i-Account - How to Record an Unidentified Receipt

Monday, August 02, 2021 TimeTec 0 Comments

An Unidentified Receipt usually is a temporary holding (suspense) account in which funds are received but not yet identified as to which debtor the amount should be appropriately assigned to.

Usually, you (the Admin) realize unidentified receipts only when checking the bank statements/records, where the payers did not provide any helpful ID or transaction reference. 

Therefore, to complete the bank reconciliation process, you will still need to record the unidentified receipts in the accounting system. 

The steps below explain how to record unidentified receipts in i-Account.

A. Create a New GL Account for the Unidentified Receipt 
Step 1
Create a new General Ledger (GL) Account for ‘Unidentified Receipt’.
Under the Accounting section, go to Banking and General Ledger > Maintenance > GL Accounts. 

Step 2
Select “New account” from the drop down menu.

Step 3 

Enter the Account Code and Account Name for the new GL account. 
For instance: 
    - Account Code: 2300
    - Account Name: Unidentified Receipt

Step 4
Select the Account Group for this new GL account which is categorized under Current Liabilities.  

Step 5
Once completed, click “Add Account” at the bottom of the page to add the new GL account.

Pop-up message will appear once you successfully created the new GL.

B. Record the Unidentified Receipt using Bank Deposit Entry
Step 1

Next, you need to record the transactions using Bank Deposit entry. Go to Banking and General Ledger > Transaction > Deposits.

Step 2
Enter the date for the Bank Account Deposit Entry and select “Miscellaneous” at the From selection. 

Step 3
Fill in the “Name” section, for example, Unidentified Receipt to differentiate the Bank Deposit entry. 

Step 4
You need to select “Unidentified Receipt” GL from the drop down selection. Fill in the amount and Memo like below example and click “+” icon to add in the item in the line. 

Step 5
Fill in the same Memo at this section and click “Process Deposit” to proceed.

This pop-up message will appear when you have successfully recorded the Bank Deposit.

C. Reversal of the Unidentified Receipt After Identifying the Debtor/ Payer
Once you have identified the payer’s details for the unidentified receipts, you can issue a new receipt under the correct debtor’s account code. However, you cannot edit the previous receipt to amend the payer. Therefore, before issuing the new receipt, you need to reverse the unidentified receipt transaction entered previously.

Step 1
You can do a reversal by entering using Journal Entry. Go to Banking and General Ledger > Transaction > Journal Entry. The double entry for the reversal journal are as below:

Debit: Unidentified Receipt GL
Credit: Bank GL

The debit and credit entry for the reversal is the opposite of the earlier unidentified receipt. Enter the amount for the identified payment. 

Step 2 
Enter the same Memo as the above and click “Process Journal Entry”

D. Record the Customer Payment (Issue Official Receipt)
Next, enter the Customer Payment into the system to issue an Official Receipt to the debtor and allocate the receipt against outstanding invoices. 

Step 1
To issue a Receipt, go to Accounting > Sales > Transactions > Customer Payment.

Step 2
Select the debtor's name using the dropdown.

Step 3
Set the Date and select the payment mode for the receipt.

Step 4
Allocate the receipt against the appropriate invoices.

Step 5
Recheck to ensure that the amount tallies with the reversal journal and enter a memo for reference. Click “Add Payment” to proceed with the receipt.

This pop-up message will appear once the system has successfully recorded the payment. 

Note: If some of the screenshots or steps viewed here are different from the ones in the current system, this is due to our continuous effort to improve our system from time to time. Please notify us at info@timeteccloud.com, we will update it as soon as possible.


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