[GNC] Posting a bad debt

Greg Feneis mfeneis at gmail.com
Tue Apr 9 19:07:18 EDT 2019


Since people are trying to associate a non payment with an expense account,
does not getting paid by a customer actually constitute an expense?

I imagine in business, the big concerns with expenses are tracking where
the revenue that doesn't become profit goes, and (at least in the US)
getting tax deductions for as many deductible expenses as possible to
minimize  tax liability.

As a sole proprietor, I think when I can't collect an invoiced amount,
that's just income I can't receive.  I don't think it's an expense.  It's
not revenue spent on something, and it's not tax deductible, AFAIK.

Sorry, I don't mean to hi-Jack the thread, it's kind of related.




Kind regards,

Greg Feneis <http://www.linkedin.com/in/electromechanical>




On Tue, Apr 9, 2019 at 2:07 PM Adrien Monteleone <
adrien.monteleone at lusfiber.net> wrote:

> I tested it, you can’t select expense accounts on credit memo line items
> either.
>
> It looks like the only method is what I outlined earlier, ‘pay’ with some
> other asset account, then transfer that amount to Expenses:Bad Debts.
>
> Regards,
> Adrien
>
> > On Apr 9, 2019, at 3:21 PM, Greg Feneis <mfeneis at gmail.com> wrote:
> >
> > In similar fashion, a favorite customer shorted me $0.50 on a timely big
> > invoice payment.  Rather than hassle them about $0.50, I created another
> > invoice, but as I was creating the invoice I selected credit memo instead
> > of invoice.  I made a credit memo for $0.50 for that customer and job.
> > Then I opened the invoice that was $0.50 short and went to pay that
> > invoice.  The invoice with the $0.50 due appears as well as the credit
> memo
> > for $0.50.  I selected them both and finished the payment.
> >
> > If you went this way, perhaps you could set the account for the source of
> > the credit memo to an appropriate expense account?  I'm just a beginner,
> so
> > what I've done may not be allowed.
> >
> >
> >
> >
> > Kind regards,
> >
> > Greg Feneis
> >
>
>
> _______________________________________________
> gnucash-user mailing list
> gnucash-user at gnucash.org
> To update your subscription preferences or to unsubscribe:
> https://lists.gnucash.org/mailman/listinfo/gnucash-user
> If you are using Nabble or Gmane, please see
> https://wiki.gnucash.org/wiki/Mailing_Lists for more information.
> -----
> Please remember to CC this list on all your replies.
> You can do this by using Reply-To-List or Reply-All.
>


More information about the gnucash-user mailing list