How do I transfer the customer advance from one customer to another?

To write off vendor advance, you should first create an account and then record the write off. Here’s how to create a new account:

• Go to Accountant on the left sidebar and select Chart of Accounts.
• Click + New Account in the top right corner of the page.
• Enter the Account Name as Advance Adjustment.
• Select Payment Clearing as the Account Type from the Account Type dropdown.
• Enter the Account Code and write a short description for the account, if required.
• Click Save.

Once you have created an account, you can write off the advance. Here’s how:

• Go to Purchases on the left sidebar and click Payment Made.
• Select the vendor advance you want to adjust.
• Go to More icon and click Refund.
• Enter the necessary details.
• Select the To Account as the Advance Adjustment account you had created.
• Click Save.

Next, you have to record payment for the bill issued. To record payment:

• Go to Purchases on the left sidebar and click Bills.
• Select the vendor’s bill for whom you want to record payment.
• Click Record Payment.
• Enter the necessary details.
• Select the account as Advance Adjustment in the Paid Through field.
• Click Save.