Thursday, December 15, 2011

What date is the posting date for invoices?

I need to know which date should I use as posting date, the invoice date or the due date? I am in the accrual basis of accounting and the fiscal year ends on Dec. 31. We have a financial statement reporting every month to each of the stockholders. I have invoices that have an "invoice date" of October, but are due in November. I haven't closed October, so I was thinking that these invoices belong to the month of October and thus I should post them in October, although this will bring the profit for the month low. Please advice. Thank you.|||Posting date should be the date when you have actually received the material or items mentioned in the invoice (this is the date you take the invoice into account in you books). Invoice date is the date Invoice is raised by the seller. Due date is the date when payment is due (if you enjoy credit facility). In the absence of credit, posting date and due date are same.

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