Reversing a Receipt Entry Allocated to Old Bank Account After Bank Changeover

This normally only arises when a receipt is allocated to the wrong lot.

As the original receipt entry is linked to the inactive bank account, we need to make an adjustment on the new account. 

Steps to rectify status of owner ledgers:

  1. Create a charge against the lot where the original receipt was processed to.

If a receipt was processed to a lot and should not have been, this lot now needs to pay an amount. 

To create the charge:

Fee Type System Option Transaction Date
Standard Levy/Contribution  Accounting > Adjustments >Levy Journal> New/F2 Current Date
Owner Invoice  Accounting > Issue Invoice Current Date

  1. Reduce balance for the correct lot.

As the original receipt was not processed to the correct lot, we need to reduce the balance owing for that lot.

System Option: Accounting > Adjustments > Credit Lot

Account code selections –select the required revenue/expense account. 

If the fee is a Standard Levy Type, select an alternative Revenue Account, e.g 144000 and process a journal to offset the new levy charge created for the other lot. (Journal optional)

If the replacement fee was an owner invoice, select the account code used at Step 1.

Scenario

Replacement charge processed to 143000 – Levies Due Admin

Credit Lot processed to 144000 – Miscellaneous Income - Admin

There is now a balance in these two accounts. To offset one against the other:

Sample Journal

Debit Account  144000
Credit Account   143000
Date Current Date
Description Adjust Levies Due (re-instated charge Lot # … Ref receipt (###)
02/02/2016 10:47 am AEDT

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