[GNC] Adding late charges to a vendor bill after posting?

[Stan Brown]

[sent to the list with CC to the OP]

On 2022-01-29 17:57, Eric H. Bowen via gnucash-user wrote:
> Property taxes are due. Actually, by the time you read this, they will
> be past due... I used the "vendor bill" Payables system to track this
> when I got the tax bill in November and I've made a partial payment, but
> the funds just are not there to choke down the whole thing. So I'm going
> to get gigged for a late fee, and possibly even more if I can't settle
> up by the end of February.
> 
> What's the proper way to track this? 

Why not do what the taxing authority almost certainly does? As soon as
you incur that late fee, do a transaction
Debit:  Expenses:Late Fees
Credit: Liabilities:Property Tax

BTW, I don't use the invoicing system for things like this, but I dimly
recall that GC may not let you do a direct credit to
Liabilities:Property Tax. In that case, just enter a new invoice to the
same vendor.

As you make payments
Debit:  Liabilities:Property Tax
Credit: Assets:Bank Account

> If it gets to the point where I
> need to make a monthly payment arrangement (basically a 12 month note) I
> was going to enter the note as a new liability and credit that towards
> the tax payment due.

I suppose you could, but that seems overcomplicated. I would simply
debit Late Fees and credit Property Taxes for the new fees associated
with the 12-month arrangement, then every time you make a payment record
it as above.

> Asking for a friend....

Uh-huh. _Sure_ you are. :-)

-- 
Stan Brown
Tehachapi, CA, USA
https://BrownMath.com