A customer has stopped trading and there is an outstanding invoice that won't be paid. I looked for a way to change the invoice's status to 'Write Off' but it is not available. I can include this amount manually when I file my tax accounts but it would be nice to record it on Easify. Is there anything I've missed?
You can add new Order Types under Tools/Options/Orders & Quotes/Order Types, so you could add a new order type of 'Write off' and then assign the order to it.
What would be the exact procedure to write off an unpaid Sales Invoice that will ensure that the unpaid VAT element is recovered using MTD
Apologies for the delay in getting this information to you. Here is the recommended approach:
1 Add a new product
2 Create a new order and add the Bad Debt product to it
3 Tick the Invoiced box and make sure that the Invoice Date is inserted otherwise it won't be included on the VAT Return for that period
4 Move the order status to "Complete"
This will then ensure that the VAT element will be subtracted from the Sales VAT when you file your next VAT Return.
