I want to pay a supplier who is also a custer. How do I offset what he owes us against what we owe him

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  • Updated 2 years ago
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Supplier who is also a Customer
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Pam Anderson

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Posted 2 years ago

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Create a contra clearing bank, receipt the payment for the invoice and deposit to the clearing account then use this to pay the bill and or write a cheque. when you've finished the clearing account should be NIL
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Liz Brims, Accredited Partner

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Hi Pam,
I agree with Jacqui.  A clearing account should sort it out.  The balance always needs to come back to zero in the clearing account.