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Imported transactions marked as "Internal Transaction." How to categorize?

CottageOvenCottageOven Member Posts: 21

My business American Express card through Amazon earns reward points that can be used as part of the payment for a purchase. For example, if I buy something for $30 and have $5 of points available, I can apply that at checkout in Amazon and the invoice total will be $25.

When the American Express transactions are imported (via American Express as a connected account), the above example will show up as three transactions, $25 charge to Amex, another $5 charge to Amex and then a $5 credit from Amex that is given the description, "American Express Internal Transaction."

How should I categorize the "internal transaction" within Wave? Should it be a transfer to offset the corresponding charge, or is there some other way to handle it that would be preferred?

Thanks.

edited April 2, 2021 in Accounting Technical Support

Comments

  • JulianPJulianP Member Posts: 1,002 ✭✭✭

    Hey @CottageOven !

    Hmm. This one is a bit tricky. Since we here at Wave Support are not accountants, I suggest reaching out to a professional CPA to ensure you get the best advice to record this accurately. I wish I could be more help here.

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