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D
DBJ-CA
April 9, 2024
Question

Created by QB Online to adjust balance for deletion

  • April 9, 2024
  • 2 replies
  • 0 views
Our company has a few dozen credit memos with the description "Created by QB Online to adjust balance for deletion." These were created during our in progress conversion to QB. These transactions only display on Statement of Activity when run accrual-based. Really not sure what purpose they are serving. Ok to delete these manually?  Thank you .

2 replies

G
GlinetteC
April 9, 2024

Hello there, DBJ-CA.

 

Let me share some details about the display message when pulling up a Statement of Activity report.

 

The purpose of the credit memos with the description "Created by QB Online to adjust the balance for deletion" in QuickBooks Online (QBO) is to maintain accurate financial records when deleting transactions or accounts. 

 

In QuickBooks Online, deleting certain transactions or accounts can lead to imbalances or inconsistencies in your financial data that's why QBO generates credit memos automatically with the description mentioned earlier. These credit memos are created to adjust the affected account balances and maintain the accuracy of your financial statements.

 

I'm also sharing this article to help personalize your report and add details based on your preference: Customize reports in QuickBooks Online.

 

If you require further assistance managing reports or related matters, reply to this thread. I am here to support you at any time.

    D
    DBJ-CAAuthor
    April 10, 2024

    Hi Glinette -

     

    Thank you for your comment.

    Please let me know if there's information I can provide to help you determine if deleting these transactions will lead to imbalances or inconsistencies.

    A
    ArielI
    April 10, 2024

    Hello, @DBJ-CA.

     

    I'm here to clarify the effects of deleting transactions in QuickBooks Online.

     

    QBO creates credit memos with the description "Created by QB Online to adjust the balance for deletion" to help ensure that financial records remain accurate when transactions or accounts are deleted. This feature is designed to assist users in maintaining error-free financial records and to provide an extra layer of reliability to their accounting processes.

     

    If they want to delete since they're not showing AR ageing and individual customer profile/account, they can delete it, but take note it will affect the balance of the account depending on where you post your adjustments. Of this, it is advisable to seek advice and guidance from a professional accountant.

     

    Moreover, once you're all set, you can refer to these articles for future reference. These can guide you on how to modify your reports and match your accounts seamlessly: 

     

    If you still have further questions about the new update or any QBO-related concerns, you can comment below, and we'll respond to you as soon as possible.

      Rainflurry
      Rainflurry
      April 9, 2024

      @DBJ-CA 

       

      If they're credit memos, they should also be on your balance sheet as a reduction in A/R.  I would run an A/R aging report to make sure that, if you delete them, your A/R balances for each customer will be correct.  

        D
        DBJ-CAAuthor
        April 9, 2024

        Thanks much for weighing in. They are on the balance sheet, summarized as negative net revenue. They are not on the aging report nor individual customer ledgers. Does that give you any more insight into the situation?

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