How to handle the odd transaction in USD, despite only having a GBP bank account

[Maf. King]

On Saturday, 11 March 2017 16:24:41 GMT Dr. David Kirkby (Kirkby Microwave 
Ltd) wrote:
> My company sells products in GBP, but a particular customer wants to pay in
> USD, so I quoted him a price in USD which he is going to pay into the
> company bank account. The bank account is GBP, so the bank (RBS) will
> convert the USD to GBP, at some interest rate, and with some fees.
> 
> How should this be recorded?
> 
> Dave
> 

Hi Dave,

I think I would record this as though the client had paid in GBP, but still 
take note of the bank fees.  so a 3-way split transaction, something like:

Income GBP  100.00	-
Bank Fees		-	5.00
Current			-	95.00

A note to say somewhere that 100 GBP was actually invoiced as 130USD might be 
a good idea too.

IANAA, and since this is business, yo may prefer to talk to an accountant, but 
really, HMRC are interested in the pounds you have coming in, not what that 
sum might have been worth in dollars at some point in time...

HTH,
Maf.