Is there a way to limit "find and replace" to one account only?

WayneClark

I have over one hundred fifty business credit card transactions that I want to tag as Taxes-2019. When I use find and replace, it selects from all accounts, including checking, and other credit cards. Selecting (checking) just the transactions from the Business credit card will be tedious. Find and replace from just the business credit card would be much quicker and easier. I have checked on line and google - no joy.

Sherlock

If you're not able to use the register's filters and sort order to collect the transactions to be tagged, I suggest you consider using a Transaction report.  

Rocket J Squirrel

Yes, there's a way if the transactions have something in common that distinguishes them.

You can use the register search box at the top right of the register (not the global search box in the window header) to search for the transactions. Once you have narrowed the register to those transactions, select them all. Then right-click and select Edit Transactions. This will bring you to the Find and Replace dialog.

UKR

Do you really have to add a tag to all these transactions?
A Tax Schedule or Tax Summary report, selecting either Tax Year 2019 and/or Date Range "Last year" or 1/1/19 - 12/31/19 should show you all the transactions you're looking for, provided, of course, that they are dated and categorized correctly.

volvogirl

I looked too.  But charging it is the same as taking out a loan and then using the cash to pay the expense.  Check over in the Turbo Tax forum.  I asked over there.

This should cover it.  It's mainly about Medical exp but applies to general expenses
https://bradfordtaxinstitute.com/Endnotes/Rev_Rul_78-39.pdf 

See, https://ttlc.intuit.com/community/business-taxes/discussion/re-bus-exp-pay-by-cash-or-credit-card/01/1637527#M53355 

volvogirl

Seems like it would be the same as income received.  Pub 538 page 8 & 9  https://www.irs.gov/pub/irs-pdf/p538.pdf says
You cannot hold checks or postpone taking possession of similar property from one tax year to another to postpone paying tax on the income. You must report the income in the year the property is received or made available to you without restriction. 

It probably doesn't mention charging since putting it on a charge card is the same as paying in cash.  You are obligated to pay the credit card.  

Sherlock

WayneClark said:

Hello Sherlock, Thank you for the reply. There may be some IRS code provision, etc. that I missed, but for now, I stand by my reply. Think of it this way, "why is a credit card purchase essentially different from any other credit purchase?" In both cases you take possession of goods and incur a liability to pay for the goods. In both cases you are later sent a bill demanding payment and must pay after receiving the bill or suffer the consequences. Both may list a series of items purchased a different times. The only difference is that credit card companies call their bills "statements." In both cases the purchaser's personal liability is extinguished only when bill or statement is paid in full. You can argue that the cc company is a third party who has paid the merchant, however, this is no different from a factor who buys an account receivable. The factor is a third party who pays the merchant but that does not change the nature of the underlying cash accounting transaction.
Best Regards.
Wayne

From revenue ruling 78-39:

The general rule is that when a deductible payment is made with borrowed money, the deduction is not postponed until the year in which the borrowed money is repaid. Such expenses must be deducted in the year they are paid and not when the loans are repaid. William J. Granan, 55 T.C. 753 (1971).

volvogirl

Ok try this IRS page.  This is about deducting Medical Exp But I don't see why it would be different for anything else  https://www.irs.gov/publications/p502  under what expenses can I include this year, first paragraph last sentence.  Seems pretty clear.

It says.......
If you use a credit card, include medical expenses you charge to your credit card in the year the charge is made, not when you actually pay the amount charged.

Chris_QPW

BTW this is a common misconception that you see carried out in the budget section lots of times.  People ask how they can budget their credit card payments.  The payment of the credit card is "cash flow" from their checking account to the debt.

The actual expense happened when they put it on their charge card, and to the category of that expense.

You "budget" the expenses for when they happen, and you plan your cash flow for when the debt needs to be paid.

Sherlock

If you're not able to use the register's filters and sort order to collect the transactions to be tagged, I suggest you consider using a Transaction report.  

