cancelling unpresented cheques (checks)

I am using QuickBook Pro 7.4R3 and am in Australia. I have a few old cheques on the system that have never been presented at the bank. How do I go about cancelling them? I don't want to just void them as then I would still be showing as having an unpaid balance with that Supplier and anyway they relate to previous accounting years. They need to come out of the bank register somehow yet not increase my Trade Creditors. Any help gratefully accepted.

Jan

Reply to
MCC
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Make a journal entry that increases cash in an amount equal to the total of the old outstanding checks. The next time you reconcile the bank account indicate that the checks cleared along with the adjustment.

Reply to
Allan Martin

The journal entry will be a debit to the bank. The credit should be to the same accounts that were charged when entering the bills that you paid with these cheques.

It may get slightly more complicated if there was GST/VAT on these transactions. Some older Canadian versions do not properly account for GST in journal entries so you must either make a separate Sales Tax Adjustment transaction or adjust your GST/VAT return manually. Newer versions, however, do not have this problem. I don't know about Australian versions.

presented

increase my

Reply to
!-!

The credits should be at the discretion of the user. There is no hard and fast rule that it must mirror the original transitions.

Reply to
Allan Martin

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