Check Your Accounting Basis
We create a Xero organisation based on Accounting Basis in your source file. It is recommended that you check this and correct if necessary prior to uploading the source file to us for conversion.
NOTE: for Australia Accounting Basis this should be set as per your GST Accounting basis.
Checking Accounting Basis
MYOB Desktop
To check the MYOB file go to:
1. Go to Setup
2. Select Business Information
3. Click on the button BAS info. You will find whether the company was set up with an Accounting Basis of cash or accrual and how it will be treated in the conversion.
MYOB Online
To check the MYOB online file go to:
1. Click your Business Name
2. Select Report Settings
3. Click on Business settings. You will find whether the company was set up with an Accounting Basis of cash or accrual and how it will be treated in the conversion.
Quickbooks Online
To check the Quickbooks online file go to:
1. Go Settings ⚙, then select Account and settings.
2. Go to the Advanced tab.
3. In the Accounting section. You will find whether the company was set up with an Accounting Basis of cash or accrual and how it will be treated in the conversion.
Reckon and Quickbooks (Desktop)
There are two places in Reckon/QuickBooks files. Please make sure that both are set to the correct accounting basis.
1. Go to Edit
2. Select Preferences
3. Select Sales Tax / Tax
4. Select Reports & Graphs. Here will define whether the company was set up as reporting on a cash or accrual basis. This basis needs to match your Accounting Basis for the purpose of the conversion.
5. Then go to Edit
6. Select Preferences
7. Select Tax
8. Select Company Preferences. The Accounting Basis in these two areas should be set the same to avoid confusion.
If the reporting here is not correct please update it before you submit it to us for conversion.
Changing Accounting Basis in Xero
WARNING: We recommend that you do not use the file until it has been corrected. Unless you understand the full accounting implication of the above steps there is a very high chance that the integrity of the data may be impacted by changes you make in the Xero organisation. This may not surface until sometime later and could result in major rework required.These changes are quite technical and it is recommended they be performed by an accounting professional.
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