My NFP clint reports Form 990 on a Cash Basis, but the financial statement on the accrual basis. How do I do this on Lacerte?

[wjh4848]

My NFP clint reports Form 990 on a Cash Basis, but the financial statement on the accrual basis.  How do I do this on Lacerte?  Should I delete screen 39 (depreciation expense - I use this for depreciation expense calculation on the financial statement)?

[IRonMaN · Accepted solution]

I think the key is using some type of spreadsheet or some other accounting tool to make the conversion from accrual to cash before trying to enter anything into Lacerte. 

Now I will wait for the unhelpful button to be clicked so I can join my friends in the Not Helpful Club.

[George4Tacks]

Happy to oblige. Now we wait for @wjh4848 to maybe give a bit more input as to what is not helpful about these posts.

[IRonMaN]

Thanks - I knew I could count on you.

[sjrcpa]

Cash basis would still have depreciation so don't delete that info.

[abctax55]

I'm lonely, so I'm gonna' post just to get a no vote.

[abctax55]

@wjh4848  -  why all the no votes?  Everyone else IS trying to help you.  If you don't understand the answers, provide more info.  We are NOT (tho we sure try to be) mindreaders.

[George4Tacks]

Adjust gross receipts by the change in A/R

Adjust cost of goods sold (or similar account) for change in A/P.

Do not show A/R or A/P on the balance sheet.

This will work in most cases. 

Best choice - Ask the person creating the report to give you a cash basis report. 

[qbteachmt]

"Negative" AR (customer prepayments received) are adjusted to be income. "Negative" AP (vendor or other prepayments you made) are part of Expense (or debt payoff). Don't overlook these values.