographer so I take a £200 deposit and the £900 balance might not be paid until 2 years from the raising of the invoice), Because of this I ended up paying lots of tax that year on money I hadn't yet received.
Anyway for tax year 18-19 I started only inputting the cash that I had actually received but because of this in tax year 19-20 I will end up receiving a lot of cash into my bank that I've already paid tax on so how in quickbooks do I deal with this when it comes to bank Reconciliation? I will obviously have to acknowledge it but don't want it on my balance sheet as I've already paid tax on this during 2017-18. Thanks in advance.
Just wondering how to solve a problem using quickbooks online....
I'm working on the cash basis...
In tax year 2017- 2018 I was using wave app and hadn't realised that when raising an invoice it took the full amount into account rather than the deposit taken at the time (I'm a wedding photographer so I take a £200 deposit and the £900 balance might not be paid until 2 years from the raising of the invoice), Because of this I ended up paying lots of tax that year on money I hadn't yet received.
Anyway for tax year 18-19 I started only inputting the cash that I had actually received but because of this in tax year 19-20 I will end up receiving a lot of cash into my bank that I've already paid tax on so how in quickbooks do I deal with this when it comes to bank Reconciliation? I will obviously have to acknowledge it but don't want it on my balance sheet as I've already paid tax on this during 2017-18. Thanks in advance.
