Incorrect tax code used on AR invoices

Wendy_10862352
Wendy_10862352 Member Posts: 27 Reckoner Reckoner

Hi,

I have used the incorrect tax code on an invoice in September and need to complete a GJ entry in October to adjust.

I thought the income was exempt from GST but have picked up it isn't?

CR Income $55,000.00

DR Income $55,000.00 GST

Is this correct?

Wendy Barnes

Answers

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,754 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    Hi Wendy

    Is your GST (BAS) on a Cash or Accrual basis ? If on Cash, you won't be reporting this transaction until it's paid so just edit the invoice to the correct tax code.

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Wendy_10862352
    Wendy_10862352 Member Posts: 27 Reckoner Reckoner

    No, it is on an Accrual basis Shaz.

    Wendy Barnes

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,754 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    A GJ will be more fiddly as you'll need to first credit the original so rather than doing a GJ, personally I would create - & allocate - an Adjustment Note (using exactly the same Item & tax code) to credit the original invoice then create the Tax Invoice again - dated in October - with the correct tax code 😊

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Wendy_10862352
    Wendy_10862352 Member Posts: 27 Reckoner Reckoner

    Thanks Shaz but would the adjustment be dated in September even though the BAS is closed or dated in October?

    Wendy Barnes

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,754 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    Yes, both transactions (Adj Note & new Tax Inv) would be dated in October ☺️

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Wendy_10862352
    Wendy_10862352 Member Posts: 27 Reckoner Reckoner

    Thanks Shaz and I did email you to see if you could help me with checking over our Reckon file including tax and superannuation but didn't hear back.

    Is this something you could do for me?

    Wendy Barnes

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,754 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    Apologies Wendy - Yes, I can definitely help you with that ☺️

    I'm out on site at the moment but will see & reply to your email tonight once I'm back home.

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Acctd4
    Acctd4 Accredited Partner Posts: 3,754 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert
    edited January 2023

    Hi Wendy

    Can I get you to check the email address you entered as your email’s not come through to me as yet ? 🤔

    Should be: shaz@accounted4.com.au

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)