Sage lone 50 - help required!

Vix181

I posted 2 cheques onto sage for PAYE & NI payments in december, these cheques have now been returned to us as they 'bounced'.
The problem that I have is that I cant use the usual method to cancel the cheques in sage as they are posted directly to a nominal account, so how do I cancel them?
Many thanks.

PS the title is supposed to be LINE 50!!

Nich

I would put a Receipt into the bank account and put the credits to the nominal codes that the cheque debits were originally posted to. This will then have a nil effect on the nominal code.

The other option is to just delete the cheque payment by going to File, Maintenence?

brucemac

Hi Vix181, you dont say which version of sage line 50 you are using and how the 2 cheques were originally posted.

If you posted these as a Bank Payment then to reverse you culd post a bank receipt on the date returned with same tax code and nominal code as original Bank payment postings

If not then there are other ways that could be suggested but would need to know further details as to what has been posted

pernickety

Hi all, You must have used a bank payment to post a cr and a dr to(the control account) so you simply reverse it so you dr bank and cr the control account via a journal entry; use the narrative as much as you can to explain "returned cq unpaid, audit ????

Cudey

pernickety wrote: »

Hi all, You must have used a bank payment to post a cr and a dr to(the control account) so you simply reverse it so you dr bank and cr the control account via a journal entry; use the narrative as much as you can to explain "returned cq unpaid, audit ????

Don't know if that would work, It's been over a year since I used line 50, but with our accounts at the moment on 200 we have 3 different bank accounts (01-03) so you can't simply use the method you used, however I can't remember if this is the case on line 50. The way I would do it would be to post a receipt on saying returned cheque to the same nominal, keep the date the same etc. Just remember to clear the two off against eachother when you're doing the bank rec.

xxSaffronxx

If the cheque was posted as a Bank Payment (BP on audit trail) then you can do a straight forward bank receipt and code it back to the original nominal that it went to.

If you did an allocation (via the purchase ledger), then I would again do a Bank Receipt and code it to a suspense account. Then if you re-issue the cheque, post the new cheque to the suspense account, therefore creating a nil effect in the accounts.

I would not touch the Purchase Ledger account at all as this just gets confusing because you cannot post directly to the bank account as it comes up with an error.

If the cheque is never going to be re-issued, then you could possibly post it as profit (miscellaneous income for example). As its a cost that should have been paid (and therefore already accounted for), so now its profit!

brucemac

Best to get the details of the transactions posted and then can confirm the best way to correct

pernickety

Cudey wrote: »

Don't know if that would work, It's been over a year since I used line 50, but with our accounts at the moment on 200 we have 3 different bank accounts (01-03) so you can't simply use the method you used, however I can't remember if this is the case on line 50. The way I would do it would be to post a receipt on saying returned cheque to the same nominal, keep the date the same etc. Just remember to clear the two off against eachother when you're doing the bank rec.

Not really understanding why you think would not work. It was only ONE cheque returned so must have only come out of one bank account. So, as mentioned, a returned cheque would go back in (DR) and the liability of the amount that must be still due to HMRC goes back in as a (CR) to bring back the liability to what it was before the cheque was issued? Yes?

pernickety

pernickety wrote: »

Not really understanding why you think would not work. It was only ONE cheque returned so must have only come out of one bank account. So, as mentioned, a returned cheque would go back in (DR) and the liability of the amount that must be still due to HMRC goes back in as a (CR) to bring back the liability to what it was before the cheque was issued? Yes?

sorry just read that it was two cheques. So journal open - debit one bank (say 1200) account with one of the cheques, debit the other bank (say 1201) with the other and the credit enty back to the HMRC liability code (say 2102) done. :ohmy:

Cudey

Sorry, yes looking back at it, it would work. So there are infact 2 ways of doing it :001_smile: