New to qb. I have entered sales and purchase invoices but they are not showing on the p&l or the VAT return. i have set the accounts to cash. can anyone advise?

I am glad to have you as one of our QuickBooks Online (QBO) users, Kathy. I'm here to discuss why your sales and purchase invoices aren't on your Profit and Loss report.

A Profit and Loss report shows your business's revenue and expenses for a specific period. Using the Cash method of accounting means you only see completed transaction income and expenses, not pending transactions in your accounts payable (A/P) or accounts receivable (A/R).).

Therefore, let's use the Accrual method for your accounting. It allows you to see completed and pending transactions on financial reports, including customer transactions and unpaid bills. This method provides a complete view of your finances by tracking current and future transactions.

Here's how:

1. Go to Reports.
2. In the Find report by name ▼ dropdown, choose Profit and Loss.
3. On the Accounting method, click on Accrual.
4. Go to the Customise tab to personalize additional information you wish to include.
5. Select Run report.

Moreover, here are things to understand when generating the Profit and Loss report:

• Revenue details are contained in the invoice and received payments.
• The expense is tracked by the bill.
• The cash basis reports will utilize the invoice/bill date.

Furthermore, for a more in-depth understanding of the contents of the Profit and Loss report, kindly refer to this article: Find the missing income and expense transactions in your Profit and Loss report.

Additionally, you can generate a report in QBO that compares your income and expenses for different timelines. In this way, you can see how you see how your business is performing over time: Run a Profit and Loss Comparison Report in QuickBooks Online and Online Accountant.

Let me know if there's anything else we can help with running the Profit and Loss report in QBO, Kathy. I'll be here at your aid 24/7. Have a great day ahead!