How to show Discount as a separate expense

If you want to show your discount as a separate expense and do not want to club it with the income, you can do it by applying the discount at the time of invoice payment.

How does it work?

  • From the Options tab on the Invoice, click on “Pay Invoice”.

  • The Invoice Payment Module will open.
  • Click on the Discount amount to apply discounts on the Invoice.

  • In the Add Discount dialog box, apply the discount amount, and from there only you can select a discount account in which the discount amount will be reflected as an expense.

  • Click on Apply Discount.

  • Update the Payment Amount and make the payment by clicking on Pay Invoice.

  • In this case, your Income Account will not be decreased; instead, the Discount amount will be shown as a separate expense in the selected Discount Account.
  • To track your Discounts, you can see the ledger of that specific discount account in the GL (Analytics) report.

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