How to Write Off Bad Debt in QuickBooks Desktop?

 
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PostWys³any: Sro Wrz 08, 2021 5:19 pm    Temat postu: How to Write Off Bad Debt in QuickBooks Desktop? Odpowiedz z cytatem

Want to learn the process to write off bad debt in QuickBooks? Well, we have got you covered. A bad debt is basically an amount that a business or a company is unable to recover from the debtor in case the borrower has gone bankrupt or is unable to pay the debt for some or the other reason. Bad debt is generally related to account receivables and is also referred to as non-collectible account.

In today’s segment, we will be discussing the process to write off bad debt in QuickBooks desktop. By writing off bad debt in QuickBooks, one can clear the invoices from the account receivables that assist in getting the appropriate net profit amount in QuickBooks. To know more, make sure to scroll through the segment carefully. Or else give us a call and let our accounting professionals handle the situation for you.

Steps to write off bad debts in QuickBooks desktop
You can perform the steps below, so as towrite off the bad debts in QuickBooks desktop. Let us explore the steps one by one:
Step 1: Create an expense account named bad debt
• Move to the list in the top navigation bar and then select the company option.
• Navigate to the chart of accounts.
• Create a new expense account by clicking on the account tab and then hit new.
• Choose expenses.
• Type in bad debt in the account name field and also choose save and close tab.

Step 2: Recording and Closing the bad debt
• Choose the receive payments tab in the customer-menu.
• Followed by entering the customer’s name in the receive from and $0.00 in the payment amount. Important point: In the description the user can write invoice number of the bad debt for tracking.
• Click on the discount and credits tab.
• Enter the amount of bad debt the user wishes to write off in the amount of discount field.
• Now, in the discount account, choose the bad debt account that was created in the above step.
• Click on save and close tabs.

Still unable to write off bad debt in QuickBooks desktopsuccessfully. Well, need not to worry, we are for your rescue in that such a situation as well. All you need to do is to give us a call at our QuickBooks enterprise customer support numbe ri.e.1-800-761-1787, and let our experts assist you. [/img]
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