Causes in a double-entry accounting file
In a transaction with a due VAT code, the VAT amount is registered as a credit on the VAT account.
Normally:
- The Debit account is a Balance sheet account (with 1 or 2 as a BClass)
- The Credit amount is a Profit & Loss statement account (with 3 or 4 as a BClass), or, if there is a sale of estate goods, is a Balance sheet account (with 1 or 2 as a BClass).
In your transaction the accounts seems to be entered in the opposite way:
- The Credit account is a Balance sheet account (with 1 or 2 as a BClass)
- The Debit amount is a Profit & Loss statement account (with 3 or 4 as a BClass),
Causes in a income/expenses accounting file
In the transactions, it seems that the due VAT is entered in the opposite way to what it should be, and:
- in the Category column a category registered in negative has been entered
- or, in the Category column an account registered in positive has been entered
Solutions
Please verify that:
- The accounts you used are the correct ones
- The VAT code you used is the correct one
- If you are entering a correcting operation or a credit note, you maybe forgot to enter the minus sign "-" before the VAT code
This is a warning message and not necessarily an error. If you think the operation is correct:
- You can ignore the Warning message
- You can avoid the program to show the Warning message for this VAT code, by checking the Not warn column in the VAT Codes table.