Migration of QB desktop premier data to QB Online - recording of VAT opening balance and its associated entries.

Hello,

My query is on VAT, I’ve been testing the migration from QuickBooks desktop Premier to QuickBooks Online and have run into a VAT issue. If anyone could please help me.

Just to give you an update of what I did, I manually pushed (quickbooks desktop premier to quickbooks online) the chart of accounts, product list and the VAT codes. Suppliers and Customers were pushed using an API tool (quickbooks desktop premier to quickbooks online). Customers and suppliers every transactions of quickbooks desktop premier (such as invoices, credit notes, bills, sales receipts) were recorded as an opening balance to respective supplier / customer accounts when they were migrated to quickbooks online. All of the balances that were migrated were reflectling correctly in the customer / supplier accounts.

Coming to VAT, because customers and suppliers were pushed via API, the system considers these entries to be an opening balance. Due to which, the system is unable to calculate the VAT I owe to HMRC. So, in order for the system to calculate the VAT, I had to pass a journal entry. The VAT 100 – respective boxes were then calculated by the system. Once the journal entry was processed, the system correctly showed me the total VAT i owe HMRC.

The VAT was filed and then marked it as paid, the VAT control and the VAT suspense account reflected as £0.00. However, because I processed the journal entry this balance impacted my trial balance, P&L and balance sheet.

Please refer to the attached snapshot of VAT and it's corresponding entries

My question – Because am processing the VAT entry via journal entry, this is appearing in my P&L, Trial balance and Opening balance equity account. Is there an alternative way to reflect the opening balance equity account as £0.00 as this is the only entry which is causing me a mismatch? or am I missing any corresponding entries?

Kind Regards,

Shaun Gonsalves