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Subject Author Date
Small car dealer trying to keep books straight for tax reporting (help please) Keith 03-09-2007
Posted by Keith on March 9, 2007, 6:06 pm
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 I am a small car / motorcycle dealer that occasionally "passes through"
vehicle sales so that the legitimate taxes and DMV fees are paid and the
vehicle is licensed correctly.

I need the forum's help on how I can enter these transactions correctly in
QuickBooks so that my revenue reporting and tax payments are automatically
generated. Any help would be appreciated.

This might only happen 2-3 times per year but it's really a pain to process:

a) A person buys a vehicle from an auction and pays for the vehicle there,
essentially buying it for me).
b) They bring the invoice to me and I enter it as the buyer showing the full
amount as cost of good sold, autos. I now have an outstanding invoice.
c) I "sell" the vehicle to the new vehicle owner and charge the full taxes,
DMV fees etc.
d) I receive the money in QuickBooks.

Although my revenue and tax reporting is right on, I have issues that I need
help in correctly clearing:

a) I now have an accounts payable to the auction. If I discount this amount,
I show a huge (artificial) profit.
b) If I mark the invoice "paid" it will never clear.
c) They buyer has paid me for the taxes, DMV fees etc. and really owes me
nothing. If I discount the invoice for the amount of the vehicle, I'll show
a huge loss.

Thanks in advance!



Posted by Keith on March 12, 2007, 11:24 pm
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 Hey, if this isn't the right group for this message, can anyone here point
to another?

>I am a small car / motorcycle dealer that occasionally "passes through"
>vehicle sales so that the legitimate taxes and DMV fees are paid and the
>vehicle is licensed correctly.
>
> I need the forum's help on how I can enter these transactions correctly in
> QuickBooks so that my revenue reporting and tax payments are automatically
> generated. Any help would be appreciated.
>
> This might only happen 2-3 times per year but it's really a pain to
> process:
>
> a) A person buys a vehicle from an auction and pays for the vehicle there,
> essentially buying it for me).
> b) They bring the invoice to me and I enter it as the buyer showing the
> full amount as cost of good sold, autos. I now have an outstanding
> invoice.
> c) I "sell" the vehicle to the new vehicle owner and charge the full
> taxes, DMV fees etc.
> d) I receive the money in QuickBooks.
>
> Although my revenue and tax reporting is right on, I have issues that I
> need help in correctly clearing:
>
> a) I now have an accounts payable to the auction. If I discount this
> amount, I show a huge (artificial) profit.
> b) If I mark the invoice "paid" it will never clear.
> c) They buyer has paid me for the taxes, DMV fees etc. and really owes me
> nothing. If I discount the invoice for the amount of the vehicle, I'll
> show a huge loss.
>
> Thanks in advance!
>



Posted by Randy on March 13, 2007, 10:26 am
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wrote:

>Hey, if this isn't the right group for this message, can anyone here point
>to another?
>
>>I am a small car / motorcycle dealer that occasionally "passes through"
>>vehicle sales so that the legitimate taxes and DMV fees are paid and the
>>vehicle is licensed correctly.
>>
>> I need the forum's help on how I can enter these transactions correctly in
>> QuickBooks so that my revenue reporting and tax payments are automatically
>> generated. Any help would be appreciated.
>>
>> This might only happen 2-3 times per year but it's really a pain to
>> process:
>>
>> a) A person buys a vehicle from an auction and pays for the vehicle there,
>> essentially buying it for me).
>> b) They bring the invoice to me and I enter it as the buyer showing the
>> full amount as cost of good sold, autos. I now have an outstanding
>> invoice.
>> c) I "sell" the vehicle to the new vehicle owner and charge the full
>> taxes, DMV fees etc.
>> d) I receive the money in QuickBooks.
>>
>> Although my revenue and tax reporting is right on, I have issues that I
>> need help in correctly clearing:
>>
>> a) I now have an accounts payable to the auction. If I discount this
>> amount, I show a huge (artificial) profit.
>> b) If I mark the invoice "paid" it will never clear.
>> c) They buyer has paid me for the taxes, DMV fees etc. and really owes me
>> nothing. If I discount the invoice for the amount of the vehicle, I'll
>> show a huge loss.
>>
>> Thanks in advance!
>>
>
Buyer has an invoice from the auction co., so you should not show the
price of the car on your invoice, only the cost of taxes, tags,
transfer fees and your other paper work fees.

Just put line item one on the invoice as a $0.00 amount and ref. the
auction invoice number.

May not be the right way but it's how I'd do it.

Thank You,
Randy

Remove 333 from email address to reply.

Posted by HeyBub on March 13, 2007, 8:48 am
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Keith wrote:
> I am a small car / motorcycle dealer that occasionally "passes
> through" vehicle sales so that the legitimate taxes and DMV fees are
> paid and the vehicle is licensed correctly.
>
> I need the forum's help on how I can enter these transactions
> correctly in QuickBooks so that my revenue reporting and tax payments
> are automatically generated. Any help would be appreciated.
>
> This might only happen 2-3 times per year but it's really a pain to
> process:
> a) A person buys a vehicle from an auction and pays for the vehicle
> there, essentially buying it for me).
> b) They bring the invoice to me and I enter it as the buyer showing
> the full amount as cost of good sold, autos. I now have an
> outstanding invoice. c) I "sell" the vehicle to the new vehicle owner and
> charge the full
> taxes, DMV fees etc.
> d) I receive the money in QuickBooks.
>
> Although my revenue and tax reporting is right on, I have issues that
> I need help in correctly clearing:
>
> a) I now have an accounts payable to the auction. If I discount this
> amount, I show a huge (artificial) profit.
> b) If I mark the invoice "paid" it will never clear.
> c) They buyer has paid me for the taxes, DMV fees etc. and really
> owes me nothing. If I discount the invoice for the amount of the
> vehicle, I'll show a huge loss.
>
> Thanks in advance!

Find a certified, annointed, and blessed QB advisor in your area. It'll be
the best $100 you ever spent.



Posted by Allan Martin on March 13, 2007, 9:35 am
Please log in for more thread options

> Keith wrote:
>> I am a small car / motorcycle dealer that occasionally "passes
>> through" vehicle sales so that the legitimate taxes and DMV fees are
>> paid and the vehicle is licensed correctly.
>>
>> I need the forum's help on how I can enter these transactions
>> correctly in QuickBooks so that my revenue reporting and tax payments
>> are automatically generated. Any help would be appreciated.
>>
>> This might only happen 2-3 times per year but it's really a pain to
>> process:
>> a) A person buys a vehicle from an auction and pays for the vehicle
>> there, essentially buying it for me).
>> b) They bring the invoice to me and I enter it as the buyer showing
>> the full amount as cost of good sold, autos. I now have an
>> outstanding invoice. c) I "sell" the vehicle to the new vehicle owner and
>> charge the full
>> taxes, DMV fees etc.
>> d) I receive the money in QuickBooks.
>>
>> Although my revenue and tax reporting is right on, I have issues that
>> I need help in correctly clearing:
>>
>> a) I now have an accounts payable to the auction. If I discount this
>> amount, I show a huge (artificial) profit.
>> b) If I mark the invoice "paid" it will never clear.
>> c) They buyer has paid me for the taxes, DMV fees etc. and really
>> owes me nothing. If I discount the invoice for the amount of the
>> vehicle, I'll show a huge loss.
>>
>> Thanks in advance!
>
> Find a certified, annointed, and blessed QB advisor in your area. It'll be
> the best $100 you ever spent.

Only $100 please don't make me laugh.





>
>



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