In Quickbooks how do I seperate invoices from deposits in the P/L statement? Both list causing a discrepancy.?

I am preparing a year to date P/L statement and this is causing the total sales to be inflated because both are listing.|||If you have deposits showing up on your P%26amp;L, then the deposit was recorded against sales. Deposits should be offsetting the Accounts Receivable account, which is the Invoice. This causes your income to be double stated, first from the invoice and second from the deposit.





If your deposits offset against income, then the fastest way to clean up the P%26amp;L would be to delete the invoice (because the deposit already records the income). This is not the recommended way to use QuickBooks, however.





The recommended way of handling invoices, payments and deposits is as follows:


When you receive money from a customer, you should be going to the Customers menu and selecting Receive Payments. You then can select which invoices the customer is paying. The payments will then be put into an account called Undeposited Funds. You would then go to the Banking menu and select Make Deposits, which will show all the payments that you have received. You then select the payments that were deposited together.