Rocket J Squirrel

Yes, there's a way if the transactions have something in common that distinguishes them.

You can use the register search box at the top right of the register (not the global search box in the window header) to search for the transactions. Once you have narrowed the register to those transactions, select them all. Then right-click and select Edit Transactions. This will bring you to the Find and Replace dialog.

WayneClark

Thank you both for your reply!
Best of Everything,
Wayne

UKR

Do you really have to add a tag to all these transactions?
A Tax Schedule or Tax Summary report, selecting either Tax Year 2019 and/or Date Range "Last year" or 1/1/19 - 12/31/19 should show you all the transactions you're looking for, provided, of course, that they are dated and categorized correctly.

WayneClark

Thank you for taking the time to reply.

However, as a cash basis taxpayer, I can not deduct credit card expenses until the credit card statement is paid. This results in some charges made at the end of the year that are downloaded with a 2019 date, but not deductible in 2019 because the credit card statement was paid in 2020. The problem is made worse, by the credit card company statements that do not begin on the first day of the month or end on the last day of the month. Keep in mind that the 2019 charges that were not paid in 2019, need a tag of taxes-2020 so they will be included in the proper year.

Given the very low IRS audit rate, I am sure many taxpayers simply say the hell with it and use the process you described.

Best of Everything,
Wayne

volvogirl

No that's not right.  You can deduct them when you charged them.  Charging is the same as paying for it.  So you might to wait until you get your credit card statement in Jan to enter the charges for December so you CAN include them.

volvogirl

And that's why you need to enter the charges into the credit card account on the date it was charged - FOR TAXES.  Otherwise in your way of thinking you would just use the statement date or date you paid the bill for all the charges.  

Sherlock

@volvogirl is correct.  For a cash basis tax payer, credit card purchases are deducted on the date of the purchase not when the payment is issued.

WayneClark

Hello VolvoGirl, Thank you for your reply. However, unless you can point to a IRS Code provision, rule, regulation, or case supporting credit card charges are deductible cash accounting expenses when charged, I disagree. What you said is true in accrual based tax accounting. But, in cash basis accounting:
"Under the cash method, generally, you deduct expenses in the tax year in which you actually pay them." See IRS Publication 538. There is one notable exception - expenses that cover more than 12 months. You can only deduct the expense amount that actually was paid and used in the first year. The balance of the expenses must be applied to the following years where the expenses were actually used (capitalized).
BTW. Great looking Golden.
Best of Everything,
Wayne

volvogirl

I looked too.  But charging it is the same as taking out a loan and then using the cash to pay the expense.  Check over in the Turbo Tax forum.  I asked over there.

This should cover it.  It's mainly about Medical exp but applies to general expenses
https://bradfordtaxinstitute.com/Endnotes/Rev_Rul_78-39.pdf 

See, https://ttlc.intuit.com/community/business-taxes/discussion/re-bus-exp-pay-by-cash-or-credit-card/01/1637527#M53355 

volvogirl

Seems like it would be the same as income received.  Pub 538 page 8 & 9  https://www.irs.gov/pub/irs-pdf/p538.pdf says
You cannot hold checks or postpone taking possession of similar property from one tax year to another to postpone paying tax on the income. You must report the income in the year the property is received or made available to you without restriction. 

It probably doesn't mention charging since putting it on a charge card is the same as paying in cash.  You are obligated to pay the credit card.  

Chris_QPW

WayneClark said:

"Under the cash method, generally, you deduct expenses in the tax year in which you actually pay them." 

You paid "them" as soon as you charged the expense to your credit card.

Look at it from the point of view of the business that provided you with the service.
You walk into a store and you "buy" XXX and put it on your credit card. That business immediately gets paid.  Your credit card company paid them for you.

Now you owe your credit card company $XX.YY, but that has nothing to do with when the purchase/payment for the product/service was conducted.

volvogirl

A lot of people wait until Dec last minute to pay things and make donations to count on their tax return.  Doesn't matter how they pay it.  

