How to enter a write off of an noncollectable Receivable.
Hey Jim, you'll need to create an Expense account called Bad Debt Expense if you don't already have one. Then enter a Deposit transaction for zero dollars against the customer, complete your RP line as you would normally to mark the outstanding invoice as paid and then do a second line as EX to Bad Debt Expense. That will give you a balanced transaction you can record.