There are times when you may bill a client, and do not expect to receive payment for this invoice. If you wish to remove this balance from your Accounts Receivable, you can write off the remaining balance. The amount will be Removed from AR, and added to a separate account called "Bad Debt/Write-Offs." You will also be able to view a summary of the total written off in a chosen date range through the Write Off Report.
In order to write off the balance of an invoice, you must open the invoice for editing.
Once in the invoice edit page, select the Actions Button, and choose Write-off.
Check off the Write-Off box which will display the remaining balance on the invoice.
You can change the date and add a reason for the write off before hitting save.
You can only write off the balance of the invoice. If you wish to write off part of an invoice, a payment or discount must be applied to bring the balance down.