Quickbooks Query

[stbs]

I am currently having a "play" with quickbooks and have set up a vat liability opening balance as per the instructions in the help.

However, I notice that, although the opening balance (17.50) appears in Box 1, the net (100) is not shown in box 6.

What do I do in order for the net to be shown in box 6.

Any help much appreciated.

PS. Sorry if I am being a bit thick.

 

[Merlion ABS]

Its an opening balance of VAT which is a balance sheet item. It wont record the opening position of the Net profit & loss transactions ie sales invoices. Therefore it will only show the VAT outstanding. I think when you complete the VAT return, you will have to manually adjust box 6 to show the correct Net amount to take into account the opeing VAT liability position.

if you get my drift.

 

[stbs]

Thanks for the reply.

I suspected that was the case but wondered if there was any other way.

 

[David Griffiths]

I presume that you've simply set up opening balances on your sales, purchase and nominal accounts.

There is another way, and that is to enter the individual invoices that make up the opening balances for suppliers and customers, showing the VAT and with the original date of the invoice. That way the VAT routine will pick up both the VAT amount and the net amount for the other boxes.

That way your aged receivables and payables lists will be correct - if you just enter opening balances the system won't take account of the age of the opening balance - it's OK after a couple of months when the OBs are paid off.

 

[stbs]

That sounds like the best option. Thanks very much.