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Small Balance Writeoffs in D365 Business Central

  • 1.  Small Balance Writeoffs in D365 Business Central

    Posted 12 days ago
    Can someone tell me how to enter a small balance write off for a customer invoice in Business Central?  I cannot seem to find any documentation on this.  These are balances that resulted from incorrect sales tax amounts, and need to just be written off and zeroed out.  Some of them are debit balances, other are credit balances.

    Is the only want to zero these out is by posting a credit memo or a return?

    Thank you!

    #writeoff #howto #smallbalancewriteoff #D365BusinessCentral
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    Linda DiGiacomo
    SMB Suite/Nextcorp
    Irving TX
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  • 2.  RE: Small Balance Writeoffs in D365 Business Central

    SILVER CONTRIBUTOR
    Posted 10 days ago
    ​I don't know if it is the correct way, but we use a Sales Journal batch with the Bal. Account No. set to our bad debt write-off G/L code.

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    Dianne Butterworth
    Business System Manager
    The King's Fund
    London
    United Kingdom
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  • 3.  RE: Small Balance Writeoffs in D365 Business Central

    SILVER CONTRIBUTOR
    Posted 10 days ago
    Diannes approach works well.  Using a journal allows for a faster way to complete the transactions.   You need to chose the Customer as Type  and then the bal account as GL,  and chose a GL account such as the bad dept write off account in Diannes example.    Be sure to apply the transaction to the invoice you are writing off in order for the invoice to show correctly as closed on reports, such as the Aging report.

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    Jamie Constantine
    Columbus Global
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  • 4.  RE: Small Balance Writeoffs in D365 Business Central

    NAVUG ALL STAR
    Posted 9 days ago
    @Linda DiGiacomo,

    I agree with the suggestion for using the Sales Journal to write off small balances. I'd also like to suggest looking into setting up payment tolerances with warnings. This would allow you to get those small balances written off as ​the payments are being applied. Take a look at the Microsoft documentation linked below.

    https://docs.microsoft.com/en-us/dynamics-nav-app/finance-payment-tolerance-and-payment-discount-tolerance

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    Amanda Mayer
    New View Strategies
    "The NAV & BC training and process experts"
    Milwaukee WI
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  • 5.  RE: Small Balance Writeoffs in D365 Business Central

    Posted 8 days ago
    You can use the cash receipt journal and select "Document Type" as Credit Memo and apply a credit to zero out the posted sales invoice with the small balance.

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    Nirav Shah
    Solution Architect
    To-Increase
    Advanced Jobs, Quality Management and Engineering Change Solutions
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