Wire Return from bank of america

It's a pleasure to have you here today, @Grimayoj. I'll help you record a wire transfer returned in QuickBooks Online (QBO).

To start off, you'll be needing a clearing expense account and use it as the source account for the deposit. I'll gladly input the steps below to get you going. Here's how:

1. Access your QuickBooks Online company.
2. Click the Gear icon, then select Chart of Accounts.
3. Select New.
4. From the Account Type drop-down, select Expenses.
5. Name the account as Clearing Expense Account.
6. Click Save and Close.

Once the clearing expense account is ready, create a deposit for the amount of the returned you received from the Bank of America and then use the account you created earlier. For further guidelines on how to enter a deposit, see this article: Record and make bank deposits in QuickBooks Online.

After creating a deposit, create a new check and bill payment to the vendor and use that clearing expense account as the reason for entering the check. Doing this will zero out the clearing expense account while keeping the bill as paid with the original date and the inventory involved.

In addition, I've got you this article to learn more about how to reconcile an account in QBO: Reconcile an account in QuickBooks Online.

Thanks for dropping by here today, @Grimayoj. Feel free to post here again if you need further assistance performing specific tasks inside QuickBooks. As always, I'll be here to help you. Stay safe, and have a nice day!

Kyle thank you for the reply.. One question about doing what you said with the clearing house expense.. If I dont deposit the money back into the bank register(Bank account) wont my bank account be off? This is the transaction from the bank account perspective... Essenitally I need it replicated in QBO.. Thanks

DEBIT      CREDIT   DATE       DESCR

7840                         1/6/23       WIRE OUT TO VENDOR

                 7840         1/5/23      RETURNED WIRE FROM BANK

7840                           1/5/23     ORIGINAL WIRE TO VENDOR

Glad to see you again, @Grimayoj. I'll tell you what happens if you don't keep track of the returned wire transfer in QuickBooks Online.

It's correct that if you don't make a deposit back to your bank register, the balance will be off. I recommend going through KurtKyle_M's suggestions. 

Moreover, it's best to get in touch with your accountant for additional guidance and the right accounts to use when recording.

Once you're good, feel free to also browse the reconciliation guide. This helps you resolve any discrepancies in your account balances.

Keep in touch if you have extra questions regarding banking or QuickBooks in general. I'm here to back you and your business. Have a good one!

Thank you!

When you create an account in QBO it needs a tax form as well.. Which tax form is it?

Thanks for the prompt reply, @Grimayoj.

To ensure we're on the same page, may I know what accounts you're trying to set up in QuickBooks? This way, I can provide the correct forms since QuickBooks offers different forms to help you with your tax information. 

I'll be adding this guide to help you manage your transactions and forms in QuickBooks Online: Tax forms in QBO.

Please come back to this thread if you have further questions. I'm willing to help you. Keep safe. 

KurtKyle_M's suggestion in my post was to set up a clearing expense account for the Wire Return from the bank..

Thanks

I'll share some information on how you can account for the wire transfer and enter this correctly in QuickBooks, Grimayoj.

The steps provided by my colleague @Kurt_M are the closest solution to your concern. However, since this involves tax forms, I suggest reaching out to your accountant for other proper ways how to correct it. This way, you'll be able to figure out the best way how to record the transactions and how they affect each account. 

In addition, learn how you can manage your tax forms using these available handy resources: Add And Manage Your Tax Forms. 

Fill me in and keep in touch if you have any questions on how to account for transactions.  I'll always be right here to help you.