We had a business account that was in the negative and was closed. How do I closed the account with a negative balance? They marked it as "Overdraft Write-Off" What type of entry should it be for me in Quickbooks?
debit the account for the amount of the write off, credit Other Income
the overdraft, negative amount is a debt you owed, when debt is forgiven it is your income since you no longer have to pay it. (there are some rare exceptions to that with mortgages, etc)
debit the account for the amount of the write off, credit Other Income
the overdraft, negative amount is a debt you owed, when debt is forgiven it is your income since you no longer have to pay it. (there are some rare exceptions to that with mortgages, etc)
You have clicked a link to a site outside of the QuickBooks or ProFile Communities. By clicking "Continue", you will leave the community and be taken to that site instead.
