How to apply a refund in reckon desktop. I have an ATO refund to apply what’s the best way to process this

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  • Updated 3 weeks ago
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Marissa

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Posted 4 weeks ago

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Graham Meredith, Accredited Partner

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Hi Marissa

It really depends on what the ATO refund is for ??

Is it a refund on your BAS for GST or is a refund for Income Tax and if so are you a sole trader ?
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Marissa

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Hi Graham it’s for BAS
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Graham Meredith, Accredited Partner

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Hi Marissa

Then the next question is does your BAS only have GST or do you also have PAYG-W and/or PAYG-I ?

Do you have an account for your ATO Integrated Client Account in your Chart of Accounts or not ?

If simply GST refund as you have no other tax liabilities and you have no ATO ICA in your Chart of Accounts, then I would simply do a deposit to the Tax Payable account.
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Sue

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Hi Marissa.  On the Home page, select Manage Tax then click on Receive Tax Refund.  Skip past Payments to Deposit.  This takes you to the Make Deposits screen.  Received from, Account and Memo is already completed.  Just add the Payment Method and the Amount.  Cheers, Sue
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Marissa

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Thanks Sue
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Kris Williams

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When I do my BAS I always do a bill to the ATO if I have to pay, and I date it the end of the relevant quarter. I break it down to Tax payable for the GsT portion, PAYG for tax withheld and Provision for Income Tax. For a refund I do a journal using accounts receivable for a refund.and the relevant accounts. This way I only have to use the pay bills or receive payments windows to process payments and refunds, and my payg account results in a zero at the end of each period. The tax payable also results in a zero or represents 1/11th of outstanding invoices. I’ve been doing it this way for 20 years and it works very well
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Marissa

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Thanks Kris are you able to show a screen print at all of the journal
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