Suggestion for Profit & Loss Statement

1

I sold something to my customer and the invoice is:

1271,19 + 228,81 ( Tax %18 ) = 1500

Customer paid 500 for this invoice. When I generate the profit & loss statement on accrual basis, it shows:

Income
- Sales of inventory item = 1271,19

On cash basis:

Income
- Sales of inventory item = 423,72

But for me, it would be more useful if it would show:

Accrual basis:

Income
- Sales of inventory item = 1500
Expense
- Tax payable = 228,81
Net = 1271,19

Cash basis:

Income
- Sales of inventory item = 500
Expense
- Tax Payable = 76,28
Net = 423,72

Why I want this function like this?

500 is taken by salesman from the customer but in profit & loss statement it appears as 423,72. This is not real report. And sometimes there is no tax on invoice so I can’t calculate the total. If my suggestion applied, the problem disappear.

2

Do some thing for purchase invoice

Item = any item
Account = Inventory on hand
Inventory Item = item name

For Sale Invoice
Item:= Item name
Account= sales of inventory item

inventory item=item
Tax= Chose tax code
then save invoice

Now report like this

Income
40001 - Sales of inventory items 1,271.19
Total Income 1,271.19

Expenses
70041 - Purchases of inventory items 423.72
Total Expenses 423.72

Net profit (loss) 847.47

3

For trial balance Report

Income
40001 - Sales of inventory items 1,271.19

Expenses
70041 - Purchases of inventory items 423.72

Net profit (loss) 847.47 -

Assets
10000 - Cash on hand 500.00
11000 - Accounts receivable 1,000.00
Liabilities
20000 - Accounts payable 423.72
Tax payable 228.81

Equity
Retained earnings 847.47

4

I think my suggestion is the best. And if it would Show like this, it would be more useful

Income
Bank on Hand = 1600
- Credit Card 1600
Cash On Hand = 500
- Cash Account 500

Total Income = 2100

Expense
Other Liabilities = 320,34
- Tax Payable 320,34

Total Expenses = 320,34

NET = 1779,66

At the moment in manager;

Sales of inventory item = 1779,66

It is not detailed.
I can’t understand anything with this report

5

I found another solution. If you add a tracking codes into balance sheet, cash summary, trial balance and general ledger summary report, the problem is solved.

6

Tracking codes for Job Only
Still I don’t understand your invoice 1500.00 or 2100.00
Tax:320.34 or 228.81
how much your purchasing for item

7

I gave an example. 1500 or 2100 is not matter. The main problem is salesman report. It is not detailed. Tracking codes must be in all reports.

8

First of all, sale amounts on profit & loss statement should always be as per accounting standards shown as tax-exclusive so this is not up to negotiation.

What you really want is some simple report that will show amounts invoiced by tracking code for specific period of time, right?

9

Yes. At the end of the month I’m giving an extra money to sales staff based on sales amount.