Forum Message

Money Recived

Hi, hope you can help.

I am currently working with a courier company. When they issue self bill remittances to me they refund any congestion charge/toll charges that I may have incurred.

Obviously I need to record these charges in Solar because when the remittance is received it shows these charges as income which of course they are not.

What would be the best way to account for the charges in Solar.

Many Thanks.


Posted by Bryan Finegan on Mar 20, 2014 8:16 PM GMT

Hi Bryan,

If you are registered for VAT you should check that you can treat the congestion/toll charges as disbursements:
http://www.hmrc.gov.uk/vat/managing/charging/disbursements.htm

To record the disbursement in Solar Accounts:
1. Create a new asset account called 'Disbursements Due'.
2. When you pay for a congestion or toll charge create a Money Paid Out transaction allocated to 'Disbursements Due'.
3. When you receive money from your client to cover the charges create a Money Received transaction with the From Account set to 'Disbursements Due'

Cheers


Posted by Mark McLaren (Solar Accounts) on Mar 21, 2014 9:54 AM GMT