Postby roy » Tue May 16, 2017 9:54 am
Hello Laura
Thank you for your message
The Cash Flow and Profit and Loss reports use different methods for calculating the numbers. The Cash Flow report uses the cash based method of accounting which uses what has arrived in your bank account to calculate the numbers. The Profit and Loss report uses the accruals method which takes entered invoices which have yet to be paid to calculate the numbers. As a result you will get different results on the two reports
You now have the option to change the Income Tax report to the cash based method. Please familiarise yourself with the tax rules before switching over
Kind regards
Roy