Bill - Create bill for different liability account (other than Accounts Payable)
Currently if you create a bill, it credits the Accounts Payable liability account and there is no way to change this.
Why isn't it possible to record payments due under different (more specific) liabilities?
Virgil Ierubino
shared this idea
Hi team, looping back it'd be good to explain a little more of how Xero works to help in the understanding here. Xero handles a lot of the double entry bookkeeping for you.
Accounts Payable is a system account that Xero doesn't allow direct posting(manual journals) too. The only way to impact this account is through posting Bills, Supplier Credit notes and Payments to these transactions. This ensures the account is always in balance.
At an individual level, Xero keeps a record of supplier debts based on the Contact entered on the transaction, and you impact the expense account based on the account selected for each line of your transaction.
I do want to be upfront that we don't have intentions of changing the behaviour of how this works in Xero. However, it'd be good to hear more detail if there are specific reasons or other ways in which you'd be looking to view, record or keep track of these accounts and how this would help in your business.
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James Wiles
commented
I have a reporting obligation to report taxes payable separate from accounts payable. So when I create a bill for wages and salaries I want the ability for employee tax payable account to be the account linked to my IRS/CRA/HMRS contact. Maybe a setting on the contact itself that chooses the liability account associated. This is actually important, because without the ability to select the liability account of the contact my books are now different the government reports books. Requiring me to do extra work. Please implement this, it is possible to do it this way and keep the built in Xero behavior (ie. just make it a setting on the contact).
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Francis Lloyd Galuza
commented
VERY IMPORTANT!!!
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Janet Lee
commented
Perhaps may consider splitting the Accounts Payable liability account to "Trade Accounts Payable", "Non Trade Accounts Payable" and "Intercompany Accounts Payable"?
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Ashley White
commented
I agree that we need this!