A supplier invoice enters the accounting system. The company pays it by credit card. Later, the bank account pays the card balance. These may be three records connected with one purchase, not three separate expenses.
Duplicate entries can make spending look higher than it is and leave unpaid bills or card balances that do not make sense. The remedy is to trace the transaction, not simply delete the entry that looks least familiar.
Identify the original purchase
Start with the supplier invoice or receipt. Confirm what was purchased, the business involved, the amount and the supplier’s reference. Then locate any entry already recording that purchase.
Software may capture the document through an invoice inbox while the bank feed separately imports the payment. Without a matching process, both can be added as new expenses.
Trace the payment route
Was the invoice paid directly from checking, charged to a card or paid personally by an owner? Follow that route through the relevant accounts. A payment of the business credit-card balance normally settles the card obligation; it does not represent a fresh purchase of everything on the statement.
Consider a simplified example: a $350 supplier invoice is entered, then a $350 card charge imports. If the card transaction pays the existing bill, recording it again as a new purchase would duplicate the underlying expense. The later checking-account payment needs the correct connection to the card account.
Investigate before deleting
Matching amounts and dates are clues, not proof. A business may buy the same service twice. Supplier names may differ between the invoice and the card descriptor. Check the documents and payment reference.
Also consider whether an entry belongs to a reconciled period or supports a filed return. Ask the accountant how a correction should be made so the history and later balances remain explainable.
Understand credits and refunds
A supplier credit, a card refund and a corrected invoice may relate to the same event. Connect them with the original purchase. Do not assume each item should become an independent negative expense.
If a refund arrived after a statement closed, identify that timing difference. A clear note is preferable to forcing the wrong month’s numbers to match.
Improve the import routine
- Decide where supplier invoices are first recorded.
- Check for an existing bill before adding a bank-feed expense.
- Review transfers between checking and cards.
- Keep invoice references and payment evidence together.
- Ask who reviews unmatched items and corrections.
The IRS supporting-document guidance provides context for keeping the evidence behind transactions. An organized source trail also makes duplicate-entry investigations easier.
Clean up the process as well as the entries
Go Tax Dude provides small business accounting and bookkeeping, including agreed cleanup work. We can discuss how your invoice workflow, card activity and bank imports fit together.
Schedule a consultation from Port Washington or remotely. Bring the period and accounts that need attention; the work and fees are agreed before starting.
General educational information. Accounting and tax treatment depend on your business and circumstances.