I have Standard Payroll and followed instructions on how to do the Furlough payment to employees. I have now received the claim from HMRC and wondering how to process it?

Greetings, @kendal-sharp.

You'll need to create an equity or income account and deposit the claims from there. I'd be glad to guide you through the steps.

Before doing so, I recommend getting in touch with your accountant for guidance on which account to use. This way, we'll ensure the accuracy of your books after recording this.

In your QuickBooks Online (QBO) account:

1. Go to the Accounting menu.
2. Select Chart of Accounts.
3. Click the New button.
4. In the Account Type ▼ drop-down menu choose an account type.
5. From the Detail Type ▼ drop-down, select the detail type that best fits types of transactions you want.
6. Give the account name.
7. Click Save and close once done.

Here's an article you can read for more details: Add an account to your chart of accounts in QuickBooks Online.

Once done, deposit the claims to the account you've just made. Here's how:

1. Go to the + New button.
2. Click Bank Deposit.
3. Select the account you received the amount in the Account field.
4. Choose a corresponding date in the Date field.
5. Select the account you set up above from the Account column.
6. You can wish to enter HMRC from the Received From column.
7. Simply enter the amount received from the Amount column.
8. Then click Save and close once done.

Furthermore, here's an article you can read for more detailed steps: Record and make Bank Deposits in QuickBooks Online.

Additionally, I got you this great article that you can read for future reference. This resource provides detailed information on reconciling your accounts accurately: Reconcile an account in QuickBooks Online.

You can always get back to me if you have other queries. I'm always here ready to answer them. Keep safe and more success in your business!