Paid for Client's invoice, how to book it?

[marcin]

Hi All,

This is more bookkeeping question, not sure if this is the right section of the website, if not - sorry.

What happend was, My client got an invoice from Hosting company and he doesn't have credit card so I simply took my card out of the wallet and paid the invoice for him.

Now the bookkeeping problems:
1.I have a transaction on card statement but I dont have any invoice to connect it with.
2. Client has an invoice that, in his books, is not paid.
3. Company refused to issue credit note for the client and issue new invoice for me, becasue they have complicated system of accounts etc.

Any good solutions to this?
PS. I'm soletrader, Vat registered.

 

[Caveat]

Hi All,
3. Company refused to issue credit note for the client and issue new invoice for me, becasue they have complicated system of accounts etc.

Sounds to me like they are just being awkward - they should be happy that they have been paid! They probably just don't want the hassle.

I don't see any reason why your client can't be credited.

You then issue your invoice to the client and he pays you.

Can you threaten not to deal with them again? I would.

 

[Mizen Head]

Your client writes a cheque to you, he posts that cheque against the invoice from the hosting company, in his books. (invoice now cleared in his books) You lodge cheque to your Credit card (now you have a debit and a credit for the same amounts on your credit card statements, and these contra) QED