SageForum for UK versions of Sage 50- Help and support.

H all,

one of our suppliers has advised that we are in credit with them which I believe came about at he business changeover from the previous owner. I now have no contact with the previous owner and so I want to account for the credit from the supplier. We have outstanding invoices showing in Sage which should be paid but these are offset by the credit so the supplier isn't chasing. I am wondering how to go about accounting for the credit which has come about.
Many thanks in advance

Regards

AliG

You could enter a dummy credit note against the cost of purchasing the business or bad debts.

Because you are unable to account for how it came about, it is probably a good idea to work in the vat mans favour and make it a vat-able transaction thereby reducing the amount of VAT you will be reclaiming.