Contra / Set off between debtor and creditor
Please help am wondering if I have dreamt this!
When you have suppliers that are also customers and you want to 'contra' / 'set off' the suppliers invoice against one we have sent to him as our customer do we have to write to him to advise & formalise this between us - or can I just do it and send him the balance (which we owe him - on this occasion)?
I thought I'd read somewhere of the risks of doing this if our business is subsequently involved in bankruptcy / liquidation etc etc.
Many thanks as always.
- Where can I get the information for this 361 7
- BrightPay 359 9
- If a company made large profits in 2009, is there a time limit for later losses to be set off against those profits to recover tax? 196 3
- CGT &LLP 68 2
- Am I at risk as an appointed Agent? 538 4
- Setting up an offshore company 88 1
- SDLT on Land Transfer to Connected Company and Averaging Relief 183 16
- Secure document exchange 117 3
- Question for FreeAgent users 158 4
- Any way of declaring a variable dividend? 390 7
- break even point 162 5
- Charity recouping VAT via a separate company 113 3
- Fax to email providers 326 11
- Payroll software 236 11
- Ghost messages from HMRC...... 131 1
- Amending supplier account code in Sage 50 141 4
- How to issue shares to investors 86 1
- Expense management software 629 12
- New Practice - Accounting Software 3,106 84
- Tax code 147 1