Profit and Loss report - includes invoices not paid

Ash111
4 Posts
Cover User
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Profit and Loss report - includes invoices not paid

Hi, 

 

We are a new business & coming up to do our first tax return using MYOB. 

 

I have a question about when we do our tax & this might be because this is all new to me! But when we do our profit and loss report ... what is included in the profit are invoices (profit) that havent been paid yet by our customers. 

 

So I am wondering when we do our tax return how do I make it so that only invoices that have been paid in that finanical year are included in the profit?? Is this possible? 

 

Thank you! 

2 REPLIES
Ultimate Partner ronatbas
3,612 Posts
Ultimate Partner
Australia
Accepted Solution Solved Solution

Re: Profit and Loss report - includes invoices not paid

@Ash111

 

Cash basis is a concession by government to ease the cash flow of small business with respect to day to day reporting and they have recently extended this even further with the more concessions for Small Business Entitiies (SBE). You can call up a cash basis P & L under SBE in Accounts > SBE Reports. 

 

Your note implies that you intend to 'do your own tax' - can I suggest that this is not a good idea and that any monies paid to an accountant will come back to you in spades, as they will be able to legitimately pick up expenses that are not currently on your P & L.

Ron B
BAS Group
03 95588477

info@basgroup.com.au
Making MYOB work for you
Ash111
4 Posts
Cover User

Re: Profit and Loss report - includes invoices not paid

THank you for your help, I now understand the difference between accural and cash. 

And yes definitely seeing an accountant! Wouldnt attempt to do it ourselves. 

 

Thank you for your help

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