Hi everyone,
I have a question.
My customer paid for my services after the tax year end. So this amount is included in previous tax year calculation in sales.
How to record this transaction?
Thanks!
Replies (15)
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If it wasn't received it should have been a creditor as he owed you money that amount just clears out the creditor
If it wasn't received it should have been a creditor as he owed you money that amount just clears out the creditor
Debtor ...
1. No need to post as anonymous
2. Record it how and where?
You give no detail as to where you are recording it, book keeping software? Self assessment? What?
Come back without being anonymous, give more detail and you may get some answers.
1) yes, read the site rules
2) no-one was rude.
The aat have a forum, you might do better on there. You have a hell of a lot of study to do yet, level 4 is a long way off.
How did you show the amount owing at year end?
So if you posted the sale in sage and no payment was made in the current year then obviously that sale remains unpaid and would be shown as such as a debtor on the balance sheet. When the payment is received regardless of which year it would still be allocated to that sale receipt. The magic of sage and other accounting software is it would handle the change on the balance sheet for you.
I Apreciate you are a newbie at accounting but surely you must know already that if a payment is received for a sale it is to be allocated to that sale regardless of when a payment is received?
It clears the debtor you took into account in the sales figure in last year’s sales figure. That is all.
He can’t be because he said the sales receipt this year was in sales last year. That is the whole point of his question.