How do I write off prepayments on a customers account that are not going to be used against any other invoice issued
Hi @betty
Just a few quick questions, and hopefully I’ll be able to help 
Are these prepayments that you have taken as a non-refundable deposit, or is the money being returned to the client?
Are you VAT registered?
Did you issue an invoice for the initial pre-payment?
Sorry it is a supplier.
Basically we paid little amounts too much e.g.1.56 or 0.48 and I just want to get rid of those small prepayments from a long time ago which have now been written off by the accountant,so that it shows only the actual amount prepaid now
You could refund the balance to somewhere like Petty Cash, and then tag it to any nominal code you wish (using the ‘Something else not on the list’ option).
There’s a guide on refunding the credit to a bank account here.
Disclaimer: I’m not an accountant, so it may be worth checking with yours to ensure this is correct. If they’ve written it off, they should be able to advise on how they did this. If you wish, you can let us know and we’ll advise on how to do this in QuickFile.
OK, money held by a supplier that you are not going to get back.
What I would do, as a non-accountant, would be to simpkly raise a dummy purchase for the outstanding amount.
There may be additional issues to allow for if VAT is involved.