Forum

• # 115647
• Tue 12 Sep 2017 05:20 PM

Hi

My client has bought a computer on a hire purchase agreement. How do you enter this in Quickbooks pro and is it possible to claim the vat back on cash accounting basis.  I know I need to debit assets and credit HP liability account but not sure what to do with vat as I read somewhere on the internet that HP agreements are excluded from cash accounting.

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• # 115721
• Wed 27 Sep 2017 02:04 PM

I can't help on quickbooks I am afraid - but you can claim all the relevant VAT regardless of the fact that you are cash accounting. You have "paid" for the computer (or rather the finance co have) - your repayments to the loan will be outside scope. Hope that helps.

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