Accountant tools: Write off invoices

Overview

Use this tool to write off a group of invoices. QuickBooks creates a credit memo for each invoice you write off. It also adds a memo about the write-off to the invoice and the credit memo.

How to set up a write off item

1. Go to the Write Off Item drop-down arrow and select Add new.
2. In the New Item window, leave Type set to Other Charge.
3. In the Item Name/Number field, enter a name such as "bad debt" or "write off."
4. Leave the Amount or % field set to zero.
5. Leave the Tax Code field set to Tax. Don't worry if the sale was originally nontaxable. QuickBooks only reverses tax on taxable sales.
6. Select the Account drop-down arrow and select the bad debt expense account.
7. Select OK.

Use the Write Off Invoices tool

1. Open the Write Off Invoices window from the Client Data Review by choosing Accountant > Client Data Review > Client Data Review. Or to open the window directly, choose Accountant > Client Data Review > Write Off Invoices.
2. Set criteria for the invoices you want to write off. Use the fields at the top of the window to filter the list of open invoices.
3. In the checkmark column, select the invoices to write off.
4. At the bottom of the window, select the write off item. How do you set up a write off item?
5. Change the Write Off Date if necessary.
6. (Optional) If you track classes, go to the Class drop-down arrow and select the appropriate class.
7. Click Preview & Write Off to see the list of the invoices you're writing off. You still have the option to cancel.
8. When you're ready to write off the invoices, select Write Off.