Making donations

Question asked by Asher Jacobsberg 9 years ago

We support a charity and donate 5% of income from certain sales to them.

What is the best way to record this?

I don't want to put it in as a bill from them to us that we then pay, as it's not a bill as such and I don't want it to form part of VAT calculations.

Thanks.

4 Replies

Thanks for responding so quickly John. Should I record this under a new account code, or is there a sensible one to use already built in?
I would like to be able to see in our P&L how much we have given.

There are no specific account codes for this at the moment, but you can create a 'Donations' account code on the Settings>Codes>Create menu - probably best to just confirm with an accountant which type to add this under.

It would seem sensible for CB to have a clear method to deal with these situations. It's important that when a company supports a charity, as we would all like to do, that we are not penalised by not being able to easily account for the movement of money.

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