Cancelling a Converted General Cheque (AP or Quick Payment) issued in the legacy system

QUESTION: I have an unreconciled general cheque which was issued in our previous system back in February. I need to cancel this cheque and I am wondering if you could let me know what would be the best way to deal with this matter?

RESPONSE: The cancellation of converted general cheques or debit memos (AP or General Quick Payments) is not a permitted transaction, however the cancellation of trust cheques is.

Although the GL operations relating to these cheques is converted and reflected in converted financial measures, the conversion source files does not have the association to the converted cheque object – a requirement to realize a cancellation process.

To reverse the transactions to realize the same outcome to financial records so a new replacement cheque can be issued create a negative DEBIT MEMO with the same details and distribution values in negative as the original payment that needs to be cancelled. Use a date to reflect the date on which you want to see the financial impact of the reversal.

For bank reconciliation purposes, you will need to reconcile the cheque as it is no longer outstanding.