Two bills have unknown entries of the same amount, but lists it as a "Deposit"

QTD

I have entered 2 bills. They have been paid and this reconciles, however, there is also now a "Deposit" for each of these bill amounts, as well. I don't know why this has happened and I don't know how to rectify this.

Has anyone else had this happen please?

I have completed the bank reconciliation and everything is correct and balances, except now at the bottom it has that these two "Deposits" are outstanding and the Reference is the purchase order number.

How do I get rid of these and how did it happen?

SamaraM

Hi @QTD 

 

A deposit is a payment against a purchase order that hasn't been billed yet. If a deposit is paid for a purchase, the deposit amount is posted to an asset account, then when the purchase order is converted to a bill it moves from the asset account to the trade debtors account. 

 

Where you mentioned seeing two deposits outstanding, do they have "Transfer from deposits" as the memo for the transactions? If this is the case, then it is likely the automatic posting that happens due to a payment being applied to a PO.

 

If this is showing incorrectly on a reconciliation then I would check the linked account under; Setup > Link Accounts > Purchase Accounts > Asset Account for Supplier Deposits. Then possibly need to change the linked account and do a journal if it is incorrect.

 

For a more detailed explanation of the workflow with payments against a purchase order see our Help Article: Supplier deposits.

 

If you still need assistance, do let me know, and if you could include screenshots that would be helpful. 

 

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