My business (business A) and another's split our dumpster fee. Business B pays me $50 for his share. What's the best way to label these monies coming in and what's the best transaction to offset our costs? I'm assuming they aren't taxable income. (quickbooks online)
Set B up as a customer
create a service item called dumpster fee and select an income account, other income wouuld be my suggestion
pay the expense for the dumptster
invoice company B and receive payment
on the P&L income is reduced by expense, so in this case if there were no other transactions the P&L would look something like
income, 50
expense, 100
net income, -50
-50 is your expense for the dumpster
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