Setting Cash vs Accrual Method

[Geert Janssens]

On Thursday 13 February 2014 14:25:13 David Both wrote:
> Accrual / cash is not a configuration choice. It is simply how you
> deal with future income such as accounts receivable. If you count the
> income when you create the receivable that is accrual. If you don't
> count it until you get payment, that is cash. This really only makes
> a difference near the end of the year as it determines which year you
> have to report the income.

In Belgium (and perhaps most of Europe) this will matter soon for each 
accounting period end (meaning quarterly for most people) and not only 
year end.

A new law has been passed that changes the way VAT declarations have to 
be made. Until now that was accrual based and it will change to cash 
based.

You explanation on the principles of accrual and cash are of course 
correct.

Geert