Writing Off Bad Debt (Step 2 of 2)
This Solution, along with Solution# 5174 and Solution# 5176 (linked below), describes the process for writing off receivables as bad debt. The general process is to create a negative miscellaneous sale for the amount to be written off, and then offset the positive and negative invoices using the receive money tool.
This is the second of three Solutions detailing the process. (5175)
Step 2. Create Miscellaneous Sale(s)
Open the Miscellaneous Sales tool and create a negative Miscellaneous Sale for the amount you wish to write off.
Adjust Postings for Miscellaneous Sale
Upon the recommendation of your accountant, you may want to write off this bad debt to a different account (not the default Sales account). To adjust your posting, click on the feather button in the upper right corner (next to the plus and minus) and select a different account.