Under Profit and Loss report, I have a large sum for 'Unapplied Cash Payment Income' related to transaction type as deposits. Does anyone have a solution for this?

Hello there, thanh.

I can share insights about the Unapplied Cash Payments income that is showing on your Profit and Loss report and help you fix it.

In QuickBooks, the Unapplied Cash Payment Income in your profit and loss report using the cash method will appear if customer payments are received but not applied to any sales form or a customer prepaid you, and you recorded the payment before creating an invoice or sales receipt.

To fix this, run the Open Invoices report and match the payment transaction to the invoice created. I'll show you the process below:

1. Go to the Reports menu.
2. In the Find report by name field, enter Open Invoices
3. Set the reporting period and other details, then click Run Report.
4. In the Transaction Type column, locate a transaction listed as a Payment.

If the payment transaction matches an open invoice, you can follow these steps:

1. Select the Payment date to open.
2. Under Outstanding Transactions, check the invoice.
3. Then, hit Save and Close.

However, if the payment transaction doesn't match an open invoice, you can visit this article for additional assistance: Unapplied cash payment income on your profit and loss.

Furthermore, I've added this reference to learn more specific details about your reports: Customize reports in QuickBooks Online.

Feel free to post a reply if you have clarification about the Unapplied Cash Payment accounts showing on your profit and loss report. I'm always here to help you.