I am a tax accountant and have a client who needs to record a net receipt amount where the following items are included as an example:
$20,000 Sale amount (GST-Free)
($16,500) purchase amount (GST on purchase)
$3,500 Net cash received
$1,500 GST now owing from the ATO, Nil GST owing to the ATO
The question is, given the above example the client results in a negative 1A figure on the BAS form in Quickbooks, however the figure above 'should' report under 1B. The invoice entry screen does not allow for specifying whether the transaction with GST is GST on purchase or sale and defaults to 'sale'.
Question: Is there a way of fixing this so the 1B figure reports correctly on the BAS form in Quickbooks where the purchase transaction is entered as a negative on a sale invoice?
Hi Tom H AUS,
The BAS amount captured in the GST center is based from the sales and expense transactions recorded with a GST code on them. You'll have to make sure you've recorded the sales and expense transaction separately so that the purchased amount with GST on purchases code will be captured under line 1Bin your BAS.
I'd recommend contacting our customer support team so we can check your transactions via SmartLook (screenshare) session with you and see how we can further assist you. Here's how you can contact the support team:
Feel free to drop a comment below and we're here to help you. Have a nice day!
Thank you for your quick response.
Just to clarify, if the transactions are recorded separately (i.e. as a sale invoice and a purchase invoice separately), can you then match a single bank transaction for the net amount against both entries?
Hi Tom H AUS,
You can't match a bank feed to two transactions entered a sales and purchase invoice in QuickBooks Online. On the other hand, you can exclude the bank feed and record the payments manually for your sales and purchase invoice.
For your reference, you can also check on this article: Categorise and match online bank transactions in QuickBooks Online.
Please reach out again if you have any other questions.