Accounting for PAYE early payment credit

Hi MikeeMod Thanks for reaching out to us here on the Community. You wouldn't record the early payment credit in QuickBooks as the credit relates to HMRC account. The credit will therefore be applied to any future liabilities that you submit from QuickBooks to your HMRC PAYE account.

Thanks John for the quick reply.

All my current/future HMRC liability calculations are automatically calculated via QB payroll. As such, they will never include any interest payments received from HMRC at source. My liability account in QB will always therefore carry the non-existent liability unless I manually intervene somehow to update QB to account for the credit

 
Does that make any sense?

Michael

Thanks for this additional information, Michael. The best way would be to create an account in your chart of accounts for the early credit, which can then be used on a journal entry to offset the liability currently showing. 

We're unable to advise on the specific accounts to use, or on how to post the journal entry, so we would recommend contacting your accountant or bookkeeper for best advice. 

If you don't already have an accountant, you can find a QuickBooks certified advisor near you on our online directory. Thanks for reaching Intuit support. We'll be here if you have any additional queries.