WayneClark

Hello Sherlock, Thank you for the reply. There may be some IRS code provision, etc. that I missed, but for now, I stand by my reply. Think of it this way, "why is a credit card purchase essentially different from any other credit purchase?" In both cases you take possession of goods and incur a liability to pay for the goods. In both cases you are later sent a bill demanding payment and must pay after receiving the bill or suffer the consequences. Both may list a series of items purchased a different times. The only difference is that credit card companies call their bills "statements." In both cases the purchaser's personal liability is extinguished only when bill or statement is paid in full. You can argue that the cc company is a third party who has paid the merchant, however, this is no different from a factor who buys an account receivable. The factor is a third party who pays the merchant but that does not change the nature of the underlying cash accounting transaction.
Best Regards.
Wayne

Chris_QPW

@WayneClark there is difference between the business sending you a bill and you using your credit card.  In the case of a bill being sent to you, clearly you have not paid them until you get that bill and under the terms on that bill pay them.  When you pay them is when the transactions is recorded for cash basis accounting.

In the case of the credit card you were presented with a bill at the time of sale, you used your credit card at that point of time, and the money was transferred to the businesses account.  That is when the transaction is recorded.

Another example.
You decided to buy a house.  You take out a loan, and instruct the loan company to pay the buyer for the house.  You have now purchased the house even though you owe money to the loan company.  You didn't "buy" the house 30 years later when you paid off the loan.

Note that in the case of the credit card or the loan company they are acting under your instructions to pay people.  That is the same as you paying them, just  as if you told an accountant to pay XXX bill.

Sherlock

WayneClark said:

Hello Sherlock, Thank you for the reply. There may be some IRS code provision, etc. that I missed, but for now, I stand by my reply. Think of it this way, "why is a credit card purchase essentially different from any other credit purchase?" In both cases you take possession of goods and incur a liability to pay for the goods. In both cases you are later sent a bill demanding payment and must pay after receiving the bill or suffer the consequences. Both may list a series of items purchased a different times. The only difference is that credit card companies call their bills "statements." In both cases the purchaser's personal liability is extinguished only when bill or statement is paid in full. You can argue that the cc company is a third party who has paid the merchant, however, this is no different from a factor who buys an account receivable. The factor is a third party who pays the merchant but that does not change the nature of the underlying cash accounting transaction.
Best Regards.
Wayne

From revenue ruling 78-39:

The general rule is that when a deductible payment is made with borrowed money, the deduction is not postponed until the year in which the borrowed money is repaid. Such expenses must be deducted in the year they are paid and not when the loans are repaid. William J. Granan, 55 T.C. 753 (1971).

volvogirl

Ok try this IRS page.  This is about deducting Medical Exp But I don't see why it would be different for anything else  https://www.irs.gov/publications/p502  under what expenses can I include this year, first paragraph last sentence.  Seems pretty clear.

It says.......
If you use a credit card, include medical expenses you charge to your credit card in the year the charge is made, not when you actually pay the amount charged.

WayneClark

Hello All. Thank you all for taking the time out of your busy day to straighten out my error. After reading IRS Rev. Ruling 78-39 and the Tax Court Case "Granan v. Commissioner" 55 T.C. 753 (1971), I agree that credit card payments are deductible in the year charged. You all are the best!

This will make my taxes much easier!

I also learned how to properly use "Find and Replace" in Quicken!

PS: Don't tell the IRS that I made a mistake on last years return. 😉

Best of Everything,
Wayne

Chris_QPW

I won't tell if you don't tell on all the mistakes I have made over the year.  

Chris_QPW

BTW this is a common misconception that you see carried out in the budget section lots of times.  People ask how they can budget their credit card payments.  The payment of the credit card is "cash flow" from their checking account to the debt.

The actual expense happened when they put it on their charge card, and to the category of that expense.

You "budget" the expenses for when they happen, and you plan your cash flow for when the debt needs to be paid.