In your liability worksheet, you have found an adjustment with a note similar to "Offsetting current discount amount due to lack of collect amount".
- There are instances where you will see the negative discount accompanied by a matching positive amount.
- The notation on the positive amount will be labeled as "Offsetting current discount amount due to lack of collect amount".
- This is due to the Remit to Avalara and the Return Remittance amounts in the prior period being $0 or negative.
- As nothing was paid to Avalara for the remittance and no payment was submitted to the jurisdiction, the prior period discount would not apply.
For more information on vendor discounts, please review Vendor Discounts and Credits.