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February 4, 2020
Question

Invoice written off now partial paid

  • February 4, 2020
  • 1 reply
  • 0 views

How do I enter partial payments for an invoice that was written off last fiscal year using the customer credit memo method in accrual accounting?  Using quickbooks online. Thanks.

 

1 reply

AddieC
February 4, 2020

Hi there, 

 

Finally receiving a payment for a previously written-off invoice is awesome! I know how important it is to record this partial payment properly so you can avoid complications with the government come tax time. There's a few options to consider. 

 

The first option is to remove the credit you originally placed towards the invoice as a write-off, then receive a payment towards it. Keep in mind that this invoice will still be recorded in the previous fiscal year, so this method may not be suitable depending on your accountant's advice.

 

The other option is to simply re-create the invoice and record the partial payment on it that way. To do this, follow the steps here: Create invoices in QuickBooks Online

 

In this instance, the method you choose to use will be up to your accountant. They'll be able to tell you the right steps to take in order to stay in-line with the government regulations. I recommend reaching out to them first. If you're not already connected to an accountant, you can find one in your area here: Find a Pro to Help.

 

If you have any other questions, please reach out to our tech support team


Cheers.