gavin12345 this is great information of what is likely happening behind the scenes. I hadn't looked at the MYOB API.
An issue here is MYOB endorse and promote this integration and Square isn't exactly some obscure application! So if people set up MYOB expecting this to work (like me) then any limitations should be clear rather than having individuals scratching their heads why transactions don't appear in reports. It's not usual to use cash reporting for GST.
https://www.myob.com/au/apps/products/square
As you say you can only create a payment for an invoice from a designated bank account, the Square Balance which is generally used for payment by this integration is set up as a bank account (it's essentially a clearing account where fees are deducted with a bill, then a transfer created to the bank account when it clears), however some of the other Square asset accounts may not be designated as such (eg gift cards) and perhaps this is the reason for implementation. My workaround sounds like it could be done automatically, because the "payment" is applied to the invoice immediately after it is created through a clearing account, so there is no need to store the invoice number. (a similar thing needs to be done for the bill part being paid by the clearing account).
One can only hope someone senior enough takes issue with this particular broken implementaiton and seeks to fix it in some way.
This is pititful.
Just have my first client using Square with MYOB thats on a cash basis and have found this issue.
I think I will be seeing if I can convert them to Xero.
