Home – New Forums Money matters Converting MYOB into Xero Reply To: Converting MYOB into Xero

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PrimeBookkeeping, post: 122143 wrote:
If you have opening debtors &/or creditors, then when bringing them in you don’t want the system to adjust these opening chart of accounts balances … but you do want to have the GST picked up by your BAS reports when the time comes. So, for debtors, I do the following:

1. raise an invoice as of the original invoice date
2. create 3 lines on the invoice:

Line 1 – code the full GST-inclusive invoice amount to Trade Debtors with no tax code used
Line 2 – code the full GST-inclusive invoice amount to your GST account in the balance sheet, but select the GST tax type
Line 3 – code the full GST-inclusive invoice amount as a negative amount to this same GST account, but this time select no GST type

The net affect of this is that the GL postings have no net affect on the chart of account balances for Trade Debtors or the GST account (they cancel each other out) … but your BAS will be all good when the money is receipted. The same logic applies to Trade Creditors, except the first line item would get coded to the Trade Creditors GL account.

If you have outstanding cheques, I normally bring them in by creating a payment in the new system dated the date of the original cheque, and coding the GST includive amount of the cheque to your bank account GL code. Again, this method has no net affect on your GL opening balances, but sets up your bank rec to have these outstanding cheques. But who uses cheques anymore!

Give me a yell if any of that is confusing to follow :-)

You cannot select Accounts Receivable (Trade Debtors) or Accounts Payable (Trade Creditors), or a Bank account in Xero when entering an invoice. So the above does not work in Xero.

Best to read the Help Notes for Opening Balances from within Xero.