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.


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.

Reply to this question

Attach images by dragging and dropping or upload

Your comments will be public and can be answered by anyone in the Clear Books community.

Find out what we do and who we are