Loan Repayments & VAT

[Jay-90]

Hi all.

I am using Sage for the first time and wanted to know what are the entries for recording a loan repayment from a previous year. Since there was no data for previous years in sage the loan isn't there to be repaid, but I need to show the repayments so that the bank balance matches. I'm at a loss as to what the entries are.

Also, what is the procedure for recording VAT paid in this financial year which relates to the final quarter of last year?

Any replies will be appreciated.

Thanks,
Jay

[brucedenney]

You need to do an opening balance journal to put the loan onto the balance sheet along with retained P&L and all the rest.

Don't journal to the bank accounts or Trade debtors/creditors, these will be setup with o/b entries on the bank accounts and on the sales and purchase ledgers.

[Jay-90]

What are the nominal codes for an opening balance journal the post to the balance sheet/p+l
And have you any ideas about what I asked about the VAT?

Thanks again,
Jay.

[brucedenney]

"and the rest" includes an opening balance in the VAT liability account from the previous system.

The nominal codes are whatever you are using, in a standard sage structure the balance sheet is every code up to 3999.

Do you have a closing Balance Sheet from your previous accounting system?

[Jay-90]

Hi Again,

Just so I'm clear, for the loan I will Cr Loans (or Directors loans as the case may be) and Dr P+L for the amount brought forward?
And for the VAT Liability, Cr VAT Liability and Dr P+L?

Sorry if I'm sounding unbelievably dense, new to sage!

Thanks,
Jay

[brucedenney]

You need to do a journal to set up the opening balances do you have a closing Balance Sheet from your previous accounting system?

[Jay-90]

Hi,

Sorry to ask again, but how do I do a journal to set up opening balances?
I have a paper balance sheet from the previous year and I know the value of the loans and VAT I need to account for, I simply don't know how to get these into Sage so that I can show that there was a payment relating to these in this financial year.

Thanks,
Jay.

[brucedenney]

enter all the opening Balances on the Customer and Supplier Accounts
once they are all on the Trade Creditors and Trade Debtors should be the same as on your Balance sheet
if not you need to find out what is missing.

Now enter the opening balances on the Bank accounts, these should be the same as on your Balance sheet

Finally enter a journal, debiting the accounts in sage with a debit balance on your Balance Sheet and Crediting the one with credit balances.

There will be a balance left over this will need to be offset against the suspense accounts used for the opening balances for suppliers and customers, the balance then goes to Retained P&L.

When you print the opening balance sheet in Sage it should now look the same as you paper closing balance sheet