When an Invoice has Been Paid from the Wrong Plan

When an invoice has been paid from the wrong plan, the plan that should have paid for the invoice needs to reimburse the plan that actually paid the invoice. Please note there are different instructions if you operate a general (pooled) trust.

The original payment to the creditor does not need to be cancelled

Individual Bank Account Configuration

For the plan that should have paid the invoice

Process a Quick Pay transaction, payable to the Owners Corporation who paid the invoice.

For the plan that should not have paid the invoice

Process an Other Receipt to Owners Corporation – you can select the original expense code the invoice was paid from, as the receipt will offset the original payment, alternatively a different account may be selected if required.

General / Pooled Trust Account Instructions

If General Trust Account, 2 journal entries need to be processed in the plans.

  1. For the plan that should not have paid for the invoice

DR Cash At Bank (select Admin or Sinking)

CR GL account to account for the expense (select Admin or Sinking)

  1. For the plan that should have paid for the invoice

DR GL account to account for the expense (select Admin or Sinking)

CR Cash At Bank (select Admin or Sinking)

02/02/2016 10:47 am AEDT

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