Authored By: CodyWebb, Cody is an accountant in the Logan office of Cook Martin Poulson, PC. He specializes in new business setup, federal and state payroll taxation, workers compensation, QuickBooks consultation, and individual and business taxation.
How do I create an Accountant’s Copy of my QuickBooks? Why should I create an Accountant’s Copy versus a backup or portable copy? These are two common questions that new users of QuickBooks face at periodic times during the year when they need to send a copy of their QuickBooks file for quarterly reports, accounting adjustments, tax projections, or tax return preparation.
An Accountant’s Copy is a version of your company file that we can use to make changes to your data while you continue to work. When we are done adjusting your file, we can send our changes back to you for easy importing into your working company file. All of the adjustments that we have made to your QuickBooks and all of the work that you have continued to do easily incorporate together after we send the changes back to you. These adjustments can only be incorporated automatically back into your QuickBooks if you send us an Accountant’s Copy.
The steps to creating an Accountant’s Copy are as follows:
1. Choose File > Accountant’s Copy > Save File.
2. Confirm you want to create an Accountant’s Copy and click Next.
3. Choose a dividing date.
• You will be able to work with all transactions dated after the dividing date and we will be able to work with transactions prior to that date. For example, for year-end tax preparation purposes you would select December 31 of the prior year as the dividing date. For quarterly reports or periodic accounting adjustments, you would select the last day of the previous month or quarter.
4. Click Next.
5. (Optional) Change the suggested location for the file and the filename that QuickBooks suggests for the Accountant’s Copy. The file must have a .qbx extension. You need to choose the desired location of where you will save the Accountant’s Copy. I have often found that it is easiest to save it to your Desktop and then move it to your Cook Martin Poulson Sharefile account or to a CD, flash drive, email attachment, or link that you receive from us.
6. Click Save.
7. Give the Accountant’s Copy transfer file (.qbx) to your accountant and continue to work.
After saving the Accountant’s copy, QuickBooks displays “Accountant’s Changes Pending” in the title bar and will remain there until you incorporate the changes back from the accountant or you remove the restrictions. Be aware that if you remove the restrictions before the accountant sends back the changes, you will no longer be able to incorporate any adjustments made by the accountant automatically into your QuickBooks.
You should be aware that there are some limitations to the things that we can adjust with an Accountant’s Copy file, and thus it may not be suitable for all companies. For example, we cannot add, edit, void or delete payroll, estimates, sales orders, transfers of funds between accounts, or inventory build assemblies.
Your accountant can tell you if they prefer you to upload an Accountant’s Copy or backup file to us but in most cases the Accountant’s Copy will be the preferred option.
If you have additional questions regarding QuickBooks or QuickBooks files, please feel free to contact the professional you work with.